Bitcoin Mining Center in Norway Shuts Down, Residents Face 20% Increase in Electricity Bills

Bitcoin Mining Center in Norway Shuts Down, Residents Face 20% Increase in Electricity Bills

Hadsel’s Bitcoin Mining Facility Closes Amid Noise Complaints

The Bitcoin mining center located in the Hadsel municipality of Norway has officially ceased operations after years of complaints from local residents and politicians about excessive noise. The mining center, which consumed around 80 GWh of electricity annually—equivalent to the power usage of approximately 3,200 households—had long been a source of frustration for the community.

The constant hum of the cooling fans, running 24/7 to prevent the mining computers from overheating, was a major disturbance for nearby residents. Although the company behind the facility argued that the noise levels were within national limits, locals found the situation unbearable.

Kjell-Børge Freiberg, the mayor of Hadsel, expressed relief over the shutdown, stating, “There is now a full stop. We are very, very happy with Hadsel.” He noted that the data center had been a persistent problem for both politicians and neighbors for the past three years.

Bitcoin Mining Closure Increases Local Electricity Bills by 20%

While the shutdown of the Bitcoin mining center may have brought peace and quiet to Hadsel, it has also led to an unexpected consequence: a 20% increase in electricity bills for local residents. The mining center accounted for 20% of the income for Noranett, the regional electricity grid operator responsible for distributing power to customers. With the facility no longer contributing, the remaining customers are now forced to shoulder the additional costs.

Robin Jakobsen, network manager at Noranett, explained that when such a large consumer suddenly halts operations, the financial burden falls on the remaining customers. He estimates that, starting next month, households that previously paid between NOK 12,000-13,000 ($1,130-1,225) annually will see their bills increase by NOK 2,500-3,000 ($235-280).

Hadsel Seeks New Projects to Lower Electricity Costs

Mayor Freiberg acknowledged that the municipality is actively seeking new projects to replace the electricity usage previously consumed by the mining center. He hopes that attracting new ventures will help reduce the electricity costs for local residents once again. However, he also emphasized that the current system of power regulation is beyond the control of the local government.

“This is how the regulation of our power system works, and it lies outside the municipality’s authority. We just have to deal with that,” the mayor added.

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