French Lawmakers Embrace Bitcoin Mining

French lawmakers have strengthened their commitment to Bitcoin mining, suggesting the country could earn up to $150 million annually from the sector.

In a bill introduced to the French National Assembly on July 11, lawmakers proposed a five-year pilot program that permits electricity producers to redirect excess power, typically wasted during low demand periods, towards Bitcoin mining operations.

According to estimates from the Association for the Development of Digital Assets (ADAN), dedicating just one gigawatt of surplus energy could produce between $100 million and $150 million each year. This additional revenue could help mitigate the fixed costs of maintaining France’s nuclear power infrastructure while monetizing energy that would otherwise be sold at a loss.

The proposal follows a prior request from French lawmakers for the government to explore how Bitcoin mining could utilize the excess power generated by the country’s nuclear plants.

Lawmakers pointed out that France’s energy grid is under increasing strain from the expansion of intermittent renewable sources, such as wind and solar.

They stated:
> “The significant share of renewable energy sources in our electricity mix is leading to recurring imbalances on the grid, including episodes of overproduction that force electricity producers to sell at a loss due to a lack of storage facilities. These unutilized surpluses represent an unacceptable economic and energy loss.”

Advantages of Bitcoin Mining

To address this issue, French lawmakers are advocating for Bitcoin mining centers to be situated alongside nuclear production facilities. These centers would activate solely when there’s excess energy available, providing a flexible solution for grid stabilization without disrupting consumer supply.

They commented:
> “Existing infrastructure, currently underutilized or closed, could accommodate this new infrastructure. Abroad, some former factories or decommissioned power plants have already been transformed into mining farms operating on carbon-free electricity.”

Additionally, the legislation points out the secondary benefits of Bitcoin mining, such as heat recovery. Mining rigs can produce substantial heat, which can be redirected to district heating systems, greenhouses, or industrial processes. They cited examples from Finland, where the heat generated from Bitcoin mining supports agriculture and sustainable infrastructure.

If approved, the pilot program would commence immediately and continue for about five years, with oversight from the French Council of State. After six months, a comprehensive evaluation will assess the potential for broader adoption.

This initiative positions France among a growing number of countries, including Pakistan, Belarus, and Texas in the US, exploring Bitcoin mining as a strategic solution to electricity oversupply.