Ministers believe crypto-mining is not socially beneficial, regulated or green – and this is the first such step by a government in Europe
Norway’s Digitisation Minister, Karianne Tung, and Energy Minister Terje Aasland are introducing a law that will regulate the data centre industry, making it the first country in Europe to pass such legislation.
A report on the Norwegian news website VG explains the intention is to separate data centres that are “socially beneficial from climate-damaging crypto-mining projects”.
The Ministers are aware that data centers are increasingly important to Norwegian infrastructure and digitalisation, but the government wants more control over them.
The law will oblige data centres to submit information including identifying the person who is managing each centre and which services the centre offers. Minister Aasland said that this information should enable local politicians in municipalities to make better decisions about whether to allow data centres to set up in their areas.
Minister Tung reportedly said, “The purpose is to regulate the industry in such a way that we can close the door on the projects we do not want,” adding “The government does not want such cryptocentres” because they are associated with large emissions of greenhouse gas and bring little social benefit. Also, while the industry is not regulated, but it should be possible control the data centres they rely on for mining.
In 2023, the Norwegian newspaper Dagsavisen wrote that ‘crypto-processing centres in the north of the country use almost as much electricity as the famous Lofoten archipelago (pictured), also in the north.
Tung said Norway needs data centres for digitalisation and data storage on Norwegian soil, particularly in the light of the current security situation. But insists the government needs more accurate information regarding the amount of cryptocurrency mining that takes place in Norway’s data centres.