What is left of the crypto mining machines.

BINTULU (Aug 18): A crypto mining den at a shop lot in Mile 9, Kuching-Serian road caught fire recently due to electricity theft-related wire tampering.

Firefighters first received a distress call and immediately alerted Sarawak Energy for an emergency shutdown.

The team later found 30 charred crypto mining machines at the premises, and believed the actual number of the machines could be more due to the severity of the fire, said Sarawak Energy in a media statement today.

It said inspections also revealed that the wiring system had been tampered with, with direct tapping cables connected to the premises.

The fire was believed to be caused by unsafe wiring which overloaded the system.

The machines were confined within a small space, leading to the accumulation of heat which ignited flammable egg cartons and gypsum boards nearby.

As a result of the illegal and dangerous power theft, Sarawak Energy was estimated to have incurred losses of about RM14,300 per month.

In a separate case, a crypto mining den at Jalan Serai, Sibu, was also found to be involved in electricity theft during an operation carried out by Sarawak Energy and the police.

An electrical system overload at the Taman Ging Bo substation serving the area led to suspicions of unrecorded high consumption.

Thirty-four crypto mining machines and direct tapping cables used to steal electricity were seized. The owner of the premises was present at the time of the operation.

Sarawak Energy said police reports had been lodged for both cases and all parties involved would be called for investigations.

Cryptocurrency mining consumes a large amount of electricity as the servers run non-stop and require cooling units to prevent overheating.

Non-standard installations commonly used in electricity theft for such energy-intensive activities can easily overload the electrical system capacity, increasing the risk of short circuits, appliance damage, fires and even loss of lives.

Electricity theft is a criminal offence under Section 33(5) of the Electricity Ordinance, which carries a penalty of up to RM100,000 and/or five years of jail if found guilty.

Sarawak Energy reminded customers that tampering with wires to under-record electricity consumption is both illegal and dangerous.

In cases where electricity is stolen for cryptocurrency mining, it can also lead to outages in the surrounding areas, causing unnecessary inconvenience to neighbours.

Together with the Ministry of Utility and Telecommunication and the police, the utility company will continue to track down anyone stealing electricity for any reason whatsoever.

Sarawak Energy is also collaborating with agencies such as firefighters in raising awareness on safe electricity usage to prevent unwanted fires.

Members of the public are reminded not to trust service providers claiming to be able to reduce electricity use or allow premises owners to enjoy unlimited usage of electricity through meter tampering.

Meter inspection teams are trained to detect various electricity theft methods, including tampered meters, fake electricity meter covers, underground direct tapping and smart meter indications as part of Sarawak Energy’s efforts to curb power theft.

Landlords are advised to conduct background checks on potential tenants, as well as to be mindful and alert of their activities to avoid being implicated in electricity theft committed at the rented premises.

Members of the public are also encouraged to report any suspicious activities related to electricity theft and service providers claiming to be able to reduce electricity use by contacting Sarawak Energy’s Customer Care Centre at 1300-88-3111 or email to customercare@sarawakenergy.com.

Sarawak Energy assured the public that all information received will be kept strictly confidential.