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Bitcoin energy consumption is driven by mining electricity demand, with TWh-scale power use, carbon footprint concerns, and Cambridge estimates. Rising prices incentivize more hardware; efficiency gains and renewables adoption shape sustainability outcomes.
Bitcoin energy consumption is mining's electricity use, driven by price, device efficiency, and energy mix.
✅ Cambridge tool estimates ~121 TWh annual usage
✅ Rising BTC price incentivizes more mining hardware
✅ Efficiency, renewables, and costs shape footprint
"Mining" for the cryptocurrency is power-hungry, with power curtailments reported during heat waves, involving heavy computer calculations to verify transactions.
Cambridge researchers say it consumes around 121.36 terawatt-hours (TWh) a year - and is unlikely to fall unless the value of the currency slumps, even as Americans use less electricity overall.
Critics say electric-car firm Tesla's decision to invest heavily in Bitcoin undermines its environmental image.
The currency's value hit a record $48,000 (£34,820) this week. following Tesla's announcement that it had bought about $1.5bn bitcoin and planned to accept it as payment in future.
But the rising price offers even more incentive to Bitcoin miners to run more and more machines.
And as the price increases, so does the energy consumption, according to Michel Rauchs, researcher at The Cambridge Centre for Alternative Finance, who co-created the online tool that generates these estimates.
“It is really by design that Bitcoin consumes that much electricity,” Mr Rauchs told BBC’s Tech Tent podcast. “This is not something that will change in the future unless the Bitcoin price is going to significantly go down."
The online tool has ranked Bitcoin’s electricity consumption above Argentina (121 TWh), the Netherlands (108.8 TWh) and the United Arab Emirates (113.20 TWh) - and it is gradually creeping up on Norway (122.20 TWh).
The energy it uses could power all kettles used in the UK, where low-carbon generation stalled in 2019, for 27 years, it said.
However, it also suggests the amount of electricity consumed every year by always-on but inactive home devices in the US alone could power the entire Bitcoin network for a year, and in Canada, B.C. power imports have helped meet demand.
Mining Bitcoin
In order to "mine" Bitcoin, computers - often specialised ones - are connected to the cryptocurrency network.
They have the job of verifying transactions made by people who send or receive Bitcoin.
This process involves solving puzzles, which, while not integral to verifying movements of the currency, provide a hurdle to ensure no-one fraudulently edits the global record of all transactions.
As a reward, miners occasionally receive small amounts of Bitcoin in what is often likened to a lottery.
To increase profits, people often connect large numbers of miners to the network - even entire warehouses full of them, as seen with a Medicine Hat bitcoin operation backed by an electricity deal.
That uses lots of electricity because the computers are more or less constantly working to complete the puzzles, prompting some utilities to consider pauses on new crypto loads in certain regions.
The University of Cambridge tool models the economic lifetime of the world's Bitcoin miners and assumes that all the Bitcoin mining machines worldwide are working with various efficiencies.
Using an average electricity price per kilowatt hour ($0.05) and the energy demands of the Bitcoin network, it is then possible to estimate how much electricity is being consumed at any one time, though in places like China's power sector data can be opaque.
USDA Rural Energy Infrastructure Funding boosts renewable energy, BESS, and transmission upgrades, delivering grid modernization, resilience, and clean power to rural cooperatives through loans and grants aligned with climate goals, decarbonization, and energy independence.
USDA Rural Energy Infrastructure Funding is a $4.37B program advancing renewables, BESS, and grid upgrades for rural power.
✅ Loans and grants for cooperatives modernizing rural grids.
✅ Prioritizes BESS to integrate wind and solar reliably.
✅ Upgrades transmission to cut losses and boost grid stability.
The U.S. Department of Agriculture (USDA) has announced a major investment of $4.37 billion aimed at upgrading rural electric cooperatives across the nation. This funding will focus on advancing renewable energy projects, enhancing battery energy storage systems (BESS), and upgrading transmission infrastructure to support a grid overhaul for renewables nationwide.
The USDA’s Rural Development initiative will provide loans and grants to cooperatives, supporting efforts to transition to cleaner energy sources that help rural America thrive, improve energy resilience, and modernize electrical grids in rural areas. These upgrades are expected to bolster the reliability and efficiency of energy systems, making rural communities more resilient to extreme weather events and fostering the expansion of renewable energy.
The funding will primarily support energy storage technologies, such as BESS, which allow excess energy from renewable sources like wind energy, solar, and hydropower technology to be stored and used during periods of high demand or when renewable generation is low. These systems are critical for integrating more renewable energy into the grid, ensuring a stable and sustainable power supply.
In addition to energy storage, the USDA’s investment will go toward enhancing the transmission networks that carry electricity across rural regions, aligning with a recent rule to boost renewable transmission across the U.S. By upgrading these systems, the USDA aims to reduce energy losses, improve grid stability, and ensure that rural communities have reliable access to power, particularly in remote and underserved areas.
This investment aligns with the Biden administration’s broader climate and clean energy goals, focusing on reducing greenhouse gas emissions and fostering sustainable energy practices, including next-generation building upgrades that lower demand. The USDA's support will also promote energy independence in rural areas, enabling local cooperatives to meet the energy demands of their communities while decreasing reliance on fossil fuels.
The funding is expected to have a far-reaching impact, not only reducing carbon footprints but also creating jobs in the renewable energy and construction sectors. By modernizing energy infrastructure, rural electric cooperatives can expand access to clean, affordable energy while contributing to the nationwide shift toward a more sustainable energy future.
The USDA’s commitment to supporting rural electric cooperatives marks a significant step in the transition to a more resilient and sustainable energy grid, mirroring grid modernization projects in Canada seen in recent years. By investing in renewables and modernizing transmission and storage systems, the government aims to improve energy access and reliability in rural communities, ultimately driving the growth of a cleaner, more energy-efficient economy.
As part of the initiative, the USDA has also highlighted its commitment to helping rural cooperatives navigate the challenges of implementing new technologies and infrastructure. The agency has pledged to provide technical assistance, ensuring that cooperatives have the resources and expertise needed to successfully complete these projects.
In conclusion, the USDA’s $4.37 billion investment represents a significant effort to improve the energy landscape of rural America. By supporting the development of renewable energy, energy storage, and transmission upgrades, the USDA is not only fostering a cleaner energy future but also enhancing the resilience of rural communities. This initiative will contribute to the nationwide transition toward a sustainable, low-carbon economy, ensuring that rural areas are not left behind in the global push for renewable energy.
Covid-19 Energy Transition and Machine Learning reshape climate change policy, electricity planning, and grid operations, from demand forecasting and decarbonization strategies in Europe to scalable electrification modeling and renewable integration across Africa.
How the pandemic reshapes energy policy and how ML improves planning, demand forecasts, and grid reliability in Africa.
✅ Pandemic-driven demand shifts strain grid operations and markets
✅ Policy momentum risks rollback; favor future-oriented decarbonization
✅ ML boosts demand prediction, electrification, and grid reliability in Africa
The impact of Covid-19 on the energy system was discussed in an online climate change workshop that also considered how machine learning can help electricity planning in Africa.
This year’s International Conference on Learning Representations event included a workshop held by the Climate Change AI group of academics and artificial intelligence industry representatives, which considered how machine learning can help tackle climate change and highlighted advances by European electricity prediction specialists working in this field.
Bjarne Steffen, senior researcher at the energy politics group at ETH Zürich, shared his insights at the workshop on how Covid-19 and the accompanying economic crisis are affecting recently introduced ‘green’ policies. “The crisis hit at a time when energy policies were experiencing increasing momentum towards climate action, especially in Europe, and in proposals to invest in smarter electricity infrastructure for long-term resilience,” said Steffen, who added the coronavirus pandemic has cast into doubt the implementation of such progressive policies.
The academic said there was a risk of overreacting to the public health crisis, as far as progress towards climate change goals was concerned.
Lobbying
“Many interest groups from carbon-intensive industries are pushing to remove the emissions trading system and other green policies,” said Steffen. “In cases where those policies are having a serious impact on carbon-emitting industries, governments should offer temporary waivers during this temporary crisis, instead of overhauling the regulatory structure.”
However, the ETH Zürich researcher said any temptation to impose environmental conditions to bail-outs for carbon-intensive industries should be resisted. “While it is tempting to push a green agenda in the relief packages, tying short-term environmental conditions to bail-outs is impractical, given the uncertainty in how long this crisis will last,” he said. “It is better to include provisions that will give more control over future decisions to decarbonize industries, such as the government taking equity shares in companies.”
Steffen shared with pv magazine readers an article published in Joule which can be accessed here, and which articulates his arguments about how Covid-19 could affect the energy transition.
Covid-19 in the U.K.
The electricity system in the U.K. is also being affected by Covid-19, even as the U.S. electric grid grapples with climate risks, according to Jack Kelly, founder of London-based, not-for-profit, greenhouse gas emission reduction research laboratory Open Climate Fix.
“The crisis has reduced overall electricity use in the U.K.,” said Kelly. “Residential use has increased but this has not offset reductions in commercial and industrial loads.”
Steve Wallace, a power system manager at British electricity system operator National Grid ESO recently told U.K. broadcaster the BBC electricity demand has fallen 15-20% across the U.K. The National Grid ESO blog has stated the fall-off makes managing grid functions such as voltage regulation more challenging.
Open Climate Fix’s Kelly noted even events such as a nationally-coordinated round of applause for key workers was followed by a dramatic surge in demand, stating: “On April 16, the National Grid saw a nearly 1 GW spike in electricity demand over 10 minutes after everyone finished clapping for healthcare workers and went about the rest of their evenings.”
Climate Change AI workshop panelists also discussed the impact machine learning could have on improving electricity planning in Africa. The Electricity Growth and Use in Developing Economies (e-Guide) initiative funded by fossil fuel philanthropic organization the Rockefeller Foundation aims to use data to improve the planning and operation of electricity systems in developing countries.
E-Guide members Nathan Williams, an assistant professor at the Rochester Institute of Technology (RIT) in New York state, and Simone Fobi, a PhD student at Columbia University in NYC, spoke about their work at the Climate Change AI workshop, which closed on Thursday. Williams emphasized the importance of demand prediction, saying: “Uncertainty around current and future electricity consumption leads to inefficient planning. The weak link for energy planning tools is the poor quality of demand data.”
Fobi said: “We are trying to use machine learning to make use of lower-quality data and still be able to make strong predictions.”
The market maturity of individual solar home systems and PV mini-grids in Africa mean more complex electrification plan modeling is required, similar to integrating AI data centers into Canada's grids at scale.
Modeling
“When we are doing [electricity] access planning, we are trying to figure out where the demand will be and how much demand will exist so we can propose the right technology,” added Fobi. “This makes demand estimation crucial to efficient planning.”
Unlike many traditional modeling approaches, machine learning is scalable and transferable. Rochester’s Williams has been using data from nations such as Kenya, which are more advanced in their electrification efforts, to train machine learning models to make predictions to guide electrification efforts in countries which are not as far down the track.
Williams also discussed work being undertaken by e-Guide members at the Colorado School of Mines, which uses nighttime satellite imagery and machine learning to assess the reliability of grid infrastructure in India, where new algorithms to prevent ransomware-induced blackouts are also advancing.
Rural power
Another e-Guide project, led by Jay Taneja at the University of Massachusetts, Amherst – and co-funded by the Energy and Economic Growth program on development spending based at Berkeley – uses satellite imagery to identify productive uses of electricity in rural areas by detecting pollution signals from diesel irrigation pumps.
Though good quality data is often not readily available for Africa, Williams added, it does exist.
“We have spent years developing trusting relationships with utilities,” said the RIT academic. “Once our partners realize the value proposition we can offer, they are enthusiastic about sharing their data … We can’t do machine learning without high-quality data and this requires that organizations can effectively collect, organize, store and work with data. Data can transform the electricity sector, as shown by Canadian projects to use AI for energy savings, but capacity building is crucial.”
National Grid power supply warning highlights electricity shortage risks amid low wind output, generator outages, and cold weather, reducing capacity margins and grid stability; considering demand response and reserve power to avoid blackout risk.
An alert that reduced capacity from low wind and outages requires actions to maintain UK grid stability.
✅ Low wind output and generator outages reduce capacity margins
✅ ESO exploring demand response and reserve generation options
✅ Aim: maintain grid stability and avoid blackout risk
National Grid has warned that Britain’s electricity will be in short supply over the next few days after a string of unplanned power plant outages and unusually low wind speeds this week, as cheap wind power wanes across the system.
The electricity system operator said it will take action to “make sure there is enough generation” during the cold weather spell, including virtual power plants and other demand-side measures, to prevent a second major blackout in as many years.
“Unusually low wind output coinciding with a number of generator outages means the cushion of spare capacity we operate the system with has been reduced,” the company told its Twitter followers.
“We’re exploring measures and actions to make sure there is enough generation available to increase our buffer of capacity.”
A spokeswoman for National Grid said the latest electricity supply squeeze was not expected to be as severe as recorded last month, following reports that the government’s emergency energy plan was not going ahead, and added that the company did not expect to issue an official warning in the next 24 hours.
“We’re monitoring how the situation develops,” she said.
The warning is the second from the electricity system operator in recent weeks. In mid-September the company issued an official warning to the electricity market as peak power prices climbed, that its ‘buffer’ of power reserves had fallen below 500MW and it may need to call on more power plants to help prevent a blackout. The notice was later withdrawn.
Concerns over National Grid’s electricity supplies have been relatively rare in recent years. It was forced in November 2015 to ask businesses to cut their demand as a “last resort” measure to keep the lights on after a string of coal plant breakdowns.
But since then, National Grid’s greater challenge has been an oversupply of electricity, partly due to record wind generation, which has threatened to overwhelm the grid during times of low electricity demand.
National Grid has already spent almost £1bn on extra measures to prevent blackouts over the first half of the year by paying generators to produce less electricity during the coronavirus lockdown, as daily demand fell.
The company paid wind farms to turn off, and EDF Energy to halve the nuclear generation from its Sizewell B nuclear plant, to avoid overwhelming the grid when demand for electricity fell by almost a quarter from last year.
The electricity supply squeeze comes a little over a year after National Grid left large parts of England and Wales without electricity after the biggest blackout in a decade left a million homes in the dark. National Grid blamed a lightning strike for the widespread power failure.
Similar supply strains have recently caused power cuts in China, underscoring how weather and generation mix can trigger blackouts.
Washington County solar farm incentives aim to steer projects to industrial sites with tax breaks, underground grid connections, decommissioning bonds, and wildlife corridors, balancing zoning, historic preservation, and Maryland renewable energy mandates.
Policies steer solar to industrial sites with tax breaks, buried lines, and bonds, aligning with zoning and state goals.
✅ Tax breaks to favor rooftops and parking canopies
✅ Bury new grid lines to shift projects to industrial parks
✅ Require decommissioning bonds and wildlife corridors
Incentives for establishing solar farms at industrial spaces instead of on prime farmland are among the ideas the Washington County Planning Commission is recommending for the county to update its policies regarding solar farms.
Potential incentives would include tax breaks on solar equipment and requiring developers to put power-grid connections and line extensions underground, a move tied to grid upgrade cost debates in other regions, Planning Commission members said during a Monday meeting.
The tax break could make it more attractive for a developer to put a solar farm on a roof or over a parking lot, similar to California's building-solar requirement policies that favor rooftop generation, which could cost more than putting it on farmland, said Commission member Dave Kline, who works for FirstEnergy.
Requiring a company to bury new transmission lines could steer them to industrial or business parks where, theoretically, transmission lines are more readily available, Kline said Wednesday in a phone interview.
Chairman Clint Wiley suggested talking to industrial property owners to create a list of industrial sites that make sense for a solar site, which could generate extra income for the property owner.
Commission members also talked about requiring a wildlife corridor. Anne Arundel County requires such a corridor if a solar site is over 15 acres, according to Jill Baker, deputy director of planning and zoning. The solar site is broken into sections so animals such as deer can get through, she said.
However, that means the solar farm would take up more agricultural land, Commission member Jeremiah Weddle said. Weddle, a farmer, has repeatedly voiced concerns about solar farms using prime farmland.
County zoning law already states solar farms are prohibited in Rural Legacy Areas, Priority Preservation Areas, and within Antietam Overlay zones that preserve the Antietam National Battlefield viewshed. They also cannot be built on land with permanent preservation easements, Baker said.
However, a big reason county officials are looking to strengthen county policies for solar generating systems, or solar farms, is a recent court decision that ruled the Maryland Public Service Commission can preempt county zoning law when it comes to large solar farms.
County zoning law defines a solar energy generating system as a solar facility, with multiple solar arrays, tied into the power grid and whose primary purpose is to generate power to distribute and/or sell into the public utility grid rather than consuming that power on site.
The Maryland Court of Appeals ruled in July that the Public Service Commission can preempt local zoning regarding solar farms larger than 2 megawatts. But the ruling also stated local government is a "significant participant in the process" and the state commission must give "due consideration" to local zoning laws.
County officials are looking at recommendations for solar farms, whether they are over 2 megawatts or not.
Solar farms are a popular issue statewide, especially with Maryland solar subscriptions expanding, and were discussed at a recent Maryland Association of Counties meeting for planners, Planning and Zoning Director Stephen Goodrich said.
The thinking is the best way for counties to express their opinions about a solar project is to participate in the state commission's local public hearings, where issues like how solar owners are paid often arise, Goodrich said. Another popular idea is for the county to continue to follow its process, which requires a public hearing for a special exception to establish a solar farm. That will help the county form an opinion, on individual cases, to offer the state commission, he said.
Recommendations discussed by the Planning Commission include:
A break on personal property taxes, which is on equipment, including affordable battery storage that can firm output, to steer developers away from areas where the county doesn't want solar farms. The Board of County Commissioners have been split on tax-break agreements for solar farms, with a majority recently granting a few.
Protecting valuable historic sites.
Requiring a decommissioning bond for removing the equipment at the end of the solar farm's life. The bond is protection in case the company goes bankrupt. The county commissioners have been making such a bond a requirement when granting recent tax breaks.
Looking at allowing solar farms in stormwater-management areas.
Other counties, particularly in Western Maryland and on the Eastern Shore, are having issues with solar farms even as research to improve solar and wind advances, because land is cheaper and there are wide-open spaces, Goodrich said.
Many solar projects are being developed or proposed because state lawmakers passed legislation requiring 50% of electricity produced in the state to come from renewable sources by 2030, and a federal plan to expand solar is also shaping expectations. Of that 50%, 14.5% is to come from solar energy.
In Maryland, the average number of homes that can be powered by 1 megawatt of solar energy is about 110, according to the Solar Energy Industries Association's website.
Texas Blackout Liability Ruling clarifies appellate court findings in Houston, citing deregulated energy markets, ERCOT immunity, wholesale generators, retail providers, and 2021 winter storm lawsuits over grid failures and wrongful deaths.
Houston judges held wholesale generators owe no duty to retail customers, limiting liability for 2021 blackout lawsuits.
✅ Court cites deregulated market and lack of privity to consumers
✅ Ruling shields generators from 2021 winter storm civil suits
✅ Plaintiffs plan appeals; legislature may address liability
Nearly three years after the devastating Texas blackout of 2021, a panel of judges from the First Court of Appeals in Houston has determined that major power companies cannot be held accountable for their failure to deliver electricity during the power grid crisis that unfolded, citing Texas' deregulated energy market as the reason.
This ruling appears likely to shield these companies from lawsuits that were filed against them in the aftermath of the blackout, leaving the families of those affected uncertain about where to seek justice.
In February 2021, a severe cold front swept over Texas, bringing extended periods of ice and snow. The extreme weather conditions increased energy demand while simultaneously reducing supply by causing power generators and the state's natural gas supply chain to freeze. This led to a blackout that left millions of Texans without power and water for nearly a week.
The state officially reported that almost 250 people lost their lives during the winter storm and subsequent blackout, although some analysts argue that this is a significant undercount and warn of blackout risks across the U.S. during severe heat as well.
In the wake of the storm, Texans affected by the energy system's failure began filing lawsuits, and lawmakers proposed a market bailout as political debate intensified. Some of these legal actions were directed against power generators whose plants either ceased to function during the storm or ran out of fuel for electricity generation.
After several years of legal proceedings, a three-judge panel was convened to evaluate the merits of these lawsuits.
This week, Chief Justice Terry Adams issued a unanimous opinion on behalf of the panel, stating, "Texas does not currently recognize a legal duty owed by wholesale power generators to retail customers to provide continuous electricity to the electric grid, and ultimately to the retail customers."
The opinion further clarified that major power generators "are now statutorily precluded by the legislature from having any direct relationship with retail customers of electricity."
This separation of power generation from transmission and retail electric sales in many parts of Texas resulted from energy market deregulation in the early 2000s, with the goal of reducing energy costs, and prompted electricity market reforms aimed at avoiding future blackouts.
Under the previous system, power companies were "vertically integrated," controlling generators, transmission lines, and selling the energy they produced directly to regional customers. However, in deregulated areas of Texas, competition was introduced, creating competing energy-generating companies and retail electric providers that purchase power wholesale and then sell it to residential consumers; meanwhile, electric cooperatives in other parts of the state remained member-owned providers.
Tré Fischer, a partner at the Jackson Walker law firm representing the power companies, explained, "One consequence of that was, because of the unbundling and the separation, you also don't have the same duties and obligations [to consumers]. The structure just doesn't allow for that direct relationship and correspondingly a direct obligation to continually supply the electricity even if there's a natural disaster or catastrophic event."
In the opinion, Justice Adams noted that when designing the Texas energy market, amid renewed interest in ways to improve electricity reliability across the grid, state lawmakers "could have codified the retail customers' asserted duty of continuous electricity on the part of wholesale power generators into law."
The recent ruling applies to five representative cases chosen by the panel out of hundreds filed after the blackout. Due to this decision, it is improbable that any of the lawsuits against power companies will succeed, according to the court's interpretation.
However, plaintiffs' attorneys have indicated their intention to appeal. They may request a review of the panel's opinion by the entire First Court of Appeals or appeal directly to the state supreme court.
The state Supreme Court had previously ruled that the Electric Reliability Council of Texas (ERCOT), the state's power grid operator, enjoys sovereign immunity and cannot be sued over the blackout.
This latest opinion raises the question of who, if anyone, can be held responsible for deaths and losses resulting from the blackout, a question left unaddressed by the court. Fischer commented, "If anything [the judges] were saying that is a question for the Texas legislature."
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