SCHUYLER COUNTY, N.Y.(WENY)-- Monday, May 10th, the Schuyler County legislators voted 8-0, passing a resolution that is asking the New York State Department of Environmental Conservation, to take a deeper look at the cryptocurrency mining industry as a whole. 

This resolution comes during a time of controversy, as Greenidge Generation, a large Bitcoin mining operation in Yates county, has been seeing a large push back from environmental groups.

Regarding Greenidge Generation, environmental groups were worried about the potential harm this operation could have on aquatic life, tourism and greenhouse gas emissions. The concerns surrounding mining in Schuyler county are mainly about increasing electricity rates. 

Greenidge Generation has a very unique mining operation as it can generate its own electricity on site. If mining operations were to set up shop in downtown Watkins Glen, they would have to use electricity from the grid, which could ultimately result in an increase in prices for local businesses.  

Mining cryptocurrency involves significant computing power which uses a large amount of energy. According to the University of Cambridge Electricity Consumption Index, Bitcoin mining operations use an estimated 16.90 Gigawatts of power; for comparison, this is more energy than that used by smaller countries such as Sweden and Malaysia. When mining operations look for towns and cities to house their operation, the first thing they look for is low electricity costs. 

Steven Getman, Schuyler County Attorney said the potential for rising electricity prices throughout Schuyler county is the main reason this resolution was passed. 

“ Energy could be less expensive, that could be more attractive to the mining operations, which could, in turn, drive up energy costs for other local businesses in Schuyler County,” said Getman. 

Watkins Glen lists electricity prices for Industrial use at 3.21 cents per kilowatt-hour, according to an article by NPR this is well below the average 12 cents per kilowatt-hour. 

Bitcoin was invented in 2008 and the first Bitcoin was mined in 2009. With the industry being relatively young, there are barely any statewide regulations. This leaves it up to towns and villages to regulate cryptocurrency mining and Getman said the county hopes the DEC will step in. 

“Schuyler county passed this resolution because we feel there needs to be a state-wide, holistic, comprehensive approach to regulating these types of operations for the good of the entire state,” said Getman. 

Getman said the resolution is not pro or anti-cryptocurrency, but instead about making sure mining operations safely meet their demands. 

“Bitcoin regulation has the potential to make the market safer, safer markets mean more public confidence, which often means prices will go up over time,” said Getman.

In a response to WENY news, the DEC said : 

“DEC is currently reviewing Schuyler County’s resolution as we continue our aggressive oversight of the Greenidge Generation facility to ensure they are in compliance with our stringent regulatory requirements. In addition to ensuring continued compliance with DEC's current permits for the facility, DEC will ensure a comprehensive and transparent review of ?its proposed air permit renewals with a particular focus on the potential climate change impacts and consistency with the nation-leading emissions limits established in the Climate Leadership and Community Protection Act. As the greenhouse gas emissions associated with this type of facility may be precedential and have broader implications beyond New York's borders, DEC will consult with the U.S. EPA, the Climate Action Council, local governments and others as we thoroughly evaluate? the complex issues involved.” 

Seneca County has also seen a handful of mining proposals that are wishing to purchase 58 acres of county-owned land in the Town of Lodi. Residents have expressed concern against these proposals and according to the May 11th agenda, a non-binding resolution calling on the DEC to study and develop regulations for cryptocurrency or bitcoin mining.