THE Indonesian government is under intense domestic and international pressure to control fires across parts of its archipelago.
The unhealthy levels of haze blanketing the part of Indonesia, Singapore and Malaysia have heightened diplomatic tensions, not to mention the health problems caused by haze-related illnesses.
Independent monitor Nusantara Atlas counted nearly 900,000 ha burned from the start of the year to late August, particularly in Kalimantan and Sumatra. That’s almost 16% of Malaysia’s 5.7 million ha of oil palm plantations.
The dry conditions associated with the El Nino weather phenomenon have only made the fires more intense.
Residents in West Kalimantan are now taking the government in Jakarta to court in a class-action lawsuit that names President Prabowo Subianto, 26 officials and the police, accusing them of negligence, omission and failure that have resulted in a massive public health crisis affecting some six million people in the province.
They want the government to declare a national emergency and release more resources. They are also suing for free healthcare and compensation for all those affected by the toxic haze.
Singapore is considering legal action against companies like Asia Pulp & Paper and its suppliers linked to the fires under its Transboundary Haze Pollution Act.
Putrajaya is also considering strengthening its laws, even as Malaysian plantation companies such as SD Guthrie Bhd and Kuala Lumpur Kepong Bhd have been quick to distance themselves from the crisis.
Prabowo has hit back at countries that he says have insulted Indonesia over its raging wildfires. In recent speeches, the president has claimed that the country has been robbed for centuries and said he wants to safeguard its wealth for the Indonesian people.
He says many corporations bear responsibility for the haze crisis and has ordered investigations into the cause of the fires.
Jakarta has imposed strict administrative sanctions on 32 forestry and plantation companies to date.
Five have had their licences completely revoked, 19 have had their permits frozen, and the remaining firms have been ordered to carry out environmental restoration.
With Indonesia fiscal buffers strained by the energy crisis and now El Nino, some plantation industry players fear companies will have to keep their chequebooks ready to pay claims or fines by Jakarta and others, or risk losing their land to PT Agrinas Palma Nusantara, which is part of the Danantara state investment fund.
Indonesia’s other lever is PT Danantara Sumberdaya Indonesia, a monopoly it has created to control exports of major commodities.
The next few months will be crucial, as the concessions where satellites detect smoke belong to companies with owners, stock market listings and customers in Malaysia and Singapore.