Bali halts new tourist developments on farmland as floods spur policy shift

Bali’s governor, Wayan Koster, announced a moratorium on new tourist developments on farmland, saying there will be no new permits for hotels, restaurants or other facilities on productive land this year and that instructions have been issued to regents and mayors across the island.

The move comes after deadly floods earlier this month that killed at least 18 people. Flood waters inundated and destroyed homes, villas and shops across large swathes of Bali. Mud, rocks and trees tumbled onto mountainside hamlets, while rising rivers submerged at least 112 neighborhoods and triggered several landslides. The disaster underscored concerns that rapid development along coastal and inland zones is reducing natural drainage buffers and worsening flood risks.

Officials say the ban is aimed at curbing the aggressive expansion of tourism facilities on agricultural land, including rice paddies, which in Bali sustains the Subak irrigation system—a UNESCO-recognized network. The government notes that, in recent years, as much as about 1,000 hectares of rice paddies and green space are lost annually to development, threatening not only farming livelihoods but also the natural buffers that absorb heavy rainfall and mitigate runoff.

Under the order, Bali’s governor stated that, “This year there will be no more converting productive farmland into commercial purposes. We will ensure that no new permits are issued for hotels, restaurants, or other facilities on rice paddies and productive land,” with instructions distributed to regents and mayors to enforce the policy.

The policy comes as Bali prepares for what officials expect to be a record tourism year in 2025. The island is projected to welcome about 6.5 million foreign visitors, including around two million Australians. On average, Bali sees roughly 21,000 to 22,000 tourist arrivals each day, placing continued attention on how development and land-use decisions interact with flood risk and environmental safeguards.

Critics say the rapid construction of tourist infrastructure has outpaced environmental protections. Walhi Bali executive director Made Krisna Dinata told ABC News that extensive development has driven rapid agricultural land conversion and that much of it has been built by violating coastal and river zones, often locating projects in disaster-prone areas. He argued that such patterns have intensified exposure to floods and undermined traditional land-use practices that historically buffered heavy rains.

Locals have also pointed to governance and waste-management issues tied to flood responses. The closure of Suwung, Bali’s only landfill, drew criticism from residents who claimed the shutdown pushed waste into rivers and worsened floods and the aftermath. Officials say the moratorium on farmland development is part of a broader effort to counter such effects and protect vulnerable land from irreversible changes.

Local sentiment toward tourism’s footprint is reflected in social-media conversations and community voices. Balinese influencer northsidestory, among others, urged visitors to treat the environment with care, saying, “No one can stop disaster but at least we should stop throwing trash in our nature, keep our nature clean, save our nature.” Other commenters lament ongoing construction, inadequate waste management and the erosion of green spaces, warning that Bali’s beauty could be lost if development continues unchecked.

The policy has drawn support from industry groups as well. The Badung chapter of Indonesia’s Hotel and Restaurant Association endorsed the moratorium, describing it as an important step to balance development with environmental preservation. I Gusti Agung Ngurah Rai Suryawijaya said the move could limit hotel and villa growth in the short term, but was ultimately positive for Bali’s environmental quality and long-term appeal to travelers.

Experts say the moratorium may slow the pace of new hotel and resort development, but its real test will be in how it interacts with land-use planning, waste management, and flood-control efforts. Officials emphasize that protecting the Subak irrigation system and other ecosystem services is central to the island’s resilience strategy, particularly as the rainy season from September through March intensifies annual flood risks. In Bali’s broader context, the decision highlights the complex balance between sustaining a booming tourism economy and safeguarding agricultural land, water systems and vulnerable communities.”