Singapore is confronting a return of transboundary haze as smoke from fires in Indonesia’s Sumatra and Kalimantan regions once again drifts across the city-state, pushing its 24-hour Pollutant Standards Index (PSI) into the unhealthy range on Sept. 4. The National Environment Agency (NEA) has maintained warnings about the ongoing risk as fires persist and prevailing winds from the south and southeast carry smoke towards Singapore.

Preparedness measures were put in place well ahead of this episode. In April, anticipating the June to October dry season and the elevated risk brought by El Niño conditions, the NEA established an inter-agency Haze Task Force. This group has been monitoring regional hotspots, satellite data, wind patterns, and rainfall to provide timely responses to haze conditions.

While Singapore cannot influence where fires originate beyond its borders or control wind directions, it actively works to mitigate the haze’s impacts locally. It has established legislative tools like the Transboundary Haze Pollution Act to hold entities accountable for causing or contributing to haze affecting Singapore and is a signatory to the ASEAN Agreement on Transboundary Haze Pollution. Additionally, Singapore hosts the ASEAN Specialised Meteorological Centre, which offers early warning and regional monitoring.

Yet, managing haze is a complex transnational challenge tied closely to land use and agricultural practices, often involving slash-and-burn methods employed in Indonesia’s peatlands and forests. Enforcement across borders is inherently limited, and addressing the root causes demands altering economic incentives that underpin these fires.

Singapore’s upcoming role as ASEAN chair in 2027 presents an opportunity to pivot from reactive measures toward proactive, economically driven solutions for haze prevention. Regional efforts already underway include the ASEAN Investment Framework for Haze-Free Sustainable Land Management, endorsed in 2023, which aims to mobilize US$1.5 billion by 2030 to support sustainable land management and haze prevention. This initiative also targets assisting at least 100,000 smallholder farmers in adopting fire-free agricultural methods.

ASEAN foreign ministers reiterated the need for deeper partnerships in July 2026, focusing on sustainable forest and peatland management and promoting haze-free agricultural and commodity sectors. Singapore’s position as a major financial center and commodity trading hub positions it well to facilitate investments aligned with these goals. It can leverage its financial institutions and development capital to structure blended financing that absorbs risk, thereby making projects like peatland restoration and fire prevention more attractive to private investors. Furthermore, insurers and financiers operating in Singapore could develop products that incentivize sustainable and fire-preventing practices in agricultural supply chains.

Rather than imposing policies, Singapore’s role could emphasize creating viable economic alternatives that encourage regional partners to adopt sustainable land management. Collaboration with Indonesia and other ASEAN members, respecting their sovereignty and existing frameworks, will be essential to these efforts.

Singapore plans to continue enforcing its Transboundary Haze Pollution Act and maintaining protective measures for vulnerable groups during haze episodes. However, the strategy envisions moving beyond reactive enforcement towards investment-led prevention to diminish the recurrence and severity of haze events.

By aligning its regional chairmanship in 2027 with ASEAN’s haze-free investment framework and mobilizing practical, outcome-oriented financial solutions, Singapore aims to change the economic calculus behind land use practices that cause haze. While it cannot control where the smoke originates or the winds that carry it, Singapore can influence the choices that shape what the wind brings to its skies.