Reconciling Economic and Environmental Imperatives in Batam

Abstract

Batam’s economic growth has been nothing short of spectacular. In the 1990s, it experienced an investment boom fuelled by investments from Singapore. This lasted for two decades and transformed the economy and landscape of what was an outpost into a place with a major industrial city of over 1 million inhabitants. This impressive pace of development has often been accompanied by a marked degradation of the natural environment. Mangrove areas have rapidly disappeared, floods have occurred around the city because of erosion caused by land clearing; illegal squatter settlements have intruded into protected forests, and toxic substances from the offshore cleaning of ships have affected the quality of Batam’s coastal waters. But all is not lost. Economic and environmental imperatives can be reconciled if Batam’s development trajectory takes into account the impact of economic growth on the environment. Sustainable development is not impossible.