Full Breakdown
Singapore Targets Haze-Linked Companies After Indonesian Official’s Remarks
By Drooid · · How we work
Core Event
On Oct 19 Senior Minister K Shanmugam said it was “not right” for Indonesian Government Communications Agency head Syahganda Nainggolan to claim Singapore receives oxygen from Indonesia’s forests when there is no haze. Shanmugam announced that Singapore will employ “every legal and regulatory lever” to hold companies linked to the transboundary haze accountable.
Background & Context
Forest and peatland fires in Indonesia have repeatedly generated haze that drifts across Southeast Asia. On Oct 14 Singapore recorded a one-hour PM2.5 concentration of 284 µg/m³, the highest of the year. Indonesia’s President Prabowo Subianto has ordered intensified firefighting efforts and removed the head of the National Disaster Mitigation Agency, actions welcomed by Singapore. The National Environment Agency (NEA) has issued legal notices to firms suspected of supplying pulpwood to plantations that burn.
Data & Statistics
- NEA notices initially covered seven firms: Bumi Andalas Permai, Bumi Mekar Hijau, Paramitra Mulia Langgeng, Sumatera Alam Anugerah, Sebangun Bumi Andalas Wood Industries, Hutan Lestari Raya, Bangkanesia.
- Three additional firms were later notified, bringing the total to ten.
- The Singapore Exchange (SGX) has queried seven Singapore-listed agribusinesses: Golden Agri-Resources, Bumitama Agri, First Resources, Wilmar International, Kencana Agri, Indofood Agri, TSH Resources.
- Four of these listed firms have Singapore links through Asia Pulp and Paper (APP), a Singapore-incorporated supplier to the notified companies.
Official Statements & Responses
Shanmugam emphasized that the haze stems from “companies breaching regulations in Indonesia” and that the Indonesian official’s comment does not reflect the broader view of the Indonesian government or public. He warned firms they cannot “greenwash” their behaviour or hide behind complex corporate structures, and must answer to Singapore’s regulatory framework. He also said Singapore will examine whether any implicated companies enjoy government grants or incentives.
Conflicting Reports & Gaps
Sources differ on the count of firms receiving NEA notices: some report seven firms, while later reports add three more, for a total of ten. Both figures are documented.
Verbatim Quotes
- “Such statements, no matter how well drafted, are not good enough.” — K. Shanmugam
- “We will drill into this further.” — K. Shanmugam
What’s Next
Shanmugam indicated that Singapore is prepared to amend existing legislation or introduce new laws on an urgent basis to secure cooperation from companies and foreign jurisdictions. Ongoing investigations will probe corporate linkages, and banks financing the firms will be required to assess environmental and legal risks under the oversight of the Monetary Authority of Singapore.
