Tenaga Nasional Bhd (TNB) has revealed alarming financial losses exceeding RM1 billion, primarily attributed to rampant electricity theft linked to cryptocurrency mining activities over the last four years. According to the authors of the publication, it is concerning that this situation has raised significant concerns regarding the impact of unregulated crypto operations on Malaysia's energy infrastructure.
Illegal Power Tapping for Cryptocurrency Mining
A recent parliamentary filing disclosed that nearly 14,000 premises have been identified as illegally tapping into the power supply since 2020. Operators have been found bypassing or tampering with electricity meters to operate mining equipment without detection, leading to substantial unauthorized consumption valued at RM46 billion.
Regulatory Measures and Enforcement Efforts
The Energy and Water Transformation Ministry has emphasized that the surge in cryptocurrency mining has placed considerable strain on national utilities, highlighting the urgent need for regulatory measures in this sector. In response to the escalating issue, authorities have ramped up enforcement efforts, enabling TNB and various agencies to seize mining rigs at targeted locations.
Proactive Measures Against Illicit Mining
To combat the ongoing challenges posed by illicit mining, TNB has initiated the development of an internal database to monitor suspected power theft sites. Additionally, the rollout of smart meters is underway to facilitate real-time tracking of power flows. These proactive measures aim to enhance oversight and mitigate the financial and operational risks that illegal cryptocurrency mining poses to Malaysia's energy network.
In a related development, a recent report highlights that North Korean hackers have infiltrated up to 20% of cryptocurrency companies, raising serious security concerns in the industry. For more details, see read more.
