Singapore Raises Haze Law Fines Tenfold, Adds Trade Curbs
Singapore's parliament passed amendments to its Transboundary Haze Pollution Act on November 4. The cap on fines for violating companies rises from S$2 million to S$20 million, and the government can now restrict dealings with offenders. Food and raw-material importers sourcing from Southeast Asia have more reason to check their suppliers.
Key points
- Cumulative fine cap goes from S$2 million to S$20 million; the daily cap from S$100,000 to S$1 million
- The law can apply even if haze has not actually reached Singapore, as long as overseas fires pose a risk of it
- A minister can bar sales, purchases and financing with designated firms; breaching an order costs up to S$1 million per count plus up to S$100,000 per day
Background
The Act dates from 2014, but enforcement was hard because overseas fires are difficult to trace and corporate ownership chains are complex.
In September and October, haze from forest and peatland fires in Indonesia pushed Singapore's Pollutant Standards Index above 100 for days, the worst episode since 2015. The environment minister said the aim is to push firms to manage supply chains and stop illegal burning from paying off (source: JETRO).
What it means for shops
The direct targets are companies operating in Singapore, but Japanese importers and sellers handling palm oil, paper or wood products from Southeast Asia may see more supplier checks on environmental practice. Impact on individual shops is limited; SMEs that trade internationally should keep watching it.
What shops should do
- If you trade with Singapore or Singaporean firms, check your partners' environmental and sourcing policies
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Summaries are written by Seiichi Studio based on the original releases. Always check the source for the exact details.