Amir Saeed

Pakistan’s surplus electricity is set to be strategically utilised to power bitcoin mining and artificial intelligence data centres, converting excess energy into a significant source of foreign exchange earnings.

Talking to WealthPK, Arqam Ilyas, an energy expert, highlighted Pakistan’s bold and strategic move to allocate 2,000MW of surplus electricity from the national grid for bitcoin mining and AI data centres.

“This initiative aims to convert the country’s excess power into a significant source of foreign exchange revenue. Southern Pakistan has over 10,000MW of installed power capacity, while demand remains under 2,400MW, causing chronic underutilisation and transmission bottlenecks,” he pointed out.

Redirecting 2,000MW of this surplus to bitcoin mining optimises energy use and reduces stress on the national grid by localising consumption, he said, adding that this could save the national pool over Rs30 billion annually in generation costs, demonstrating clear economic prudence.

Ilyas explained that with this power allocation, Pakistan could mine more than 60,000 bitcoins in three years. “At a market valuation of $200,000 per bitcoin, this could generate over $12 billion in foreign exchange, effectively turning idle energy into a high-value digital export,” he said.

“Importantly, this does not increase grid costs; instead, it lowers them by utilising otherwise wasted electricity. This policy marks a paradigm shift in Pakistan’s energy strategy, creating a sustainable path to generate substantial dollar-denominated revenue through clean, regulated, and localised operations,” Ilyas said.

Talking to WealthPK, Aatizaz Hussain, a development economic researcher, viewed Pakistan’s plan to allocate surplus electricity for bitcoin mining and AI data centres as a forward-thinking approach to a complex challenge.

He highlighted that by redirecting idle power, the country can reduce financial losses from underutilised plants and improve grid stability during off-peak hours. “This strategy leverages the country’s unique energy landscape, where supply often exceeds demand, turning systemic inefficiency into an economic opportunity,” he said.

Hussain emphasised that the success of this initiative depends on robust regulatory frameworks and infrastructure upgrades to ensure that mining operations remain sustainable and do not exacerbate existing grid vulnerabilities.

He also highlighted the potential for this move to attract foreign investment and foster technological innovation, positioning Pakistan as a regional leader in digital economies. However, he cautioned that environmental considerations and equitable distribution of benefits must be integral to policy design to avoid unintended social and ecological consequences.

Credit: INP-WealthPk