Russia’s authorities will ban mining in ten regions by 2031

The restrictions are designed to maintain the balance of energy consumption, taking into account the demands of the industry

24.12.2024 - 15:00

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What’s new? In the new year, the Russian Cabinet of Ministers will ban mining and participation in mining pools in a dozen regions due to the shortage of electricity and benefits to pay for the resource, which is covered at the expense of other subjects of the Russian Federation. The restrictions are designed to maintain the balance of energy consumption, taking into account the requests of the industry.

Material by TASS

What else is known? According to the approved list, from January 1, 2025, to March 15, 2031, mining will be prohibited in Dagestan, Ingushetia, Kabardino-Balkaria, Karachay-Cherkessia, North Ossetia, Chechnya, the Donetsk and Lugansk People's Republics, as well as the Zaporozhye and Kherson regions.

During peak periods of electricity consumption, mining will also be prohibited in some territories of the Irkutsk Region, Buryatia, and the Zabaikalsky region. In 2025, such period is considered January 1-March 15, and in subsequent years — November 15-March 15.

The list of regions and territories is not final and may be adjusted by the Government Commission for the Development of the Electric Power Industry.

The ban became possible after the law on regulation of digital currency circulation came into force on November 1. The document gives the government the authority to ban mining and participation in mining pools in certain territories, as well as to regulate the activities of infrastructure operators.

Organizations and sole proprietors can engage in mining after being included in the register of the Federal Taxation Service, as well as individuals, provided that the energy consumption limit of 6000 kWh per month is met.

In late November, the Federation Council also approved a law on the taxation of cryptocurrency, it is recognized as property and is subject to personal income tax levies, but is exempt from VAT.

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