30+ Crypto Mining Servers Seized in Borneo Amid Rising Electricity Thefts

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Key Takeaways

  • Sarawak Energy estimates that the seized servers were consuming around $1,300 worth of stolen electricity monthly.
  • Sarawak expressed its commitment to combat electricity theft and is closely collaborating with agencies such as the Ministry of Utility and Telecommunication as well as the police.

Authorities in Miri, located on the island of Borneo, have taken swift action against electricity theft linked to cryptocurrency mining activities. The crackdown resulted in the seizure of 34 cryptocurrency mining servers, which were illicitly using stolen electricity through cable tapping. The operation came to light after a tip-off to Sarawak Energy, the local utility company, prompting them to collaborate with the police to dismantle the illegal mining operation.

According to reports from the local press, Sarawak Energy estimates that the seized servers were consuming around $1,300 worth of stolen electricity per month. Such cases of energy theft are not unprecedented in the region, as earlier this year, police in the state of Senadin confiscated more than 137 cryptocurrency rigs involved in illegal bitcoin mining.

The seized equipment, including the mining servers and tapping cables, is now under investigation by the local authorities. Electricity theft is considered a serious offense under Section 33(5) of the Electricity Ordinance, with potential penalties of up to RM100,000 and/or five years imprisonment for those found guilty.

Despite offering some of the lowest energy prices in Malaysia, Sarawak Energy has been grappling with power theft incidents. The company expressed its commitment to combat electricity theft and is closely collaborating with agencies such as the Ministry of Utility and Telecommunication as well as the police.

The utility provider also acknowledged the importance of public cooperation in its efforts to tackle power theft. As part of its ongoing campaign against electricity theft, Sarawak Energy has expanded its focus to rural areas, aiming to track down elusive power thieves and curtail illegal mining operations that drain valuable electricity resources.

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Saniya Raahath
Saniya Raahath

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