The strongest El Nino in two decades may prolong the dry weather, meaning the haze could remain for some time yet
Pooi Koon Chong Bloomberg 7 Oct 15;
As Singapore and Malaysia wheeze from cloying smoke generated by forest fires in Indonesia, the costs to tourism and health and productivity in the two countries could be outweighed by the impact on Indonesia itself -- and the country's regional reputation.
“The damage this time when the haze finally runs its course is expected to be high,” said Euston Quah, a professor and head of the economics division at Nanyang Technological University in the city state, who has studied recent fires and plans to look again at all the affected countries, including Indonesia. “We must continually estimate and show the damage is not only to Singapore, Malaysia and other neighboring countries, but also to Indonesia itself, which includes the loss of goodwill. The damage to Indonesia must be huge. ”
The strongest El Nino in two decades may prolong the dry weather, which means the hazy conditions could remain for some time longer.
The smog has shrouded Singapore and Malaysia for weeks and is likely to manifest in fewer tourist arrivals as some countries are starting to send travel warnings about the two countries, which might impact hotels and retail spending, according to Chua Hak Bin, an economist at Bank of America Merrill Lynch in Singapore.
He estimates the impact on Singapore could range from 0.1 percent to 0.4 percent of gross domestic product, depending on whether the haze lasts for one month or three.
``The health costs might rise exponentially if the haze worsens and persists for a long period,'' he said.
The worst haze in 1997 cost Singapore $300 million, while a milder event in 2013 led to about $50 million of losses to retailers, hotels, tourism and the economy overall, according to Quah's research.
The impact may go beyond tourism to impact the broader economy.
A protracted and severe haze may delay construction projects and slow factory output, according to Weiwen Ng, a Singapore-based economist at Australia & New Zealand Banking Group Ltd.
Indonesia doing best it can to combat haze: Disaster chief
Indonesia has rejected suggestions it is not doing enough, with the country's disaster chief saying everything possible was being utilised.
Channel NewsAsia 6 Oct 15;
JAKARTA: Indonesia's disaster chief on Tuesday (Oct 6) rejected criticism his country was not doing enough to combat the haze crisis, saying every possible resource was being deployed to fight the forest fires blanketing Southeast Asia in smog.
Indonesia has come under growing pressure from its neighbours in recent weeks as thick smoke from fires on Sumatra and Kalimantan has sent pollution levels soaring in Malaysia and Singapore, where schools have been closed and major outdoor events cancelled.
The blazes flare annually during the dry season as fires are illegally set to clear land for cultivation. But an El Nino weather system has made conditions on track to become the most severe on record.
Malaysian Prime Minister Najib Razak has urged Indonesia to take action, saying only Jakarta has the authority to investigate the cause of the fires and convict those responsible.
But Indonesia has rejected suggestions it is not doing enough, with the country's disaster chief saying everything possible was being utilised.
"We have done the best we can," Willem Rampangilei told reporters. "It is understandable if other countries are upset, but we Indonesians are more upset."
Pollution in Singapore and Malaysia has risen beyond hazardous levels since the haze outbreak began last month, while levels more than five times that limit have been recorded on the Indonesian part of Borneo island.
Borneo is shared between Indonesia, Malaysia and Brunei.
Schools in many parts of Malaysia were closed for a second straight day on Tuesday, part of a two-day shutdown announced at the weekend as pollution levels soared. Air quality readings were unhealthy along parts of country's west coast facing Sumatra.
The haze spread as far as southern Thailand, where pollution levels were rising fast, prompting Thai Prime Minister Prayut Chan-o-cha to call for a regional meeting on the crisis. "We have to talk with the countries where it (the haze) originates," he said.
Singapore has offered to help combat the fires, volunteering a Hercules plane and IT expertise, but Indonesia has insisted it has the equipment necessary to do the job.
Rampangilei said Indonesia had four planes on standby to conduct cloud seeding, but a lack of clouds in the past week had stymied attempts to produce artificial rain.
Efforts by more than a dozen helicopters to water bomb hot spots have several times been thwarted by thick smoke, he added.
Rampangilei said he asked the army for 1,000 more soldiers to be deployed to fight the fires, while authorities were considering dumping 40 tonnes of fire retardant on smouldering peatlands.
According to earlier reports, there were still more than 500 hot spots in Sumatra, some 400 of them in South Sumatra. More than 710 hotspots exist in Kalimantan, with 333 of them in East Kalimantan. Around 140,000 people have reported respiratory infections due to the thick smog.
Rampangilei said soldiers will be deployed to fight existing fires, and to prevent new ones starting. They will also conduct patrols and help educate the local community against burning their land.
He acknowledged that even as hotspots are being extinguished, new ones have appeared, as people continue to use the slash-and-burn method to clear their land.
Rampangilei also said his agency has developed a concept plan to tackle the annual forest fires that have caused the haze. This is a long-term plan to find a solution and will be ready by the end of the year.
- AFP/CNA/ec
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