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Georgia to Install Electricity Meters in Mestia to Curb Illegal Crypto Mining After Grid Strain

Georgia to Install Electricity Meters in Mestia to Curb Illegal Crypto Mining After Grid Strain

The Georgian government is rolling out electricity meters across the mountain town of Mestia, a direct response to what officials describe as illegal cryptocurrency mining operations that strained the local grid and triggered blackouts. The move puts the Caucasus nation among a growing list of countries cracking down on unregulated crypto mining that siphons subsidized power.

Why Mestia?

Mestia, a small town in the Svaneti region popular with skiers and hikers, has seen a surge in informal mining setups. Authorities claim these unregistered rigs drew enough power to cause repeated outages for residents. Installing meters lets the state track usage and bill miners at commercial rates — or cut them off entirely.

What the meters will do

The new infrastructure will give the distribution company real-time data on consumption. Homes and businesses that show spikes far above normal household use will flag for inspection. The hope is to make illegal mining uneconomical without needing constant police raids.

Not the first such move

Georgia already tried banning mining equipment imports last year, but enforcement was patchy. Meters are a more surgical tool. They shift the burden onto miners to either register and pay up, or get disconnected.

What happens next

Installation crews are expected to begin work this month, with full coverage targeted by September. The government hasn't said whether it will pursue retroactive fines for past electricity theft. That question — how far back the billing goes — is likely to be the next point of friction.