Malaysia’s biggest electricity company, Tenaga Nasional Berhad (TNB), says illegal cryptocurrency mining has caused a giant jump in electricity theft, up nearly 300% from 2018 to 2024. Back in the year 2018, TNB found a total of 610 cases of people stealing power. By the year 2024, that number had increased to 2,397.
These miners tamper with electricity meters to access cheap electricity without paying for it. Hence, this cost TNB millions and risked power outages. TNB has announced that it will work with police, the Energy Commission, and anti-corruption officials to raid and stop these illegal mining operations across the nation.
As per the reports, TNB says more people are reporting illegal crypto mining because they are noticing it, with 1,699 complaints from the year 2020 to 2024, about 340 each month. These illegal miners set up secret mining operations that use a lot of electricity, sometimes in people’s homes, leading to giant bills as high as $278,400 (RM1.2 million) for unaware property owners.
Crypto mining machines use 1,000 to 8,000 watts of power and take advantage of Malaysia’s cheap electricity, which costs $0.052 per kWh. In 2024, Malaysia produced 15,451 gigawatt-hours of electricity, according to CEIC Data.
To stop illegal crypto mining, TNB is using smart meters that track electricity use through radio signals and spot unusual activity instantly. TNB is implementing harsher penalties under Malaysia’s Electricity Supply Act. It is charging a fine of up to $212,000 (RM1 million) or 10 years in prison for anyone who messes with the power grid.
These efforts of TNB have helped to stabilize Malaysia’s electricity system. In other countries like Kuwait, governments are doing something similar. They recently targeted over 1,000 illegal crypto mining sites that caused blackouts.
TNB’s work shows that this illegal crypto mining is a global issue. Malaysia wants to support its digital economy but also needs a reliable power grid. This initiative of TNB is taking strong action to protect the country’s energy network.
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