The court in Kemerovo region found a resident of the Kemerovo municipal district guilty of using electricity for cryptocurrency mining while paying discounted rates, resulting in damage compensation. The man admitted guilt and fully compensated PAO "Kuzbassenergo" for the damage caused, after which the court sentenced him and confiscated the equipment.
Incident Details
The miner installed cryptocurrency mining equipment in his garage and connected it to the electrical network supplying the garage. He paid for the consumed electricity at a discounted rate, significantly exceeding the allowable consumption and payment limits for residential use. This use of the network was classified as using electricity for commercial purposes through deception, without signs of theft.
Court Decision
During the court session, the man admitted guilt and explained that he had fully compensated the damage caused. The court then issued a criminal-legal measure. It ordered a judicial fine of 100,000 rubles and confiscated the laptop along with 50 ASIC cryptocurrency mining devices, transferring this property to state ownership.
Damage and Consequences
The defendant caused PAO "Kuzbassenergo" property damage in an especially large amount totaling 4,640,134 rubles 90 kopecks. The recorded excess consumption and payment at discounted rates served as grounds for criminal classification of the act as using electricity for commercial activity by deception. For comparison with other cases and methods of detecting such violations, see materials on how electricity theft is detected and on identified mining farms in the region, mining farms in the region.
Why This Matters
This ruling shows miners in Russia that using discounted electricity tariffs beyond designated consumption limits can lead to criminal liability, fines, and full confiscation of equipment. Even when damages are compensated, courts may impose fines and seize equipment, so risks remain real regardless of farm size.
What to Do?
If you operate one or more mining devices, follow simple rules to reduce risks with energy providers and the law:
- Check your tariff and consumption limits under your plan and do not exceed them for mining, especially when using discounted residential rates.
- Register commercial activity officially if consumption exceeds residential needs to avoid accusations of deception in electricity payments.
- Keep records of consumption and payment documents to prove good faith if needed.
- If in doubt, consult a lawyer or contact your energy provider for clarification on permissible limits and tariff changes.
