Norway removes tax breaks for bitcoin mining as crypto firm labels it a ‘disaster’ – tokenmoon electricity journal

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The change is astronomical in nature. electricity distribution losses Currently, miners pay about 0.48 Øre – or just 0.0005 USD – per kilowatt hour. This is in line with other high energy consumers of 0.5 megawatts or more. However, after January 1st, they will pay the normal electricity tax rate of 16.58 Øre, or roughly two cents – in tax alone – per kWh. hp gas online booking mobile number The reaction from pro-business Norwegians was not favorable.

Norway is one of the greenest nations on earth when it comes to the production of electricity. 99% of the electricity is produced by hydropower, and we continue to expand with wind power-, offshore wind power-, solar energy- and bio-energy facilities. gas under 2 dollars From January 2018 to October 31st 2018, we exported 15 071 492 MWh, imported 6 321 079 MWh with a total “net profit” of 8 750 413 MWh. We are in excess of green energy. Courtesy: Stattnett

That the parliament and the government claims the reason for removing the electricity tax break for Bitcoin mining is that it generates large greenhouse gas emissions globally does not make any sense. Why would a “ green nation” punish miners companies from Norway, encouraging them to re-establish elsewhere and get a higher carbon footprint? It is plain stupid. gas works park address If we are to be a “green nation,” why don’t we shut down the offshore oil production that pumps up more than 1.6 million barrels per day? Parliament is hypocritical. la gas prices map Look at this quote from norskpetroleum.no:

Norway’s power grid is almost entirely hydroelectric, which somewhat belies the statements of the representative – some might interpret the move as a money grab or effort to balance the budget on the back of an emerging industry. It is with some degree of irony that one of the countries with the most miners, China, still relies on coal power plants for much of its grid.

According to Bitnodes, there are just 48 full Bitcoin core nodes operating in Norway at the time of writing. While “Bitcoin” is often used interchangeably by people less familiar with it, it can be extrapolated from that figure that the number of mining operations in the country probably does not reach the number in the thousands, across cryptocurrencies. gas dryer vs electric dryer singapore Meaning that while the move, which takes effect at the beginning of 2019, will not necessarily be a huge setback to the Bitcoin mining network as a whole, it definitely will have an impact on the decision of miners in the future regarding Norway as a viable place to start and/or do business.

Forbes’ coverage of the matter cites a company called Northern Bitcoin as claiming that a Bitcoin costs about $7,700 at present to mine in Norway. Whether or not this is accurate, the cost of electricity in mining will increase. gas vs electric oven running cost Mining profitability varies on a number of factors, particularly the size of the mine. The ideal mine has a lot of machines mining 24/7, which means that power is consumed and used even when there is no actual profit being had. electricity 80s song The recent downturn in the global price of cryptocurrencies is sure to have a secondary effect on the profitability of Norwegian miners, making it an all-around unfriendly zone for Bitcoin miners.