[sniem]

>lead to all the power going to parties that can afford specialised hardware who are in countries with low electricity costs.

Is it costly just because it was newly created though, and won't this cost come down? You can also mine in countries with high electricity if you build your own renewable energy generator.

In terms of decentralisation, the nodes are still decentralised and can at least detect when miners try to use their dominance. They can only do it after the fact, and it might be messy, but it makes performing the attack fairly worthless as you can no longer mine on the network anymore.