A judge in the upstate ruled Thursday that a controversial Finger Lakes cryptocurrency mine can continue operating for now, but the fossil fuel-burning operation's days may be numbered.
Two years ago, the state Department of Environmental Protection denied an air permit renewal for the mine, called Greenridge Generation. Located on the shores of Seneca Lake, it operates from a natural gas-fired peaker plant that is heavier than the Empire State Building and emits approximately 400,000 tons of carbon dioxide annually.
Conservation officials said the mine was closed because it found no evidence that the mine operator had a plan to comply with the state's climate law, which requires all industries to reduce greenhouse gas emissions by 40% by the end of 2020. did not renew the permit.
Yates County Judge Vincent DiNolfo's ruling acknowledged the Conservation Department's right to cite climate law when denying permits, but called the agency's process for denying Greenwich permits “arbitrary.” He admitted that it was a whim. The case will now be returned to the Department of Conservation's administrative judge for further consideration, continuing a six-year process that neighbors hope will end with the mine's demise.
The fate of the multi-million dollar cryptocurrency business remains uncertain.
Representatives from Greenridge Generation wrote in an email that the Department of Environmental Conservation has gone too far in enforcing state climate laws. Although the company considers the state judge's ruling a victory, the administrative court could still allow the ministry to revoke the mining permit.
Once closed, the mine was renovated and reopened in 2017 with a $100 million investment from private equity firm Atlas Holdings. The company uses a 107-megawatt natural gas plant to constantly power more than 20,000 computers that run programs that “mine” cryptocurrencies. The facility mined 167 Bitcoins worth $12.4 million between July and September, according to the company's financial report.
Residents of the pastoral community said they were tired of the judge's decision and wanted the mine to be permanently closed.
“It's very difficult to fight against a multibillion-dollar corporation for years without feeling frustrated,” said Yvonne Taylor, co-founder of the Seneca Lake Guardians, a local advocacy group. “This is so important to our health and to the lives of people in the Finger Lakes region who depend on clean air and clean water for survival that we must continue to fight. No.”
“This process of allowing Greenwich to continue operating despite harming us and violating climate change laws is disgusting,” she added.
Since the introduction of cryptomining operations, residents have complained of noise, reduced aquatic activity, and harmful algae blooms.
Mandy DeRoche, deputy chief counsel for the clean energy program at the environmental law group Earthjustice, criticized the judge who allowed the plant to continue operating.
“This marks Greenwich's 11th attempt to obtain evidence that its operations may be justified or mitigated under the CLCPA,” she wrote. said. “It gives the polluters another process.”
