Bitcoin mining will reduce energy tariffs in rural Kenya by 90%

Bitcoin mining project builds new infrastructure for energy consumers in Kenya.
In Kenya, the Gridless project is building an infrastructure for bitcoin miners to not only mine the No. 1 cryptocurrency, but also to provide rural Kenyans with access to inexpensive electricity generated by hydroelectric power plants. Such energy is abundant in Kenya, but there are not enough distribution networks to bring it to the end consumer in sparsely populated areas.
Given that bitcoin miners consume energy for commercial gain, generating bitcoins that are sold on the market, local energy infrastructure is projected to be developed in this way.
Representatives of the Gridless project note that bitcoin mining will allow balancing energy consumption at times of peak loads and reduced demand. It is worth noting that such order already operatesFor example, in the U.S. state of Texas. Thus, in Kenya, with the help of miners expect to have a clear plan for the energy consumption for the next few months, which will allow to develop the energy infrastructure stably and with optimal economic costs.
In turn, Luxor Mining, one of the partners of the Gridless project, said that the participation of bitcoin miners will reduce the cost of energy for individuals in rural areas of Kenya by up to -90%. The fact is that in terms of energy infrastructure development, there is a certain lower threshold for energy consumption, at which it is advisable to deploy the construction of distribution networks in sparsely populated regions of Kenya.
For example, if we are talking about 100 kW, in fact, all the costs of energy infrastructure will gradually become part of energy tariffs, even if the actual consumption is only 10 kW. The arrival of bitcoin miners, on the other hand, will allow them to take the paid consumption of 90 kW of the said 100 kW, thereby the actual savings on the energy tariff for individuals in sparsely populated regions of Kenya could be up to 90%.
It’s worth noting that the de facto operating strategy of Kenya’s energy giant, KenGen, is in the same vein, as it reported in June, is interested in providing surplus energy that is generated by local hydroelectric plants.

Leave a Comment