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On November 22, 2022, New York Governor Kathy Hochul signed into law a two-year moratorium against granting permits to crypto mining operations that “are operated through electric generating facilities that use a carbon-based fuel.” Renewable sources of energy are usually not impacted.
The laws, among the many first of its kind within the nation, prohibits the state’s Department of Environmental Conservation from issuing any recent or renewal permits to electricity generating facilities reliant on carbon-based fuel supporting crypto mining operations that use proof-of-work authentication methods to validate blockchain transactions. The law applies to all permits and renewal applications filed after its effective date, and subsequently grandfathers certain businesses that held permits prior to the date of enactment. The Department of Environmental Conservation and the Department of Public Service are also tasked under the laws with preparing an environmental impact statement on cryptocurrency mining operations that use proof-of-work authentication techniques.
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