
Britain’s grid operator forecasts about £4 billion in costs from transmission bottlenecks in 2027, putting a practical question to Bitcoin mining’s flexible-power pitch: can miners cut costs by using Scottish wind that cannot reach other consumers?
The National Energy System Operator (NESO) published the forecast on Nov. 12. Its latest cost breakdown shows why the answer depends on where a mine connects and which expense it actually avoids.
Thermal constraints arise when transmission lines cannot safely carry all the available electricity. NESO can then pay generators to reduce output while securing replacement supply elsewhere.
The forecast concerns thermal constraints, rather than all electricity balancing costs. It is sensitive to gas prices and network availability. NESO estimates costs would be 16% lower without network outages, although those outages also enable reinforcement intended to ease future bottlenecks.
In its Nov. 9 outturn explanation, NESO reported total balancing costs of about £3 billion for 2025/26, including roughly £2 billion for thermal constraints. A little under £500 million was paid to wind farms to turn down.
Around 75% of thermal constraint costs paid for replacement energy, predominantly from gas units.
Scotland nevertheless presents a potential use case. NESO says 28% of wind in the northern area above a transmission boundary known as B6 was curtailed in 2025/26, compared with 13% across Great Britain.
A flexible mine could reduce wind turn-down costs by consuming otherwise curtailed electricity at a connection and time that helps manage the relevant bottleneck. But adding northern demand does not itself deliver more power south. While the boundary remains binding and southern demand is unchanged, replacement supply remains necessary there.
That limits the savings claim: reduced wind turn-down does not establish an equivalent reduction in gas generation, consumer bills or emissions.
02 / Follow the constrained power
Illustration: wind is curtailed behind a binding boundary; replacement supply still serves unchanged southern demand.
Illustration: mining uses some surplus behind a binding boundary; replacement supply still serves unchanged southern demand.
A local mine may reduce wind turn-down costs while replacement supply is still needed beyond the bottleneck.
The 2025/26 share is not a 2027 breakdown. Mining state is conditional on suitable connection, timing and dispatch. No Bitcoin-specific approval, payment entitlement, gas saving or consumer benefit is established.
Using wasted wind needs a business case
The Cambridge Centre for Alternative Finance’s mining survey offers evidence that miners can adjust consumption. Respondents reported curtailing 888 GWh of electrical load during 2023. That measures demand turned down, while absorbing surplus Scottish wind would require demand to turn up at the right location and time.
The survey covered 49 firms representing 48% of Bitcoin’s network hashrate at collection, with activity concentrated in North America. It does not establish profitable intermittent mining in Britain. Electricity accounted for more than 80% of surveyed miners’ cash-based operating expenses.
NESO’s November thermal constraints report identifies additional flexible demand in constrained areas as a mitigation. Its March 5 proposed Demand for Constraints design focused on Scottish boundaries. It contemplated registration and dispatch through the Balancing Mechanism, NESO’s system for directing electricity supply and demand in real time, with routes for both new connections and existing assets creating additional flexible demand. The March design proposed service deliveries from 2028, after the year covered by the forecast. It did not establish a Bitcoin-specific approval or payment entitlement.
For a mine, a usable connection, service qualification and enough operating hours to cover costs would all matter. For consumers, the relevant comparison is the expense actually avoided after accounting for the costs the project adds.
NESO’s test is overall system cost. The roughly £4 billion forecast identifies the scale of a grid problem; it does not price a mining solution.