British Columbia Permanently Bans New Crypto Mining Connections Amid Soaring Power Demand

Quick Breakdown 

• British Columbia will permanently ban new crypto mining grid connections from fall 2025.
• The government cites surging electricity demand and limited economic benefit from crypto mining.
• AI and data centers will still receive support, but with capped power allocations.

 

British Columbia shuts door on crypto mining expansion

The government of British Columbia (BC) has announced a permanent ban on new cryptocurrency mining connections to the province’s hydroelectric power grid, citing “unprecedented electricity demand” from both traditional and emerging industries.

Hydro power center in British Columbia. Source: British Columbia Government

In a statement on Monday, the provincial government revealed new legislation designed to help its state-owned power provider, BC Hydro, balance energy distribution while driving economic growth. The regulations are expected to take effect in fall 2025.

New legislation prioritizes clean energy for AI and data centres

According to the statement, BC Hydro will now be empowered to limit electricity allocation to data centers and artificial intelligence (AI) projects, while completely restricting new power grid connections for crypto mining.

“We’re seeing unprecedented demand from traditional and emerging industries,” said Charlotte Mitha, president and CEO of BC Hydro. “The Province’s strategy empowers BC Hydro to manage this growth responsibly, keeping our grid reliable and our energy future clean and affordable.”

BC Hydro, which supplies power to over 95% of BC’s population—around 5 million people, will now prioritize industries offering greater economic and social benefits to the region.

Crypto mining faces energy criticism despite industry pushback

While the government praised the potential of AI and data centers, it criticized crypto mining for “disproportionate energy consumption and limited economic benefit.”

Crypto mining advocates, however, continue to challenge these perceptions. Bitcoin environmentalist Daniel Batten and other analysts argue that mining can support renewable energy adoption and stabilize power grids when integrated responsibly.

From temporary suspension to total ban

British Columbia’s move follows a temporary 18-month moratorium on new crypto mining grid connections introduced in December 2022. The moratorium was initially intended to give policymakers time to craft a balanced framework between energy usage, economic output, and environmental goals.

However, that temporary pause has now evolved into a permanent ban, signaling a firm stance against the expansion of crypto mining in the province.

It remains unclear how this policy will affect existing operations by major firms such as Bitfarms and Iren , both of which maintain Bitcoin mining and AI data facilities within British Columbia.