New York sued by environmental group after approval of crypto mining facility: Report

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New York sued by environmental group after approval of crypto mining facility: Report
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The facility is located in Tonawanda and was acquired by the Canadian crypto mining firm Digihost.

to The Guardian, the state Public Service Commission is responsible for regulating public utilities, and authorized in September 2022 the conversion of the Fortistar North power plant into a crypto mining site.

The facility is located in Tonawanda, a city less than ten miles from Niagara Falls, and was set to be taken over by the Canadian crypto mining firm Digihost. Plaintiffs claim that the approval violates New York's climate law of 2019. The Climate Leadership and Community Protection Act sets the goal of reducing 85% in statewide emissions by 2050, and zero-emissions electricity by 2040, among other targets.

In the lawsuit, the Clean Air Coalition of Western New York and the Sierra Club are represented by the non-profit Earthjustice, claiming that the Fortistar plant was only operated during periods of high demand for electricity, such as extreme weather conditions. As a crypto mining plant, however, the site would be running 24 hours a day, generating up to 3,000% more greenhouse gas emissions.

According to public filings, Digihost planned to convert the facility to renewable natural gas to reduce its environmental impact. The company also noted that the mining site was approved by the North Tonawanda planning commission, which performs environmental reviews before making decisions.from New York to Alabama in an effort to lower energy costs, Cointelegraph reported.

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