Iran is set to use the energy of three power plants exclusively to mine bitcoin, according to an announcement from the country’s Thermal Power Plant Holding Company (TPPH).”
According to local news outlet Tehran Times, power plants in Iran receive benefits and subsidies from the government on their fuel supplies, but were barred from using the energy they produced to mine cryptocurrencies up until July.
As CryptoGlobe reported, in July Iran officially legalized cryptocurrency mining for entities approved for a license from the country’s Ministry of Industry, Mine, and Trade. At the time, the country’s government restated cryptocurrency payments were still prohibited, however.
While the Irani power plants won’t be able to take advantage of the subsidies to mine cryptoassets, TPPH is reportedly looking to enter the crypto mining space. This means the firm will comply with specific tariffs set for crypto mining. Mohsen Tarztalab, managing director of the firm, 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.
Tarztalab added that selling electricity to bitcoin miners will create a new source of revenue for the firm. Creating new stable sources of income has, per Tarztalab, been one of the goals of Iran’s electricity industry over the last few years.
Per his words, “constant price hikes and the obligation for supplying electricity with stable prices to subscribers have caused a large gap between revenues and expenditures.” Income from bitcoin mining could help fill in the gap.
The three Irani power plants will only be using their expansion turbines for BTC mining. These are not connected to the national grid. Iran’s adoption of bitcoin, it’s worth noting, comes as the country deals with poor economic perspectives for the future, and with sanctions from several countries.
Featured image via Pixabay.