As fires persist across parts of Indonesia, causing haze to spread to neighboring Singapore, authorities and investors are intensifying scrutiny of companies linked to the affected land. On October 16, Singapore’s National Environment Agency (NEA) issued preventive notices to seven Indonesian companies, indicating that fires on their concession areas may have contributed to the smoke reaching Singapore. The NEA has required these companies to extinguish the fires and implement measures to prevent future incidents.

Among the companies under observation are several oil palm producers listed on the Singapore Exchange (SGX), including First Resources and Bumitama Agri. Green advocacy group Greenpeace identified fires and smoke originating from concessions tied to these firms, prompting responses that highlighted the complex nature of fire outbreaks in the region. First Resources stated that some fires began outside its managed land before spreading inward and asserted that despite firefighting efforts, some fires became uncontrollable due to their scale. Similarly, Bumitama Agri noted that initial fires reportedly started outside its directly managed areas, and preliminary investigations have not linked the company’s operations to igniting the fires.

Kencana Agri announced on October 16 that Indonesian authorities are conducting an initial inquiry into suspected slash-and-burn land clearing at a subsidiary’s concession in North Kalimantan. The company reported that about 62 hectares had been affected by the fires but maintained that the blazes spread from adjacent land. Other SGX-listed palm oil firms including Golden Agri-Resources, Indofood Agri, and Wilmar International issued statements confirming that their fire-prevention measures were in place and that investigations into any links to the haze were ongoing.

While affected companies have sought to assure investors that production targets and financial performance remain stable—for instance, First Resources reported minimal impact on its 2026 output estimates—critics warn these disclosures do not reflect the broader social, economic, and environmental costs of the haze crisis. These include reduced productivity, disruptions to tourism, increased healthcare expenditures, and long-term health risks for populations in Indonesia, Singapore, and neighboring countries.

Sustainability reports from these companies indicate that fire prevention has been a longstanding concern. First Resources outlined annual updates on fire risk maps, ground inspections, and deployment of thousands of firefighters. Bumitama employs drone surveillance, artificial intelligence–enabled monitoring, and established buffer zones, while Golden Agri-Resources maintains a substantial emergency response team and has piloted advanced detection technology capable of sensing smoke from significant distances. Indofood Agri has carried out extensive fire-control training and community engagement initiatives aligned with Indonesia’s stricter fire-prevention regulations.

Despite these efforts, fire incidents remain frequent. Bumitama reported 92 fires over 91.3 hectares in 2025, falling short of its zero-fire objective. Golden Agri-Resources recorded 275 fires affecting 317 hectares for the same year, slightly higher than previous tallies. First Resources indicated an increase in confirmed fires compared to the prior year, attributable in part to expanded concession areas. Kencana Agri and Wilmar International highlighted adherence to no-burning policies, with Wilmar maintaining such measures since 2006.

Industry observers and investors are encouraged to look beyond identifying the initial sources of the fires and focus on assessing the effectiveness of mitigation strategies and response times. They emphasize the need for transparency regarding how companies manage environmental risks, including whether established protocols are sufficient to prevent recurring incidents and reduce harm to affected communities.

Shareholders have been urged to leverage sustainability disclosures to hold companies accountable, demanding clear evidence of preventive measures in action and requesting comprehensive explanations when targets are missed. They also have the option to influence corporate governance by voting on management performance related to environmental goals or divesting from firms that fail to demonstrate credible improvements.

With sustainability reporting mandated for SGX-listed companies, investors possess greater access to data that can inform decisions not only on financial returns but also on environmental stewardship. Experts caution that focusing solely on profitability without addressing the social and ecological ramifications could perpetuate the haze problem, imposing broader costs on the public and regional economies.