Government Absorbs Aspirations Regarding Subsidized House Size Plan
Jakarta – The government is still deeply reviewing the plan to adjust the size of subsidized houses so that it continues to meet the feasibility and needs of the community. Minister of Housing and Settlement Areas (PKP) Maruarar Sirait emphasized that the plan is not final and is still in the process of evaluation and in-depth discussion.
“Now I am still at the stage of receiving various inputs. The decision will be taken in due course. Until today, no decision has been made,” said Maruarar.
This plan has received various responses from the public, which is an important part of the inclusive policy formulation process. Maruarar said that dynamics like this are normal in the public policy process.
Responding to various public responses, Maruarar stated that criticism and support are common in the policy formulation process.
“We are open to input from various parties, because differences of opinion are common. Currently, no decision has been made, I am still in the stage of listening and receiving input,” he said.
The plan to reduce the size of subsidized houses is contained in the draft Decree of the Minister of PKP Number/KPTS/M/2025 which is currently still in the process of being prepared. The draft includes provisions regarding the limits on land area, building area, selling price of subsidized houses, and the amount of subsidy for down payments in the implementation of the Housing Financing Liquidity Facility (FLPP) Credit/Financing program.
However, these provisions cannot be implemented before a revision is made to Government Regulation (PP) Number 12 of 2021, which is an amendment to PP Number 14 of 2016 concerning the Implementation of Housing and Residential Areas.
As a reference, the previous provisions in the Decree of the Minister of PUPR Number 689/KPTS/M/2023 stipulate that subsidized houses must have a land area of at least 60 square meters and a maximum of 200 square meters, while the building area of subsidized houses was previously set to be in the range of 21 to 36 square meters.
In addition to discussing the size, Maruarar also proposed another option in the form of multi-storey housing as part of the subsidy program.
“I plan to build flats or apartments that are still included in the subsidized housing category,” he said.
He hopes that the public will support the idea so that it can be realized soon. This discourse is in line with the 2025 FLPP plan which targets the construction of 350 thousand subsidized housing units with a budget of IDR 43 trillion.
Maruarar said that his party is reviewing the possibility of using some of the funds for the construction of vertical housing such as apartments. The FLPP funding scheme will still be carried out in a mixed manner, namely 75 percent from the government and 25 percent from banks, supported by PT Sarana Multigriya Finansial (Persero) and PMN of IDR 7.02 trillion.