Wildfires in Indonesia get out of control in 2026, and cross-border haze affects many countries in Southeast Asia
Quick Look
- In 2026, Indonesian forest and peatland wildfires got out of control.
- Affected by abnormally dry weather and the Super El Niño phenomenon, haze spread to Malaysia, Singapore, the Philippines and other countries, causing more than 1.4 million students to attend classes remotely, air quality reaching hazardous levels, and carbon emissions reaching 19.7 million metric tons, accounting for more than one-third of global wildfire emissions during the same period.
- This highlighted the unresolved problems of land development and peatland drainage, and Southeast Asia faced multiple impacts on health, economy and environment.
AI-generated summary
Why It Matters
Forest and peatland fires in Indonesia are cyclical. Historically, serious cross-border haze events occurred in 1997-1998, 2006, and 2015. In 2026, the fires were intensified by the dry climate and the Super Nino phenomenon. Land development and peatland drainage problems were the root causes.
In August 2026, Indonesian military personnel inspected forest fire areas in South Sumatra Province. (Reuters photo)
On average, forest fires occur once every ten years in Indonesia
[Financial Channel/Comprehensive Report] Wildfires in Indonesia are out of control, and haze has spread all the way to Malaysia, Singapore and the Philippines, causing serious air pollution, school closures, threatening people's health, and even endangering wildlife habitats. What is even more worrying is that this crisis is not the first to occur. Serious forest and peatland fires broke out in Indonesia 11 years ago in 2015 and 20 years ago in 2006, causing large-scale haze and spreading to Southeast Asia. Earlier, from 1997 to 1998, the cross-border haze caused by forest fires in Indonesia was regarded as one of the most serious environmental crises in Southeast Asia.
According to media reports, Indonesian wildfires in 2026 were fueled by abnormally dry weather and the "Super El Niño" phenomenon. It is worth noting that Indonesia’s dry season this year has been even more severe. In the first half of this year alone, more than 107,000 hectares of land were burned. Wildfires not only cause suffering to humans, but also severely impact the habitats of wild animals.
Please read on...
Data from the European Union's Copernicus Atmospheric Monitoring Service (CAMS) shows that from September 1 to 7 this year, Indonesian wildfires emitted approximately 19.7 million metric tons of carbon dioxide, accounting for more than one-third of global wildfire emissions during the same period. Emissions even surpassed Russia and became the highest in the world. Compared with Indonesia's historical average for the same period, it increased by 273%.
According to statistics, approximately 95,000 hectares of land in Indonesia were engulfed by wildfires in July 2026, and 946 hot spots were detected on August 31 alone.
In addition, according to the non-governmental organization Peatland Monitoring (Pantau Gambut), more than 210,000 hot spots were detected in peatlands across Indonesia from January to August this year. Because a large number of fires occur in peatlands, and some fires even continue to smolder underground, it is difficult for satellites to fully grasp the actual scale of burning.
A Greenpeace activist holds a protest outside the Indonesian embassy against the ongoing cross-border haze crisis. (Ouxin file photo)
Indonesian peatlands are natural fuel reservoirs
This cross-border haze is no longer just an environmental disaster in Indonesia. As wildfire smoke spreads with the wind, it gradually covers Malaysia, Brunei, Singapore and the Philippines, and the air quality in some areas even deteriorates to dangerous levels.
Why are Indonesian wildfires so difficult to control? Open burning has long existed in some areas of Indonesia, including the burning of oil palm-related waste and garbage. Reuters pointed out that in addition to being affected by dry weather, the fires in 2026 are also related to peatland burning, deforestation, and land clearing for oil palm and mining development.
Peatlands are another risk factor. Peat is formed from plant organic matter that has accumulated over many years and has not been completely decomposed. It originally contains a lot of water. Once it is drained and developed and becomes dry, it will transform from land that is difficult to burn to a "natural fuel reservoir" that is extremely easy to catch fire.
Research points out that after Indonesian peatlands have been drained and deforested, the risk of fires has increased significantly, and fires may continue to burn beneath the surface, producing large amounts of haze and carbon emissions.
Experts therefore warn that current carbon emissions calculated by satellites may still underestimate the actual situation. Once the fire season lasts until October, the scale of wildfire emissions and haze damage in Indonesia this year may further approach the 2015 crisis.
This year's weather has made the problem worse. Reuters reports that the strong "Super Nino" caused high temperatures and drought in some areas of Indonesia, creating an environment that is very conducive to the expansion of wildfires. As of early September, Indonesian wildfire emissions have been significantly higher than the seasonal average.
Wildfires are out of control in Indonesia, and haze has spread all the way to Malaysia, Singapore and the Philippines. (French information photo)
1.4 million students attend classes remotely due to hazardous air pollution
In 2006, Indonesia also experienced a haze crisis that was very similar to this year. At that time, forest fires in Borneo and Sumatra were exacerbated by high temperatures, dryness and peatland burning. Visibility in some areas of Borneo even dropped to 30 meters. Cars had to drive with headlights on, and flights were delayed by 4 to 5 hours. The local air pollution index even reached dangerous levels.
In October of the same year, many Southeast Asian countries held a meeting to discuss the forest fires in Indonesia, but the countries failed to immediately reach a specific plan. At the time, Indonesian officials estimated that the 2006 forest fires had caused Indonesia's economic losses of approximately US$1 billion, and there were concerns that the crisis would repeat the "suffocating haze" of 1997-98.
Now, 20 years later, a similar scene appears again. The cost of haze damage is first reflected in education and public health. This year, more than 1.4 million students in Indonesia have switched to distance learning due to dangerous air quality. Sarawak, Malaysia, even declared a state of emergency in some areas after the air pollution index exceeded the emergency threshold. This shows that the wildfire crisis has already transcended the environmental level and directly impacted people's daily lives.
During the duration of the haze, people may be forced to reduce outdoor activities, schools will be closed, businesses will reduce operations, and medical expenses and productivity losses will also increase.
Wildfires in Indonesia are out of control, haze is spreading, and people are protesting. (Ouxin file photo)
Air pollution worsens COVID-19 epidemic in ASEAN
A 2020 research report pointed out that cross-border air pollution caused by forest fires in Indonesia has caused health problems in Malaysia, Singapore, Thailand and Brunei, including lung and cardiovascular diseases. The study also pointed out that Southeast Asia's long-term exposure to air pollution may further aggravate the health risks of the COVID-19 epidemic, indicating that haze hazards and public health crises may overlap with each other.
The second price is the environment. Once forests and peatlands are destroyed by fire, not only will the trees disappear, but also wildlife habitats, biodiversity, and the forests' original functions of conserving water sources and regulating climate will be destroyed. In particular, peatlands store a large amount of carbon. Once burned, they will release a large amount of carbon dioxide, exacerbating global warming. When forests are destroyed, their original ability to absorb carbon emissions will also decrease, further forming a vicious cycle.
For wildlife, forest fires are also a disaster. After habitats are burned, animals may be forced to flee their original areas, facing risks such as reduced food sources, habitat fragmentation and even death. When forests and peatlands are burned repeatedly over a long period of time, the resilience of the ecosystem may also be seriously affected.
The economic losses are even more staggering. Research shows that the economic losses caused by major forest fires in Indonesia in 2015 are estimated to be as high as US$28 billion; if the World Bank estimates are adopted, the losses will also reach US$16.1 billion, with the impact covering agriculture, forestry, health, transportation and other industries. The study further pointed out that between 2004 and 2015, six major fire incidents in Indonesia caused a cumulative economic loss of approximately US$93.9 billion.
Estimates of the health costs of the 2015 wildfires also vary. Indonesia’s official death toll at the time was 24, but in 2016 a research team from Harvard University and Columbia University estimated that haze exposure caused by forest fires in Indonesia in 2015 may be related to tens of thousands of premature deaths. Scientists even described that the air pollution levels in some areas at that time reached extremely dangerous levels, and tens of millions of people were exposed to unhealthy or even dangerous air environments for long periods of time.
The third price is cross-border economic activities throughout Southeast Asia. Haze damage not only affects Indonesia, but may also cause flight delays, airport closures, damage to the tourism industry, logistics disruptions, and reduced corporate productivity. During the haze in Indonesia in 2006, thick smoke caused visibility to be significantly reduced, and some airports in Sumatra were temporarily affected. Singapore also suffered severe haze in the same year, and thick smoke even enveloped the urban area.
In other words, Indonesian wildfires are burning more than just forests. From public health and school education to wildlife habitats and biodiversity, and extending to aviation, tourism, agriculture and corporate productivity, a forest fire that seems to occur in Indonesia may ultimately have the entire Southeast Asia to bear the cost.
The haze spreads, causing air pollution. (French information photo)
Japan has sent helicopters to help put out fires in Borneo
When large-scale wildfires occur again in Indonesia in 2026, and carbon emissions soar rapidly, this decades-long cross-border haze problem will once again sound the alarm: if problems such as land development, peatland drainage, and open burning cannot be fundamentally improved, even if the fires are controlled in the short term, with the help of drought and extreme climate in the future, Southeast Asia may still fall into a vicious cycle of "forest fires-cross-border haze-health and economic damage" again and again.
If we go back to 1997 and 1998, the situation is equally alarming. Relevant studies pointed out that forest fires and haze affected tens of millions of people in Indonesia and neighboring countries, causing losses in agriculture, forests, health, tourism, aviation and other aspects. World Bank data also pointed out that the economic losses caused by the haze crisis in Southeast Asia from 1997 to 1998 were estimated to be billions of dollars.
Now the Indonesian government has invested a lot of manpower and aviation resources to extinguish the fire, and has carried out measures such as artificial rain increase and water sprinkling to extinguish the fire. Japan has also sent helicopters to help extinguish the fire in Borneo. However, experts warn that as long as problems such as land development, peatland drainage and land clearing through burning are not fundamentally improved, and extreme weather conditions such as El Nino continue to occur, the cross-border haze problem that Southeast Asia has faced repeatedly for many years may still be pushed to the forefront again.
Grasp the economic pulse with one hand. Click here to subscribe to Free Finance Youtube channel
What to Watch
AI outlook — possibilities, not facts
If the problems of land development and peatland drainage are not fundamentally resolved, Southeast Asia will repeatedly fall into cross-border haze crises in drought years in the future.
Likely · Within months
Open Questions
- What is the specific effectiveness of the Indonesian government’s current measures to extinguish fires and artificially increase rainfall?
- Will neighboring countries put diplomatic or economic pressure on Indonesia to promote fundamental governance?
- If the fire season extends to October, will carbon emissions and haze damage approach or exceed the historical peak in 2015?



