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- Crypto mining causes over US$1B in power theft losses across Malaysia.
- TNB found 13,827 sites using illegal wiring and meter tampering.
- The government intensifies raids as theft threatens grid safety and stability.
Crypto mining is driving a sharp rise in electricity theft across Malaysia, according to new data from the Ministry of Energy. Officials confirmed that Tenaga Nasional Bhd (TNB) recorded more than US$1 billion in losses from illegal power use between 2020 and August 2025. The ministry warned that this trend is putting clear pressure on the national grid and increasing financial risks for the utility.
The majority of theft instances were represented by mining rigs being operated 24/7. These rigs are heavy power loads. The operators circumvented the appropriate billing mechanisms to escape high energy prices. This action caused an immediate issue with grid stability and the safety of the people.
TNB Flags Thousands of Premises Linked to Power Theft
Investigators found out that illegal wiring and meter tampering were used. These strategies enabled the operators to hide the fact that they had been increasing the amount of electricity that they were using. Most of the arrangements appeared regular on the surface. They had dozens of machines inside consuming large volumes of power.
TNB located 13,827 premises that were associated with electricity theft throughout the five-year period. These locations were in residential places, industrial areas, and commercial buildings. They were placed within ordinary neighborhoods, hence making it hard to detect them very early. The frequent inspections were usually not able to detect modified meters or concealed wiring.
Source: Bitcoin Malaya
However, it totaled losses amounting to 4.6 billion ringgit, which equals approximately US $1.11 billion. The authorities emphasized that these losses undermine the national power system. Theft is usually detected by sudden spikes of usage. Such spikes give warning to investigators about the possibility of illegal mining activities.
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TNB enhanced collaboration with the enforcement agencies in order to deal with the rise. The police, the communications regulator, the anti-corruption agency, and other authorities were undertaken during joint raids. These activities target regions that have an abnormal electricity demand. Numerous raids resulted in the discovery of huge rooms with mining machines that are running without due metering. Equipment where tampering was established was captured by officers.
Crypto Mining Threat Prompts Stronger Grid Protection Measures
Diverse large-scale operations were closed. Nonetheless, authorities claimed that a number of operators move fast to evade scrutiny. Full containment is not easily achievable due to the mobility. The movement of mining groups is still going on to increase pressure on enforcement.
No specific regulatory framework of crypto mining in Malaysia has been established yet. Despite this, meter tampering and power bypass do contravene the Electricity Supply Act. TNB relies on consumption patterns in order to detect irregular consumption. There is a high chance that these trends will result in the finding of illegal mining tools.
Authorities indicated that power theft is a major national issue. It wastes the government funds and compromises the infrastructure. Stricter enforcement will be further undertaken by the ministry. TNB is also improving the monitoring systems to enhance early detection. The government continues to insist that securing the grid against unlawful crypto mining shall be a priority.
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