Alberta Utilities Commission fines another unlicenced power generator mining bitcoin
The Alberta Utilities Commission has fined another company for operating an electricity generator without a licence — using the power, like other offenders, to operate bitcoin mines.
In a settlement dated Tuesday, Energy Sustain Services is to pay a $10,000 fine for operating the power plant in Brazeau County, southwest of Edmonton, between February and May of 2022.
"(Energy Sustain Services) believed that there was no requirement to obtain commission approval to construct and operate the power plant," say documents filed by the commission.
It's at least the third fine over the last year levied by the commission on unlicensed generators powering bitcoin mines.
The commission says the company entered into an agreement with Response Energy to use gas from a previously suspended well to power 87 mines in addition to the well's operation. Response had suspended the well after closing the pipeline that connected it to its gathering system.
The two companies consulted with local residents and conducted what they felt were adequate environmental assessments, including with regard to noise levels.
But on Feb. 15, when the plant started operating, the company immediately started getting noise complaints, say the documents. Straw bales were stacked to absorb the sound, but the commission began receiving complaints on March 8.
An investigator later found noise levels exceeded guidelines. Energy Sustain Services was not charged with those violations because it wasn't clear whether the noise came from the generator or the bitcoin miners.
Alberta law says generators smaller than one megawatt that supply power to a single user don't require regulatory approval.
The plant's capacity was almost 1.5 megawatts. Its electricity was used by both companies.
"(Energy Sustain Services) erroneously believed that the power plant fell under the small power plant exemption," the commission wrote.
"These are not the sort of mistakes (i.e., the reasonable belief in a mistaken fact) that would ground the defence of due diligence."
The generator has since been replaced by a low-noise machine with about one-third the capacity.
The fine levied against Energy Sustain Services is a small fraction of those previously handed out by the commission.
In February, Avex Energy was fined more than $240,000 for running a natural gas-fired generator in the County of Stettler in central Alberta, while bypassing regulatory tests for safe and unobtrusive operation.
In December, Vancouver-based Green Block Mining reached a settlement agreement of more than $400,000 for running five megawatts of generation in Sturgeon County west of Edmonton. It was also was ordered to never operate in Alberta again.
In both cases, the power was being sold to bitcoin miners, which require large amounts of electricity to run their computer servers.
This report by The Canadian Press was first published May 9, 2024.
CTVNews.ca Top Stories
'There could have been an explosion,' 8 people, including 4 children injured in St. Constant, Que.
Eight people, including four children, have second- or third-degree burns as a result of an incident at a home in Saint-Constant, Que. south of Montreal, the Coopérative des techniciens ambulanciers de la Montérégie (CETAM) reported on Saturday.
Ryan Reynolds has declared 'War of the Popcorn Buckets.' He's honestly onto something
Ryan Reynolds this week unveiled arguably the most anticipated and sure-to-be coveted merchandise tied to his upcoming 'Deadpool' sequel: the movie’s novelty popcorn bucket.
Ontario gave parents more than $1B in cash over 2 years. Here's where the money went
During the pandemic, the Ontario government started to hand out cash to parents to help offset the cost of at-home learning while schools were shuttered.
Do this once a month and extend your life by up to 10 years. No gym required
Research shows that art experiences, whether as a maker or a beholder, transform our biology by rewiring our brains and triggering the release of neurochemicals, hormones and endorphins.
Bathroom break nearly derails $22 million project at city council meeting
A brief break during Wednesday's city council meeting in Saskatoon nearly cost the city dearly.
One dead, 26 wounded in overnight shooting in Ohio: reports
A shooting on a street in Akron, Ohio, killed one man and wounded 26 other people early Sunday morning, according to reports by local news outlets.
South Korea vows 'unbearable' retaliation against North Korea over its launch of trash balloons
South Korea said Sunday it’ll soon take retaliatory steps against North Korea over its launch of trash-carrying balloons across the border and other provocations.
Mass parachute jump over Normandy kicks off commemorations for the 80th anniversary of D-Day
Parachutists jumping from Second World War-era planes hurled themselves Sunday into now peaceful Normandy skies where war once raged, heralding a week of ceremonies for the fast-disappearing generation of Allied troops who fought from D-Day beaches 80 years ago.
Ambassador says interactions with Russia 'quite limited' but 'not unfriendly'
Canada's ambassador to Russia says while Ottawa has 'grave concerns' about the Kremlin's 'longer-term trends,' the war in Ukraine is 'a primary barrier to a change in the relationship.'