Singapore Moves to Toughen Haze Law, Forcing Companies Tied to Fires to Open Their Books to Investigators
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Singapore says it will amend the Transboundary Haze Pollution Act so investigators can get full access to information and premises of firms linked to haze-causing fires, while non-compliance will be treated as an offence.
Singapore is moving to strengthen its Transboundary Haze Pollution Act (THPA) when Parliament reconvenes on Nov 3, Senior Minister K. Shanmugam said on Oct 28. The proposed changes would require companies identified as having links to haze-producing fires in Indonesia to give appointed investigators unrestricted access to corporate documents, information and business premises. Under the current law, the National Environment Agency (NEA) does not have the power to force that cooperation, leaving enforcement hamstrung in practice.
"I will say this plainly, non-compliance with Section 10 is an offence. They are not routine requests for information. We expect your companies to respond fully, accurately, and promptly," Shanmugam told representatives of ten Singapore-based companies that had received NEA notices on Oct 23.
The meeting, held at the Treasury building, also included Deputy Prime Minister Gan Kim Yong, Minister for Sustainability and the Environment Grace Fu, and senior counsel Davinder Singh, whose firm will advise the government and coordinate a specialist panel of legal, audit and investigation experts. The panel will examine the operations, corporate relationships and supply chains of firms identified as linked to the haze, with audit reports to be submitted to authorities. Firms will have to hire the panel’s professionals at their own expense, and the list of panel members will be published by the Ministry of Law.
"Singaporeans should not have to bear the health and environmental costs of irresponsible business conduct. Even as the haze condition improves, we will not relent," Fu said.
Shanmugam stressed that the government’s goal is not to hunt for scapegoats, but to force companies to operate without causing harm to Singapore or the wider region. He said the authorities will deploy every legal and regulatory tool available, and that if investigations find no wrongdoing, the matter will be closed accordingly.
Separately, the Monetary Authority of Singapore said banks should factor environmental risks into lending decisions, requiring customers to disclose any involvement in activities that contribute to haze and allowing banks to impose conditions or restrict exposure where breaches of environmental law are identified.