Pakistan is seeking to capitalize on its surplus electricity production by offering competitive energy tariffs to Bitcoin miners and blockchain data centers, a move aimed at reducing waste and promoting the digital asset sector in a regulated manner.
According to Dawn, these tariffs will be set based on market prices without relying on government subsidies, allowing the government to reduce payments to energy producers for unused electricity.
Bitcoin mining is one of the most energy-intensive sectors, with Statista data indicating that the total network consumption ranges between 137 and 175 terawatt-hours annually. Miners typically allocate between 60% and 70% of their revenue to paying electricity bills, making it an ideal sector to absorb Pakistan's energy surplus.
In this context, Pakistan's Minister of Energy, Owais Leghari, met with Bilal Bin Saqib, CEO of the Pakistan Cryptocurrency Board, to discuss opportunities to attract global cryptocurrency miners to invest in the country.
Finance Minister Muhammad Aurangzeb chaired the inaugural meeting of the council, which discussed ways to develop a regulatory framework for digital assets to support domestic growth and enhance foreign investment flows.
Countries' strategies for dealing with cryptocurrency mining vary.
In Russia, the availability of cheap energy sources, such as natural gas and hydropower, has encouraged mining. President Vladimir Putin signed a law in August 2024 allowing registered companies and individuals to engage in mining operations.
The United States has adopted a supportive approach by regulating mining in states such as Texas and Wyoming, with a focus on the use of renewable energy sources such as wind and solar.
