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This is How Malaysia Plans to Fight Electricity Theft for Bitcoin Mining

George Georgiev Mar 6, 2022 14:05
Malaysia's largest electricity utility is porposing measures to counter illicit electricity theft for crypto mining.

Malaysia’s national electricity utility is ramping up plans to halt electricity theft which has reportedly been on the rise. This has to do with Bitcoin mining which is supposedly also catching speed.

  • Electricity theft in Malaysia is supposedly a serious issue. According to a report from late January this year, the local government is thinking of possible ways to limit its spread as it has recorded an increase of over 400% in the past four years.
  • The above has reportedly resulted in a loss of some RM2.3 billion, which is the rough equivalent of about $550 million – per Takiyuddin Hassan, the country’s natural resources minister.

The increase in cases is a worrying trend as it affects not only the energey industry in terms of value, but also the stability of the electricity supply system and public safety.

  • In 2021, Malaysian authorities seized a whopping $13 million worth of crypto mining equipment, and it appears that the country is gearing up for implementing further countermeasures.
  • Tenaga Nasional Berhad (TNB) is the largest electricity utility in Malaysia. The country’s sovereign wealth fund – Khazanah Nasional Bhd. – is its largest shareholder.
  • TNB has reportedly proposed the introduction of a special tariff for Bitcoin mining operators. Moreover, it has also suggested that the country’s Energy Commission pressure Bitcoin mining operators to apply for electricity supply from legal sources.
  • Speaking on the matter was Tenaga’s CEO – Baharin Din, who said:

The irresponsible perpetrators are doing it at the expense of the security and reliability of supply for the public at large.

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George Georgiev

Georgi Georgiev is CryptoPotato's editor-in-chief and seasoned writer with over four years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping. Contact George: LinkedIn