The Indonesian government continues to demonstrate a strong commitment to accelerating the fulfillment of adequate housing needs for its citizens, particularly through the Three Million Homes Development Program. This effort is realized through the Joint Decree of the Minister of Housing and Residential Areas, the Minister of Public Works, and the Minister of Home Affairs No. 03.HK/KPTS/Mn/2024; No. 3015/KPTS/M/2024 and No. 600.10-4849 of 2024 on Support for Accelerating the Implementation of the Three Million Homes Development Program, which sets out several strategic policies to expedite the program’s implementation.
This decree outlines three main measures: the exemption of Land and Building Acquisition Duty (BPHTB), the exemption of Building Permit Fees (PBG), and the acceleration of PBG issuance. These policies aim to overcome administrative and financial obstacles that often hinder the process of housing development and ownership, particularly for low-income groups (MBR).
To support the success of this program, the Minister of Housing and Residential Areas has established clear criteria for the MBR group eligible to benefit from these policies. These criteria consider maximum income levels based on regions. In Java, Sumatra, Kalimantan, Sulawesi, Bangka Belitung Islands, Bali, Nusa Tenggara, and Maluku, the maximum income for unmarried individuals is set at IDR 7 million, while for married individuals and participants in the Public Housing Savings Program (Tapera), the limit is IDR 8 million. Meanwhile, in Papua and surrounding regions, the income ceiling is higher, at IDR 7.5 million for unmarried individuals and IDR 10 million for married individuals or Tapera participants. This determination is based on considerations of varying living costs in each region.
Additionally, the elimination of BPHTB represents a significant step to alleviate the financial burden on MBR in acquiring land and building rights. Through this policy, the government provides direct relief to individuals with limited purchasing power, making homeownership no longer an unattainable dream. Furthermore, the exemption of PBG fees and the acceleration of their issuance are expected to speed up the legalization and development processes, fostering a more efficient and inclusive housing development ecosystem.
This joint decree not only reflects cross-ministerial synergy but also reinforces the government’s commitment to meeting the basic need for decent and affordable housing. The Three Million Homes Development Program serves as a strategic measure to address the housing backlog, enhance community welfare, and promote equitable development across Indonesia. With these policies, it is anticipated that they will not only have a direct impact on MBR but also accelerate the growth of the housing sector, ultimately contributing significantly to the national economy.
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Author:
Dewi Susanti