Malaysia's Largest Power Company Reports 300% Increase in Cryptocurrency-Based Power Thefts
Malaysia's largest national power company, Tenaga Nasional Berhad (TNB), is helping authorities crack down on electricity theft linked to illegal cryptocurrency mining in the country, which it says has increased by nearly 300% over the past six years.
In a statement provided to local media on Monday, TNB said the increase in complaints “reflects increased awareness among citizens about the need to report illegal cryptocurrency mining activities.”
According to TNB data, the number of cases first identified in 2018 has increased from 610 to 2,397 by 2024.
The company explained that the increase was due to unauthorized miners using fake or bypassed meters to obtain subsidized electricity, costing the company hundreds of millions and disrupting the stability of the network.
Meanwhile, Malaysian authorities have begun conducting nationwide raids in collaboration with regulators, anti-corruption agencies and local councils to dismantle underground mining operations.
The power company said the enforcement measures “preserved the stability of the power system.”
TNB has not yet provided a comment on the situation.
Cheap electricity, growing demand
To combat illegal cryptocurrency mining, TNB has expanded its network of smart meters that monitor electricity consumption using radio signals, allowing it to identify abnormal consumption patterns in real time.
The Netherlands Bank also called for stricter enforcement of Malaysia's Electricity Supply Act , which provides for fines of up to US$212,000 (RM1 million) or 10 years in prison for tampering with the grid.
Some Malaysian property owners only discovered their homes had been turned into secret cryptocurrency farms when they received invoices of up to US$278,400 (RM1.2 million), TNB reported, citing local media reports .
According to a 2024 study by the U.S. Energy Information Administration, cryptocurrency mining rigs typically require between 1,000 watts (1 kW) and 8 kW of power.
According to CEIC Data for December 2024, Malaysia's electricity generation was 15,451 GWh and prices were as low as 0.052 cents.
The country's measures to combat illegal cryptocurrency mining mirror similar efforts in other countries.
Kuwaiti authorities launched an enforcement operation last week , questioning 116 people after discovering more than 1,000 illegal cryptocurrency mining sites last month .
Kuwaiti authorities say the actions overloaded the national power grid and caused widespread power outages.
Edited by Sebastian Sinclair
Source: cryptonews.net
