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Paraguayan energy companies have raised tariffs for miners by 14%

Bits.media / 03.07.2024 / 07:17
Paraguayan energy companies have raised tariffs for miners by 14%
The National Electricity Authority of Paraguay (ANDE) has announced a 14% increase in electricity tariffs for companies engaged in mining cryptocurrencies. This has put the mining industry in Paraguay at risk.

ANDE explained the fee increase by the fact that mining companies consume too much electricity. The actions of the department caused an immediate reaction from Senator Salyn Buzarkis. He criticized ANDE for being unfair to mining companies that have already invested a lot of capital in Paraguay.

"What message do energy companies give to miners? If you are not welcome, go somewhere else! ANDE is killing the mining business even before it can sprout and develop," Busarkis is outraged.

Andy Jasmin, Vice President of the Paraguayan Chamber of Miners, said that due to the increase in electricity tariffs, industry companies are already starting to leave the country. Hasmin added that a certain company withdrew investments worth $400 million because it expected stable tariffs until at least 2028. Hasmin did not specify the name of the company.

"ANDE's actions have shown investors that Paraguay is not suitable for bitcoin mining, because there are no legal guarantees, contracts are not respected, and there is no safe environment for investment," Hasmin is indignant.

Recently, Paraguayan law enforcement officers accused ANDE of creating illegal mining farms, although the agency is engaged in identifying underground miners. ANDE denies these accusations.

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