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Jakarta Post

Association sets pessimistic target for subsidized houses

  • News Desk

    The Jakarta Post

Jakarta   /   Mon, December 31, 2018   /   03:50 pm
Association sets pessimistic target for subsidized houses President Joko “Jokowi” Widodo (right), State-Owned Enterprises Minister Rini Soemarno (left) and state lender BTN president director Maryono inspect low-cost houses in Balikpapan, East Kalimantan, on July 13. (Antara/Suryo)

The Indonesian Settlement and Housing Developers Association (Apersi) has set a conservative commitment target for subsidized houses next year, after taking into account the economic situation and existing government policy.

“We only aim to develop 130,000 houses next year. This situation makes it difficult to think optimistically, even more for next year,” said Apersi chairman Junaidi Abdullah over the weekend as reported by tempo.co on Monday.

He said this year members of the association could only develop about 100,000 subsidized houses out of the year's total target of 130,000.

He said one of the problems was that the government often changed or introduced additional policies in the early period of every year.

He recalled that in early 2018, the government issued a functional certification policy (SLF) for subsidized houses that had discouraged developers from fulfilling their commitments.

Junaidi said the government had issued a new regulation on developer accreditation through the Public Works and Housing Ministry that would start to take effect in January 2019.

The accreditation policy would be a new regulation expected to affect housing development, he added.

“It is not easy for thousands of developers to fulfill the requirements stipulated in a regulation that was suddenly issued by the government in the early period of the year,” Junaidi added.

He expressed the hope that next year the government would maintain the existing regulation as otherwise it would only cause problems for the developers. (bbn)