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Sabah’s constant battle with illegal electricity connections
Published on: Sunday, October 01, 2023
By: Datuk Seri Panglima Wilfred Madius Tangau
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Madius at the sustainasle and Renewal Energy Forum in Kuching, recently.
Amidst the vibrant economy that boosts Sabah’s growth, a looming threat casts a shadow over its progress – the alarming surge in illegal electricity connections.

As businesses flourish and economic potential blooms, it becomes imperative that we shed light on this growing concern that jeopardizes not only the sustainability of power supply but also the region’s robust economic future. 

Sabah Electricity Sdn. Bhd. (SESB), while diligently ensuring the flow of power to homes and businesses, faces with an adversary that’s tapping off its efforts – system losses.

In the preceding year, these system losses a mounted to a staggering 17 per cent of the total generation. To put it simply, nearly one-fifth of the electricity produced went amiss before reaching its intended destination. 

Central to these losses are a range of challenges, with 7 per cent attributed to non-technical losses emerging as the primary culprit, while technical losses constitute 5 per cent of the total. Non-technical losses encompass an array of unauthorized activities siphoning off electricity, undermining both revenue and endeavours towards energy sustainability. This category is estimated to result in an annual loss of RM30 million due to power theft.

This includes meter tampering, an insidious practice that distorts readings and leads to inaccurate billing. Aging meters, another contributor, suffer from wear and tear, causing inefficiencies in tracking usage of electricity among consumers.



A novel but concerning entry into this list now is the illicit tapping of electricity for cryptocurrency mining, particularly Bitcoin. The attraction of quick gains has led to an alarming trend of individuals illegally tapping power to fuel their digital mining operations. This unanticipated strain on the system is a testimony to the ever-evolving methods used by energy pilferers.

Squatter areas also feature prominently in the tapestry of system losses. These informal settlements often lack the infrastructure to support legal connections, driving residents to bypass conventional channels, resulting in unaccounted-for consumption.

The magnitude of the problem becomes painfully clear when we examine the widespread impact of illegal connections across all 10 zones of the State and the Federal Territory of Labuan. The year 2022 witnessed a determined effort by SESB to combat power theft and dismantle illicit wiring through 39 integrated operations. 

These initiatives include Routine Meter Inspection (RMI) for Ordinary Power Consumers and Large Power Consumers, Routine Meter Change (RMC) and counteractions against illegal connections, exemplify the gravity of the situation.

Startling figures from last year paint a disheartening picture, with Sabah and Federal Territory of Labuan facing losses amounting to a staggering RM338,658. An estimated 10,731 households were implicated in these illicit activities, tapping off approximately 3.3 million kWh of electricity – a resource that rightfully belongs to law-abiding consumers who dutifully pay for their utility usage.

Among the various forms of illegal connections, the nasty act of cable line vandalism stands out as particularly troubling. It reveals a disturbing disregard for personal safety, where vandals endanger their lives for the sake of ill-gotten gains. The implications extend beyond mere financial losses; they underscore the urgent need for comprehensive interventions to address the root causes behind these actions.

An equally frustrating issue entangled with this problem is the involvement of squatters in pilfering electricity. The complex process of power connection approval, involving scrutiny of identification documents, land status, and topography, aims to ensure equitable access. 

To combat this issue, SESB has embarked on a pioneering pilot project, partnering with an Independent Power Distributor (IPD) to electrify squatter settlements.

As we approach the end of 2023, disheartening reports continue to flow in, highlighting the persistence of this illicit activity.

Collaborative efforts between SESB and 19 integrated operations this year uncovered a disconcerting reality – 4,051 households clandestinely tapping into 963,806 kWh of electricity through illegal means, translating to a financial loss of RM177,231.

The data uncovers a disconcerting trend, with the highest concentration of these cases being pinpointed in the eastern zone. Here, 820 households were found to have furtively tapped into a total power supply of 244,758 kWh, bypassing legal channels.

This persistent challenge has cast a shadow over our state for several decades, leaving successive State governments and law enforcement agencies struggling to cope with its far-reaching economic consequences.

It’s crucial to acknowledge that this illicit activity doesn’t only impose financial strain but also intensifies the precariousness of power supply. The result? Unwanted disruptions and regrettable blackouts that impede the smooth functioning of both residential and business endeavors.

The enormity of this challenge requires a united front, with authorities and the public alike shouldering the responsibility.

Our shared aspiration for Sabah to wield regulatory control over electricity rights is thwarted by the corrosive influence of illegal connections, inflicting significant setbacks upon the state’s progress.

Nevertheless, hope lies in the power of collective action. 

As a community, we must rally together to thwart the menace of cable theft, empowering SESB to take a decisive stand against those who threaten the very fabric of our power infrastructure. 

Only through a harmonious synergy of efforts – from individuals to institutions – can we hope to reclaim the integrity of our electricity supply network.

It is incumbent upon us to rise above the shadows cast by these illegal connections, forging a future where stable and reliable power serves as the cornerstone of our communal progress. 

Let our shared commitment illuminate the path towards a brighter, more sustainable Sabah – a testament to our unwavering resolve and unity in the face of adversity.

- The views expressed here are the views of the writer Datuk seri Panglima Wilfred Madius Tangau and do not necessarily reflect those of the Daily Express.

- If you have something to share, write to us at: [email protected]



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