Pakistan is starting a massive initiative to use surplus electricity to support bitcoin mining and artificial intelligence-powered data centers.
According to the Finance Ministry, 2,000 megawatts of electricity will be allocated for this purpose in the first phase. The new project is a response to growing difficulties in the national energy sector, where electricity tariffs remain high and production capacity markedly exceeds demand.
In recent years, the rapid development of solar energy has further exacerbated the situation, with more and more consumers switching to alternative power sources to reduce their costs. This has resulted in a significant surplus in the country's energy market. The government is now looking for ways to effectively monetize the excess energy.
The Pakistan Crypto Council (PCC), a government body that promotes the development of digital infrastructure and the introduction of new technologies, is coordinating the initiative. The main objectives of the project are not only to capitalize on surplus generation but also to create new high-tech jobs and attract foreign investment to this promising sector.
The announced distribution of 2,000 megawatts of electricity marks the first stage of a larger project aimed at the phased deployment of modern digital infrastructure in Pakistan.
Authorities expect that successful implementation of this strategy will stabilize the energy market and help turn Pakistan into a regional hub for mining and data processing.
Global Trends in Using Surplus Energy for Digital Innovation
Pakistan’s move to channel surplus electricity into bitcoin mining and AI-powered data centers mirrors a growing global trend. Around the world, countries with abundant or excess energy supplies are seeking innovative ways to monetize this resource and foster technological advancement.
For example, Iceland and Canada, with their plentiful renewable energy, have become attractive destinations for cryptocurrency mining operations. These countries benefit from cooler climates that naturally reduce the costs of cooling large data centers, making such ventures even more economically viable.
Similarly, nations in the Middle East, such as the United Arab Emirates and Saudi Arabia, are investing heavily in digital infrastructure, using surplus energy from their vast oil and solar resources to power advanced data centers and blockchain projects. These initiatives not only help balance national energy grids but also drive economic diversification, create high-skilled jobs, and attract foreign investment.
By following this international trend, Pakistan is positioning itself to become a key player in the digital economy of the region. The country’s efforts to harness surplus energy for technology-driven industries could pave the way for greater innovation, enhanced energy management, and a stronger presence on the global stage.