Bali to Halt New Hotel and Restaurant Construction Amid Deadly Flooding and Rising Concerns Over Mass Tourism
In response to recent devastating flash floods that claimed at least 18 lives, Bali’s provincial government has announced a ban on the construction of new hotels and restaurants on cleared rice fields and agricultural lands. This measure aims to address long-standing concerns about overdevelopment and the environmental impact of mass tourism on the popular Indonesian resort island.
The severe flooding, declared a state of emergency on 10 September 2025, resulted from intense rainfall—described as the most severe in over a decade—causing widespread damage to homes, infrastructure, and public facilities across Denpasar and surrounding areas. Thousands of residents were affected by the disaster, highlighting the vulnerabilities linked to rapid urbanization and environmental degradation.
Environmental activists have campaigned for stricter land-use regulations for years, warning that unchecked development, especially on productive agricultural land such as rice paddies, exacerbates risks of flooding and other natural disasters. In the aftermath of the floods, Bali’s governor, Wayan Koster, confirmed the introduction of new instructions aimed at halting permits for hotels, restaurants, and other commercial facilities on productive land.
“Starting this year, there is already an instruction to all heads of districts and mayors across Bali,” Governor Koster stated on 14 September. “After handling the floods, we will meet again to ensure no more permits are issued for hotels, restaurants or other facilities on productive land, especially rice fields.” He further emphasized that from 2025 onward, the prohibition on land conversion will align with Bali’s 100-year development plan, ensuring that productive agricultural land remains protected from commercial development.
Bali, renowned for its lush rice terraces and pristine beaches, has undergone rapid transformation over the past fifty years. The expansion of hotels and resorts has brought economic growth but also challenges, including traffic congestion, pollution, and social tensions related to tourism. In 2024, the Indonesian government announced plans for a moratorium on new hotel developments due to concerns about overdevelopment; however, those plans did not come into effect. The newly announced bylaws are expected to be implemented by the end of 2025. The decision to restrict new constructions follows warnings from Indonesia’s meteorology and climate agency about a potentially extreme rainy season this year. Compounding the impact of heavy rains is a worsening waste management crisis in Bali, which has further contributed to flooding problems.
Experts note that while flooding is common in Indonesia’s wet season (September to March), the impacts are intensifying due to climate change, which leads to heavier and more frequent downpours. Additionally, deforestation and unregulated urban expansion aggravate flood severity by reducing natural land absorption and increasing runoff.
Indonesia’s Environmental Minister, Hanif Faisal Nurofiq, endorsed the new regulations as a critical step for Bali’s sustainable future and tourism industry. “This is also crucial for Bali’s tourism as the recent flooding has drawn serious attention,” he remarked. “I actually told the governor last week that I really hope he will immediately stop the land conversions in Bali. This is extremely important.”
Globally, climate change is making extreme rainfall events more common and severe, especially in regions such as Europe, much of Asia, parts of the Americas, Africa, and Australia. Warmer air holds more water vapor, increasing the likelihood of intense storms and flooding. Human factors like land use practices and flood infrastructure also influence how regions experience and manage such extreme weather events.
As Bali faces the dual challenges of environmental sustainability and tourism-driven development, the recent flooding has sparked renewed efforts to balance growth with the preservation of the island’s natural resources and cultural heritage. The ban on new hotels and restaurants on productive land reflects a shift toward more responsible land management aimed at reducing disaster risk and protecting Bali’s unique landscape for future generations.
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