Norwegian Town Faces Higher Power Bills After Shutting Down Bitcoin Mine

[nihalsari]

Residents of Hadsel, Norway, who successfully campaigned to close a local Bitcoin mining facility, are now facing higher electricity costs due to the loss of revenue for the local power company.

Mayor Kjell-Børge Freiberg told the Norwegian Broadcasting Corporation (NRK) on Sept. 13 that the noise from the mining center had disturbed many residents in the town of roughly 8,236 people. The facility was shut down during the week of Sept. 9, after years of noise complaints.

While the closure was initially welcomed, the mine accounted for about 20% of electricity distributor Noranett’s revenue. Without it, the company will increase local electricity rates to compensate. Network manager Robin Jakobsen estimated the average household will pay 2,500–3,000 Norwegian krone more per year (about $235–$280 USD).

“When such a large individual customer switches off overnight, it has an impact,” Jakobsen said.

Climate tech VC Daniel Batten criticized the move, calling it “another example of how Bitcoin mining helps keep power prices lower for everyday people.” The mine consumed roughly 80 GWh of electricity annually, equal to the usage of about 3,200 households.

Noise vs. Economics

This isn’t Norway’s first dispute over Bitcoin mining noise. In Sortland in 2022, locals also complained about mining operations. Kjetil Hove Pettersen, CEO of KryptoVault, argued that media coverage often amplifies the most negative voices, which may not represent all residents’ opinions.

Internationally, the debate is also growing. In the U.S., Arkansas has passed a bill setting noise limits for crypto mining farms, awaiting the governor’s signature.

[jacson4]

The closure really shows how intertwined Bitcoin mining can be with local infrastructure economics. Losing 20% of the grid’s revenue overnight is massive — and now everyday residents are footing the bill. Maybe instead of a full shutdown, noise mitigation tech or relocation could’ve kept both sides happy.

[Nahid10]

While the extra electricity cost stings, I can see why locals pushed for closure if the noise was unbearable for years. Quality of life matters too. The real lesson is that communities and mining companies need to plan better together — so it’s not a choice between sleepless nights or higher bills.