Latest news with #AssociationofWaterandEnergyResearchMalaysia
The Star
4 hours ago
- Business
- The Star
Loopholes fuelling crypto electricity theft
Photo: AZMAN GHANI/The Star PETALING JAYA: Malaysia's cryptocurrency mining activities continue to operate in a regulatory grey zone, raising alarm among experts who say loopholes in the law have fuelled rampant electricity theft and unchecked power consumption. Although billions have already been lost to mining operations, there is still no clear framework that defines how and where crypto mining should be carried out, the experts said. 'Right now, miners can run their rigs at home using domestic tariffs, which is unfair when compared to businesses that pay commercial rates,' said Piarapakaran Subramaniam, president of the Association of Water and Energy Research Malaysia. Without clear policies, he said, it is difficult to distinguish who is mining legally and who is not. Piarapakaran urged the government to formally classify crypto mining, either as a new category or under existing ones in the country's energy consumption laws, and to integrate smart grid technology to improve monitoring of energy use. Assoc Prof Dr Wan Mohd Zulhafiz Wan Zahari, from International Islamic University Malaysia, said the real legal issue lay in how miners sourced their energy. 'Many operators bypass metered connections or steal electricity outright, which is an offence under the Electricity Supply Act 1990,' he said. 'There is a need to bridge the current gap between energy law and digital asset activities.' CLICK TO ENLARGE Wan Mohd Zulhafiz, who is the deputy dean of Ahmad Ibrahim Kulliyyah of Laws, suggested that mining operations be formally registered, audited for power usage and made accountable for any illegal connections. He said artificial intelligence and blockchain tracking tools could help authorities detect suspicious activity. Universiti Tenaga Nasional senior lecturer Dr Nora Yusma Mohamed Yusoff stressed that enforcement was crucial, given the lucrative nature of mining. 'Crypto mining rigs run 24 hours, and the bigger the network, the more electricity it consumes. 'This creates strong incentives for operators to cut costs and steal power,' said Nora Yusma, who is the director of the university's Institute of Energy Policy and Research. She recommended that Malaysia look to Australia's whistleblower model, where energy theft hotlines and financial rewards for tip-offs have led to multiple prosecutions. Imposing punitive actions, she added, could also deter repeat violations. The urgency is clear, as Deputy Energy Transition and Water Transformation Minister Akmal Nasrullah Mohd Nasir recently revealed that electricity theft linked to crypto mining has cost the country RM4.8bil from 2018 to June this year. He said the surge in cases was driven by the rising value of Bitcoin, which is now close to RM500,000 per unit. 'This creates challenges for enforcement, as more people are willing to take the risk of stealing electricity for mining,' Akmal Nasrullah reportedly said. But until crypto mining is placed under a proper regulatory framework, the experts say operators will continue exploiting loopholes and Malaysia will keep bleeding losses.
The Star
18-07-2025
- General
- The Star
Idle buildings, active threats
PETALING JAYA: Abandoned housing projects across Malaysia are raising alarm over health, safety and environmental risks, as experts urge stronger policies and community action to prevent urban decay. Despite government efforts to revive stalled developments, public health specialists and urban planners say more needs to be done to secure and repurpose idle sites, which are increasingly becoming structural hazards and hotspots for crime and pollution. Universiti Sains Islam Malaysia senior lecturer Ar Nasrudin Sharkawi has called for basic safeguards, such as fencing, warning signage and surveillance, to deter trespassing and prevent accidents on abandoned buildings. Proper drainage, vegetation control and rubbish removal are also essential to minimise pest infestations. Where feasible, he suggested temporarily repurposing abandoned sites into community gardens, markets or public spaces. 'Active use and proper lighting can deter criminal activity,' he said when contacted. Authorities, he added, must assess each site's condition and potential. 'Demolition should be considered only when a structure is beyond repair. If restoration is viable and meets housing needs, it should be supported by a willing developer.' To prevent future project failures, he urged stronger enforcement measures – such as legal action against errant developers, blacklisting repeat offenders, and setting legal deadlines to declare a project abandoned. Nasrudin called for mandatory Environmental Risk Assessments for stalled projects near sensitive areas, covering runoff control, pest management and waste disposal – even during suspension. He also urged local authorities to enable public reporting of safety or environmental concerns via mobile apps or online portals, noting that awareness remains low despite existing platforms. Local councils, he said, should establish resident monitoring groups, modelled on Rukun Tetangga, and offer grants or training for clean-up initiatives. Publishing maps of abandoned sites would further promote transparency and civic oversight. Public health expert Datuk Dr Zainal Ariffin Omar echoed these concerns, warning that dilapidated structures pose serious physical, biological, and chemical hazards. 'These buildings can harbour disease vectors, pests and even dangerous animals. Structural decay also increases the risk of exposure to harmful substances like mould, asbestos, lead and solvents,' he said. Dr Zainal urged authorities to step up monitoring through regular inspections, the demolition of unsafe buildings and stricter enforcement that requires owners to carry out proper maintenance. In the first two months of this year, the Task Force for Sick and Abandoned Private Housing Projects monitored 230 delayed, 347 sick, and 116 abandoned housing projects nationwide, representing a gross development value of RM107.04bil. Meanwhile, Piarapakaran Subramaniam, president of the Association of Water and Energy Research Malaysia, warned that prolonged exposure to the elements accelerates structural decay and increases the risk of chemical leaching from building materials. 'Abandoned sites inevitably deteriorate. Different materials react in different ways, but where metals are exposed, the leaching can be severe, especially near environmentally sensitive areas.' He also flagged illegal dumping and other unregulated activities at these sites, noting that some individuals burn wires and components to extract valuable metals. 'The fumes are toxic and pose serious risks to air quality. If hazardous waste is left exposed to rain, chemicals may leach into groundwater or surface water,' he cautioned. Despite these risks, Piarapakaran said structurally sound buildings could be salvaged and repurposed. 'In other countries, disused buildings have been successfully transformed into vertical farms. Similar initiatives could be introduced here to enhance local food production and support national food security.' He suggested that the Housing and Local Government Ministry work with the Agriculture and Food Security Ministry to pilot such projects, especially in areas near urban centres where viability is stronger. Employing sustainable, off-grid methods, he added, would further improve environmental and economic outcomes.
