Really limited capacity? They run aluminium smelters in Iceland, I can't imagine bitcoin mining requires more power than that.

At that price point, yes. Maybe the problem has been not enough power required... I don't know. I just know that most bitcoin companies in Iceland have moved or are moving to get cheaper power elsewhere.

Therein lies the problem: New users pay the average price, but new capacity has to be built at the marginal cost.

Washington and Oregon sell a lot to the SW. Google just built a big data center here near a dam from a huge city for power reasons.