Article reading time:
Environmental organization Earthjustice has filed a lawsuit against the New York Community Services Commission (PSC), which approved the use of the Fortistar power plant by the mining company Digihost International.
Earthjustice Non-Profit Organization,an environmental law firm filed a lawsuit in the Albany County Superior Court in New York State. The lawsuit states that PSC approved the transfer of ownership of the use of the New York 55 MW power plant to cryptocurrency mining company Digihost International.
The plaintiffs allege that the regulator violated the Law onClimate Leadership and Community Protection (CLCPA) by allowing the company to mine cryptocurrencies based on the Proof-of-Work (PoW) algorithm.
Court documents state that FortistarNorth Tonawanda operates only 10 to 74 days a year, releasing relatively small amounts of carbon dioxide and other pollutants into the air. However, with the approval of the PSC, Digihost will be able to operate 24/7 throughout the year, which will increase New York's total greenhouse gas emissions by 3,500%.
“PSC is failing to fulfill its responsibilities as a regulator, which should protect public health and comply with the requirements of climate laws,” the Earthjustice organizers said in a complaint.
Recall that in March last year, the Committee onThe New York State Environmental Protection Agency has approved a bill to ban PoW cryptocurrency mining for two years. However, New York City Mayor Eric Adams believes the bill will hurt the state's economy.