The latest news coming out of Iran points to growing support for Bitcoin and cryptocurrency miners in the country.
Miners will now have access to the electricity output from three power plants to mint digital assets, courtesy of Iran’s Thermal Power Plant Holding Company (TPPH).
Tender For Bitcoin, Crypto Miners To Leverage Output of 3 Power Plants
According to today’s report from an Iranian local daily, the country’s Thermal Power Plant Holding Company (TPPH) will hold a tender to offer the electricity output of three power plants for cryptocurrency miners. TPPH head Mohsen Tarztalab said:
The Necessary equipment has been installed in three power plants of Ramin, Neka and Shahid Montazeri, and the auction documents will be uploaded on the SetadIran.ir website in the near future
As Iran’s economy reels due to a falling rial because of a spike in tension with the U.S, Tarztalab noted that the country’s electricity industry wants to create ‘stable sources of income’ for the populace:
Unfortunately, constant price hikes and the obligation for supplying electricity with stable prices to subscribers have caused a large gap between revenues and expenditures in the country’s electricity industry, and we need new sources of income to fill this gap.
Sale Of Power Output To Miners Is A Source Of Revenue
Selling electricity output to Bitcoin and cryptocurrency miners will serve as a great source of revenue for Iran’s power industry, the TPPH boss commented. Iran’s bureaucratic department that handles electricity production in the country also concurs the same. As Mohsen said:
According to the laws and regulations announced by the cabinet and the Energy Ministry, we have been allowed to allocate some capacity of our power plants for mining cryptocurrencies.”
But there’s a catch. Crypto miners will only receive the output from expansion turbines in power plants. Why? Because according to Tarztalab ‘do not consume liquid fuels like gas oil, and only natural gas’. This makes the entire proposition green and environment-friendly.
These expansion turbines, Mohsen explained, are independent. They do not participate in electricity production through the national grid. The power plants themselves utilize all the output that the turbines generate.
Not The First Cryptocurrency Mining Support Gesture From Iran
The report continued, adding that in January itself, Iran’s Ministry of Industry, Mining, and Trade had put out more than 1000 licenses for Bitcoin and cryptocurrency mining gear.
This took place at a time when the country was undergoing a massive geopolitical clash with the United States. The one that led to an airstrike resulting in the death of Qasem Soleimani, leader of Iran’s Quds Force.
Later in July, Mostafa Rajabi Mashhadi, the Spokesman for the Energy Ministry’s Electricity sector made a ground-breaking announcement. Iran’s power plants were free to mine cryptocurrencies
With the condition that associated entities would have to apply for the necessary licenses from the Industry Ministry and comply with the tariffs set for crypto mining.
From what it seems, Iran is going all out to defy the sanctions which America has put on the country.