Bali’s tourism industry, which generates more than 60% of the province’s GDP, is facing a critical challenge as a growing waste management crisis threatens the island’s image as a world-class destination.
Landfill Closures and Infrastructure Gaps
The situation has reached a tipping point with the Suwung TPA, the island’s largest open landfill, no longer accepting organic or mixed waste. The site is expected to close permanently by the end of July 2026, leaving the province with few options for trash disposal. While recycling and mass composting facilities exist, they currently lack the capacity to manage the total volume of waste produced on the island.
Government plans include a new Waste to Energy Facility (PSEL), but the timeline for relief is distant. Construction is not expected to begin until June at the earliest, and the project is projected to take 18 months to complete.
Industry Pushback Over Implementation
As illegal dumping and trash burning increase—incidents that have already reached international headlines—private companies in the tourism sector are calling for urgent government support. Local businesses, including villas, malls, cafes, and hotels, report that new waste management policies were implemented too quickly, without sufficient technical outreach or system preparation.
Gede Nick Sukarta, Secretary of the Indonesian Hotel and Restaurant Association (PHRI) Badung, stated that while the industry supports waste management to protect Bali’s global image and adheres to the Tri Hita Karana philosophy, the rollout must be “realistic, gradual, and involve support for all stakeholders.”
Sukarta highlighted a significant lack of technical guidance, noting that many association members have not received clear standards for sorting, management of organic and non-organic waste, or evaluation mechanisms. He added, “Even in the field, some officers are still unable to fully explain technical solutions.”
The Scale of the Crisis
The waste volume in the Denpasar and Badung regions—which encompasses major tourist hubs such as Kuta, Seminyak, Canggu, Legian, Sanur, Jimbaran, Nusa Dua, and Uluwatu—is estimated at 1,800 to 1,900 tons per day. Approximately 70% of this waste is organic.
In response to the gap in government infrastructure, the PHRI confirmed that a group of hotels is pooling funds to purchase an organic incinerator capable of converting organic waste into compost within six hours.
Economic and Operational Risks
Industry leaders warn that a law enforcement approach focused heavily on sanctions could place undue pressure on a tourism sector still recovering from the pandemic and navigating a volatile global geopolitical climate. Sukarta compared the current struggle to the implementation of CHSE certification several years ago, where businesses were forced to adapt without adequate clarity.
There are concerns that if implementation remains forceful without the necessary infrastructure, it could disrupt the operations of restaurants, villas, and hotels. Sukarta warned that investors “may also view Bali as a region whose regulations are not yet systematically ready.”
Potential Next Steps
The industry is currently seeking a collaborative resolution to avoid escalation. A possible next step involves uniting associations to conduct an official industry study and proposing hearings with the Ministry of Environment and Forestry, the Regional People’s Representative Council (DPRD), and the local government.
While Sukarta noted that demonstrations could be a last resort if practical action is not taken, he expressed hope that, if managed properly, the crisis could serve as momentum for Bali’s transformation into a “world-class, green tourism destination.”
