20 FEBRUARY 1998. INDONESIA: HAZE (ECONOMIC IMPACT)

Interim Results of a Study on The Economic Value of Haze Damages in SE Asia

"Since October 1997, WWF-Indonesia and EEPSEA (1) have been undertaking a study to assess the economic value of the damage caused by the 1997 haze. The work is carried out by WWF members and academic researchers in Indonesia, Malaysia and Singapore, with methodological advice from international resource persons. The purpose of the study is to estimate the economic value of losses caused by forest fires and haze. A briefing note explaining the purpose and coverage of the study was submitted to ASEAN in December 1997.

This report presents estimates of short-term haze-related damages in the three countries. It does not include the additional damages suffered by Indonesia as the direct result of the fires (e.g. loss of plantation crops and timber). These are the subject of ongoing study and will be included in a subsequent report.

Haze-Related Damages from the 1997 Forest Fires (in millions)  
Damage Indonesia   Malaysia   Singapore   Total
  Rp USD RM USD SGD USD USD
Short-Term Health Damages 2,310,000 924 20.1 8.0 5.2 3.7 935.7
Industrial Production Losses U U 393.5 157.4 N N 157.4
Tourism 176,000 70.4 318.5 127.4 81.8 58.4 256.2
Airline & Airport Losses 44,000 17.6 .5 .2 .6 .4 18.2
Fishing U U 40.6 16.2 N N 16.2
Cloud Seeding U U 2.1 .8 N N .8
Total 2,530,000 1,012 794.3 310.0 87.6 62.5 1,384.5
  Notes to the Table: N = negligible or not applicable; U= unknown: data unavailable " --SEA-SPAN List

Back to The 1997 El Niño/Southern Oscillation (ENSO 97-98)