Black Hills Energy Signs First Contract Under New Blockchain Tariff

Under Wyoming’s Blockchain Interruptible Service Tariff, Black Hills Energy declared today that it had successfully concluded its first deal to supply electricity to a crypto mining facility. By the end of the year, the unnamed plant, one of the most extensive bitcoin mining operations in the area, is anticipated to be operational and energy-buying. Black Hills Corp. CEO Linn Evans said in a statement,

“We are excited to serve this new type of customer and to explore the benefits we can provide to other flexible load customers over the longer term, According to the company, luring blockchain businesses with high energy requirements will provide Wyomingites with several financial advantages, including lower property and sales taxes and stable employment. The Cheyenne Light, Fuel and Power Company, a division of Black Hills Corporation, a company based in Rapid City, South Dakota, is the parent company of Black Hills Energy. Eight states—Arkansas, Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota, and Wyoming—represent 1.2 million of the company’s clients.

Insufficient Existing Tariff

According to the energy provider, Wyoming’s “existing tariffs are insufficient to attract blockchain business while continuing to provide safe, reliable, and affordable service to existing retail customers.” When it first submitted the Blockchain Interruptible Service Tariff to the Wyoming Public Service Commission in October 2018. The Tariff, targeting blockchain enterprises, was adopted in June 2019 to draw in new industries with high energy demands for brief periods. As Per the agreement, Black Hills Energy will provide a new client in Cheyenne, Wyoming, with electric service up to 45 megawatts, with an option to increase service to 75 megawatts.


Back to top button