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ublic Works and Public Housing Minister Basuki Hadimuljono has said that with a total backlog of around 13 million houses, the government aims to provide 2 million new residences per year, allocating Rp 10 trillion (US$795.3 million) of the 2015 revised state budget draft to realize the program.

Basuki previously said the government aimed to provide 2.2 million new houses within the next five years.

'€œOur initial strategic plan stated that we would provide a total of 2.2 million new residences by 2019. After receiving guidance from Pak JK [Vice President Jusuf Kalla], we increase the target to around 2 million new residences per year,'€ Basuki told reporters on the sidelines of the National Development Planning Conference (Musrenbangnas) in Jakarta on Thursday.

Basuki said that out of the total 2 million units that would be provided, the government would only allocate the budget to develop 1 million units. Commercial property developers, such as Summarecon, would be encouraged to develop the rest, Basuki said.

According to Basuki, the government would allocate 20 percent of the budget to construct residential units for the Indonesian Military (TNI), National Police, fishermen and residents living in border areas.

'€œInitially we submitted a proposal to construct 20 low-cost apartment towers for the TNI and police, but then during a meeting with Pak JK and Pak Jokowi [President Joko '€œJokowi'€ Widodo], they said we should double the number, so we will follow their order,'€ Basuki said.

He said each apartment tower would consist of 98 units and that the ministry was planning to build the apartment complexes in 20 locations across the archipelago, citing that the ministry was still determining the locations.

According to Basuki, the allocated state budget would not only be used to construct the residences but also to fund the housing loan liquidity facility (FLPP).

The public housing ministry introduced the FLPP, government-backed mortgages, in 2010 to help low-income people acquire housing.

The previous administration planned to revoke the facility for landed houses and replace it with a new program next year for low-cost apartments.

Basuki, however, decided to cancel the revocation plan and instead signed a revision on the ministerial regulation on Monday.

He previously said that next year'€™s increased fiscal savings from fuel subsidy reallocation and the government'€™s austerity measures had allowed the ministry to request additional funds of Rp 47.5 trillion in the 2015 state budget, up from the initial request of Rp 12 trillion.

Due to an increase in fiscal savings, the ministry decided to propose higher figures that would be used to finance road projects (Rp 20 trillion), food sufficiency program (Rp 12.5 trillion), clean water and sanitation projects (Rp 13 trillion) and housing projects (Rp 2 trillion).

Apart from the increased housing targets, the ministry has also decided to increase the number of dams scheduled to begin construction next year, from 11 to 13, to accelerate the government'€™s food sufficiency program.