Greenidge Mining Facility Continues Operations Amid Permit Denials
DRESDEN, N.Y. — The Greenidge cryptocurrency mining facility located on Seneca Lake remains operational despite facing repeated denials of its air permits from New York State authorities. Lawmakers and environmental advocates argue that the facility is undermining the state’s climate initiative while the company exploits legal loopholes to prolong its operations. Assemblymember Anna Kelles criticized the situation, stating, “Greenidge is utilizing its financial power to extend the appeals process, prioritizing profit over environmental concerns. This behavior is deeply manipulative and insincere.”
Environmental Concerns Over Greenidge’s Operations
The New York Department of Environmental Conservation (DEC) initially rejected Greenidge’s Title V air permit renewal in 2022, citing the facility’s failure to comply with the Climate Leadership and Community Protection Act (CLCPA). This legislation mandates an 85% reduction in greenhouse gas emissions by 2050 and a 40% reduction by 2030. Although state courts have upheld the DEC’s decision three times, Greenidge has continued its operations while contesting each ruling. The company contends that the DEC lacks the authority to deny air permits based on CLCPA requirements and claims that it operates as a carbon neutral facility by purchasing carbon offsets.
Dangers of Greenidge’s Legal Maneuvering
Yvonne Taylor, co-founder of Seneca Lake Guardian, expressed concern that Greenidge’s legal challenges could set a troubling precedent. “They are attempting to undermine New York’s climate legislation by arguing that the DEC cannot deny permits based on the CLCPA,” she stated. “If they succeed, it could render our climate laws ineffective.” A recent ruling from the New York State Supreme Court affirmed the DEC’s authority to deny air permits based on the CLCPA but indicated that further justification is required for such actions. Taylor informed the Ithaca Times that the decision mandates the DEC to conduct an “issues conference,” allowing both parties to present expert testimony before a lower court reaches a final decision. However, Greenidge has sought to delay this expedited timeline, prolonging the legal battle. “It feels like we are stuck in limbo,” Taylor lamented. “We keep achieving victories, but Greenidge continually finds ways to manipulate the process. It’s incredibly frustrating.” She added, “The longer this drags on, the more they profit while damaging our environment.”
Increasing Environmental Impact of the Facility
Concerns have been raised regarding the facility’s growing reliance on natural gas, which has led to an uptick in its CO2 and other greenhouse gas emissions, questioning its compliance with New York’s climate directives. Kelles mentioned to the Ithaca Times, “There’s nothing in the law that requires them to stop operations during an appeal. Greenidge is taking advantage of this loophole to continue profiting from actions harmful to our climate and local communities.” Once a coal-burning power plant, the facility transitioned to burning natural gas sourced from fracking operations in Pennsylvania after renovations in 2017. Since this change, the majority of its energy output has been directed toward cryptocurrency mining instead of contributing energy back to the grid, a key reason cited for the denial of its air permit.
Climate Impact of Cryptocurrency Mining
Both Kelles and Taylor emphasized the significant energy consumption and greenhouse gas emissions associated with cryptocurrency mining. They referenced data indicating that the facility released over 818 million pounds of CO2 equivalents in 2023. “These emissions equate to nearly 84,000 vehicles on the road,” Kelles remarked. “This directly contradicts the objectives of the CLCPA, which aims to position New York as a leader in combating climate change.” In addition to air pollution, Greenidge withdraws up to 139 million gallons of water daily from Seneca Lake for cooling purposes, returning it at temperatures as high as 108°F. Such hot water discharges contribute to harmful algal blooms that pose risks to aquatic ecosystems and recreational activities on the lake. “Last summer, the northwest quadrant of Seneca Lake, where Greenidge is situated, experienced the highest incidence of harmful algal blooms,” Taylor noted. “While we can’t assign full blame to Greenidge, their hot water discharges certainly exacerbate the situation.”
Concerns Over Natural Gas Consumption
The facility’s annual consumption of 6.4 billion cubic feet of natural gas further intensifies its carbon footprint and contributes to methane emissions. Although methane has a shorter atmospheric lifespan of around 12 years compared to carbon, it is significantly more effective at trapping heat, being 80-90 times more potent over a 20-year timeframe. In reaction to increasing public opposition against fossil-fuel-powered cryptocurrency mining, New York enacted a limited two-year moratorium on such activities in 2022 to prevent the revival of other decommissioned power plants for similar uses. However, Greenidge was exempt from this moratorium due to its pre-existing operations.
Further Legislative Action Needed
Taylor stated, “The moratorium was a positive step, yet it did not go far enough, and it’s now approaching its expiration.” She argued that Greenidge exemplifies the pressing need for more robust legislation to address the environmental repercussions of cryptocurrency mining. Additionally, Taylor pointed out the national implications of cryptocurrency mining, highlighting that Seneca Lake Guardian has initiated a national coalition to raise awareness of the industry’s environmental hazards. She stressed the importance of this issue, particularly as former President Donald Trump expressed support for making the U.S. the global hub for cryptocurrency. “This is not merely a New York issue,” Taylor asserted. “Communities nationwide are grappling with similar challenges — noise, pollution, and water consumption — and it’s time for a national dialogue about the true costs of crypto mining.”
Exploring Legal Avenues for Closure
As the air permit case progresses, Taylor mentioned that Seneca Lake Guardian is investigating other legal paths to compel the facility’s closure, including a potential lawsuit under New York’s Green Amendment, which ensures residents’ rights to clean air and water. “This legal tool was designed to shield communities from precisely this type of harm, and we are carefully assessing how to leverage it effectively against Greenidge,” she stated. However, she acknowledged that this approach remains largely untested in New York and faces considerable hurdles. Seneca Lake Guardian has already filed a Green Amendment lawsuit against the Seneca Meadows Landfill, but the state Attorney General’s office has opposed this case. “The Attorney General has sought to dismiss the lawsuit, claiming that citizens lack the authority to enforce their constitutional rights,” Taylor explained. “This puts us in a frustrating position where the very protections designed to safeguard us are being obstructed by the state.” She concluded, “We need our leaders to uphold New York’s climate law and prioritize the well-being of our communities over corporate profits.”
