Indonesians are in need of additional 700 thousand units of homes per year given the assumption of 1.3 percent of population growth. Today, there is a lack of eight million of homes in the country, a rise of last year's housing necessity of 7.4 million.
The government argues that the current law on housing has yet to offer full authority to the government to build rural housing. "We're improving on this issue by preparing new draft bill," said Minister of Public Housing, Suharso Monoarfa, in Jakarta.
The housing issue is not only concerned with the lack of homes but also people's incapability of buying one. Member of Commission V at the House of Representatives, Ali Wongso Sinaga, said when the housing is ready, people could probably unable to afford one. "There's a huge gap between people's purchasing power and market prices," he said.
Ali offers several ways to deal with the said problem. First, city planning. "The government should have anticipated future land which is targeted for housing," he said.
He suggested the government to re-activate the national housing firm (Perumnas). "Perumnas is known as the owner of large land bank. Land issue will be settled if the firm is re-activated," said Ali.
"And if the development is carried out on the set zone, it will be free of any permit and retributions," he said.
Law expert Prof. Arie Sukanti agreed with the opinion saying that land-zoning model will not require any permit fee.
Ali went on to say that the government provides inexpensive building credit in an attempt to get low financing.
Moreover, Director of SMF Erika Soeroto regretted over the government's decision of not putting capital market into one of its considerations in finding long-term investors.
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