French lawmakers propose a crypto mining “experiment”

Members of the French parliament have been persisting in attempts to convince the government in Paris that France should start mining Bitcoin on surplus electricity, of which it has a lot.

Following an unsuccessful motion last month, another legislative initiative now seeks backing for organizing “experimental” minting of digital currencies using energy from renewable sources.

Bill aims to launch a crypto mining experiment in France

A draft law allowing the experimental use of surplus electricity for cryptocurrency mining has been filed in the National Assembly, the lower house of parliament in France. Its main purpose is to utilize excess energy generated by renewables to support the industry and create new jobs.

The legislation, submitted by deputies from the far-right National Rally party, comes after a similar initiative by a different group of lawmakers was recently rejected, the French crypto news outlet Journal du Coin remarked in a report on Wednesday.

The sponsors of the bill highlight that electricity production relying on renewable sources is often intermittent and can generate energy that remains unused, resulting in economic losses and waste.

That extra power can be employed to fuel the energy-intensive mining of crypto assets, which requires significant amounts of electricity, thus providing a solution to exploit the surpluses.

The article elaborates further:

“Cryptocurrency mining is a growing sector that could create jobs and boost the local economy, particularly in regions where electricity is generated from renewables. International examples abound, from Bhutan to Iceland and the global leader in the sector, the United States.”

To convince colleagues of the viability of their plan, the sponsors of the bill call for conducting a three-year experiment. During the trial, electricity producers will be free to sell their excess energy to crypto mining farms.

The scheme could be supervised by state and local authorities in order to ensure compliance with environmental and safety standards in France, the authors of the draft suggest.

Mining facilities participating in the project would be required to meet certain conditions, such as using energy-efficient hardware and implementing measures to reduce their carbon footprint.

Debate over Bitcoin mining law likely to become political

The legislative proposal was met with mixed reactions in France, Journal du Coin noted. Welcomed by crypto industry players, whose businesses may benefit, the initiative received lukewarm reception from some environmental organizations that fear it may encourage excessive energy consumption.

The French government indicated its intention to study the idea, emphasizing the importance of finding innovative solutions to improve the management of the country’s electricity surpluses while providing support for emerging economic sectors.

France is Europe’s top producer and exporter of electric energy, owing largely to its highly developed and massive nuclear power industry, which accounts for well over two-thirds of the electricity generated in the country. Increasing its efficiency has been a major subject of debate, too.

Last month, a proposal to consider Bitcoin mining as a means to achieve that was put forward as an amendment to the French law on “National programming and regulatory simplification in the energy sector.” However, it was turned down by the legislature.

The current motion is also likely to be challenged as it comes from the far right, which is a recipe for a heated clash. Analysts expect to hear the usual criticisms about the excessive energy consumption of mining and even the alleged links between the extreme right and crypto, the report added.

The hopes of the cryptocurrency industry in France lie in the opportunity for a more pragmatic and reasonable political discussion, examining the potential benefits of using mining as a tool to make savings and generate profits.