Bitcoin miner Greenidge Technology has filed a lawsuit in opposition to the New York Division of Environmental Conservation (DEC) over licensing points.
In response to an Aug. 15 court docket submitting, the corporate seeks an injunction after the DEC denied its Title V air allow software for its Dresden energy technology and mining facility.
The lawsuit
The DEC had refused to resume the Title V air allow in June 2022, citing non-compliance with the Local weather Management and Neighborhood Safety Act.
Greenidge’s enchantment in opposition to the choice was rejected in Might 2024. Nonetheless, the corporate was granted a four-month grace interval to proceed working beneath the prevailing allow till Sept. 8.
Greenidge claims the DEC’s choice was “arbitrary and capricious.” The corporate argued that the DEC overstepped its authority, infringing on the New York State Public Service Fee’s jurisdiction over electricity-generating services and disregarding the New York Unbiased System Operator’s course of.
The agency additional argued that the regulator’s stance on shutting down the ability was primarily based on its involvement in crypto mining regardless of its function in supplying electrical energy to the grid. Greenidge additionally emphasised the ability’s contribution to the state’s economic system, together with job creation and tax funds that help the county’s price range.
Greenidge said that if the DEC’s choice is just not annulled, it will be pressured to close down and stop working the ability by Sept. 9.
On its web site, Greenidge highlights that its Dresden facility offers clear, dependable energy to New York’s power grid, able to powering as much as 20,000 properties and companies as of 2020.
Greenidge’s operations
The Dresden plant is a vital a part of Greenidge’s operations, supporting energy technology, crypto mining, and knowledge middle internet hosting companies. Greenidge additionally operates in South Carolina, Mississippi, and North Dakota.
Greenidge reported $13.1 million in income through the second quarter, with $4.8 million derived from self-mining and $6.6 million from crypto knowledge middle internet hosting. The corporate additionally earned an extra $1.5 million from energy and capability companies.
General, Greenidge generated $32.4 million year-to-date, primarily from its crypto knowledge middle operations. Its CEO Jordan Kovler mentioned:
“The actions we took in the first half of 2024 created a strong foundation that positions Greenidge to grow efficiently moving forward as we continue to scale our business. This quarter, we followed through on our promises to significantly reduce SG&A, expand our power capacity and obtain and build new sites with low power where we can deploy our own miners.”
