One Million House Program 45 Percent Of Target

Jakarta (Antara Bali) - Secretary General of the Ministry of Public Works and Housing Taufik Widjoyono said progress made in the implementation of the program to build one million units of houses has reached only 45 percent so far this year.

Implementation of the program for low cost houses has been smooth  as scheduled,as the project is handled by the ministry itself, Taufik  said here on Wednesday.

There was,  however, problem in the implementation for the program  to build houses for middle to  high income people, he said.

Houses for middle to high income people are to be built by the private sector.

"Sales of houses for middle  and  high income people  fell short of target amid the present condition of uncertainty. Consumers choose to wait and see and put off plan to buy houses," he said.

The East Java branch of the  Real Estate Indonesia (REI) said the program  to build one million units of house launched by President Joko Widodo is not up to expectation in implementation.

"There are a number of hurdles faced by developers in carrying out the program . One is land clearing ," deputy chairman of thye East Java REI Dibya K Hidayat.

Dibya said the prices of land soared  in the city of Semarang slowing the process of land clearing.

"With the prices skyrocketing it is impossible for developers to build low cost houses in Semarang," he said, adding, "it is possible if the project is outside the city."

He called on the government to help provide infrastructure for housing projects in the regions.

"Ideally, the government builds infrastructure in new settlement centers as satellite cities," he said.

He said the government and developers have not reached a consensus on the provision of infrastructure in new housing projects.

There are still a lot to be faced such as policies not yet synchronized between the center and the regions, he said, citing policy on processing tariff  at the land office. (WDY)