Legal action by Singapore against haze-causing firms in Indonesia may come with diplomatic implications: Lawyers

Singapore may take legal action against Indonesian companies responsible for the ongoing haze, but this move could have diplomatic implications, according to legal experts. The Transboundary Haze Pollution Act, enacted in 2014, allows Singapore to hold companies accountable for haze pollution, regardless of whether the activities occurred overseas.

On Friday, Minister for Sustainability and the Environment Grace Fu announced that Singapore would send preventive measure notices to seven Indonesian companies responsible for fires causing the current haze. These notices require the recipient companies to take firefighting measures on land they own or occupy. Assoc Prof Jolene Lin of the National University of Singapore emphasized that international law grants Singapore the right to use its own laws to address the haze issue, despite potential diplomatic consequences.

However, Assoc Prof Lin noted that there were concerns in Indonesia in 2015 when Singapore attempted to use the Act, which Singapore faced with some resistance. Singapore Management University law professor Michelle Lim recognized the political sensitivities of taking legal action against a close neighbor, despite Singapore having jurisdiction.

She mentioned difficulties in establishing causation and obtaining necessary data to prove that the companies' actions caused the haze in Singapore, which would depend on Indonesia's cooperation. Mr. Wilson Ang of Norton Rose Fulbright highlighted that Singapore would need to coordinate with other countries to gather air quality readings, satellite hotspot and smoke-plume data, and wind and weather data.

Legal experts advised directors and senior management of agri-plantation companies to investigate their role in the haze and remediate the situation if found responsible, as failure to do so could lead to legal liability, reputational damage, and difficulty securing financing and investments.