Pakistan Seeks to Attract Crypto Miners with Special Tariffs
Pakistan is crafting special electricity tariffs to lure cryptocurrency mining operations. The goal is to utilize the country’s surplus power generation. According to Dawn,the power Division is working with stakeholders to design attractive rates without subsidies. This initiative aims to use excess power and cut capacity payments.
Cryptocurrency miners typically spend 60-70% of their earnings on electricity. Pakistan’s surplus electricity could offer a competitive edge. Power Minister Awais Leghari met with Bilal Bin Saqib, CEO of the Pakistan Crypto Council (PCC), to explore opportunities for global miners. The PCC’s inaugural meeting, chaired by Finance Minister Muhammad Aurangzeb, discussed leveraging surplus electricity for Bitcoin mining. The council envisions turning liabilities into assets.
Regulatory clarity is crucial for the sector’s growth. The council plans to learn from global practices while adapting to local conditions. They also talked about developing regulatory frameworks for consumer protection and blockchain mining.
- Use excess power production
- Reduce capacity payments
- Develop a national blockchain policy
Various countries have different approaches. China banned mining due to environmental concerns. Kazakhstan imposed higher tariffs due to energy shortages. El salvador provides low-cost geothermal energy for miners.
Regulatory frameworks and licensing regimes are key. The council agreed to ensure business models fit local needs. Pakistan’s strategy contrasts with China’s ban and Kazakhstan’s higher tariffs. El Salvador offers low-cost geothermal energy.Pakistan’s approach aims to attract miners and boost the economy.
