Coal and Crypto Mining Animate at Odd Timing in Indianapolis

Indiana’s most populous city, Indianapolis, will see a coal-powered facility get a new life alongside the entry of a crypto miner in the region. AboutBit, a crypto mining company is planning to set up a crypto mining facility in the region. Since 2021, the United States has seen an influx of crypto miners following China’s blanket ban on all crypto-related activities in the country.

Hoosiers Concerned About The Development

According to the local newspaper Indianapolis Star, both the companies, AboutBit and Meron Generating Station, will add to the pollution in the region. The crypto mining company had acquired the coal-fired power plant, however, the exact nature of the relationship between both companies is unclear.

Crypto mining uses large banks of computers that draw vast amounts of energy from power sources. Although, using clean energy can drastically reduce carbon footprint, fossil fuel-powered operations can contribute to greenhouse gas (GHG) emissions significantly. Available data shows nearly one million crypto miners are active globally.

Meron Generating Station is a 40-year-old coal-fired plant, the Indianapolis Star reports. It was slated to go offline this year only, nevertheless, the decision was reversed in 2022. Their new owners are reportedly planning one of the largest crypto mines in the country. Currently, Riot Platforms holds this title.

AboutBit told the Indianapolis Star that “the crypto facility has nothing to do with the coal plant staying open.” However, advocates have concerns regarding the development. “Program director of Citizens Action Coalition, Ben Inskeep, said that, “I would be extremely skeptical of their claims unless and until they can provide you with documentation backing them up.”

The Environmental Protection Agency, a US government agency, highlights that coal emits more carbon than natural gas and petroleum. In 2021 coal accounted for 23 percent of energy generated in the US. But it contributed to 59 percent of carbon emitted from the energy generation sector that year.

Alongside large banks of computers, AboutBit would require cooling systems to avoid overheating to keep the systems up and running. Either they can use water or a traditional “fan” system. However, the latter option is causing trouble in several counties in the nation.

Data shows fans used for cooling the systems can produce a drone that may reach up to 90 decibels. Such frequency could prove damaging for human hearing. It is currently a tug-of-war between crypto miners and denizens. Some regions have successfully halted the entry of miners, however, some crypto miners had an upper hand following favorable court decisions.

The upcoming crypto-mining facility will reportedly have 115 MW of capacity. Given that crypto mining rigs require unhindered operations day and night, it may consume power equivalent to 84,000 households in Indianapolis. Environmental law group Earthjustice’s Mandy DeRoche said “It’s no coincidence the timing of staying open with the new large power needs.”

Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.