Sunday, December 3, 2023

New Zealanders protest construction of new crypto mining facility

The construction of a new data center by Contact Energy – Lake Parime, near Clyde Dam in Central Otago New Zealand, hasn’t gone down well with the locals. It has in fact created dread about the cryptocurrency’s energy-intensive mining. They fear that the new facility will export renewable energy and this will be of no benefit to the surrounding community.

Murray Dyer, Contact Energy subsidiary Simply Energy head, told the locals that the data center will not be only used for mining. Its a data center for a diverse range of high-performance computing applications, including blockchain and cryptocurrency. There will be other decentralized computing activities with the likes of machine learning, data visualizations, and economic modeling.

Dyer said the data center would not need to run 24-7 like a traditional data center that prioritizes uptime. He explained that the company will ramp it up and down for energy that is required for critical local businesses and consumers. It will turn the data center down as it’s in the contract. Part of the deal includes bringing forward the construction of a new electrical substation to benefit the local power grid.

However, the locals have also highlighted the problem of noise pollution. Most mining facilities are noisy. Bob Nixon, Commissioner of the Otago District Council, reassured the residents that the plant complies with District Plan noise thresholds. This includes a noise mitigation wall close to the Clyde Dam, which is the third-largest hydroelectric dam in New Zealand.

Cryptured Team
Cryptured Team
The writers team at is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.

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