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Cement shortage will not affect Perumnas target

| Source: JP

Cement shortage will not affect Perumnas target

JAKARTA (JP): The President of Perum Perumnas III, a state-
owned housing company, said yesterday that the increasing price
of cement will not hamper the company's target to build 90,000
low cost houses in the Greater Jakarta area by 1998.

"To cope with the cement supply and price problems Perumnas
has signed an agreement with PT Cipta Mulia Nusa Persada, a
distributor company of Semen Padang, to provide cement to all of
the company's contractors," said M. Latief Malangyudo.

Latief told newsmen that the agreement requires the
distributor to supply cement to all of Perumnas contractors for
the building of low cost houses in the Greater Jakarta area,
including the townships of Bogor, Tangerang and Bekasi, all in
West Java.

However, Latief said the agreement has also stipulated that
the price of cement per 40-kilogram sack will not be based on the
government-set local price of Rp 5,930. The agreed upon price
from August to December is to be Rp 7,700 per 40-kilogram sack.

He added that to have an adequate cement supply from the
distributor the contractors and developers should plan ahead and
place their orders three months ahead of demand.

According to Latief, the scheme has produced good results
because the shortage of cement supplies and its ever soaring
prices are not hampering the contractors' working process.

Meanwhile, Santyoso Yuwono, the company's Planning and
Development manager, said that another favoring factor is that
cement is not the prime component of a low-cost house.

"A low cost house needs only 41 sacks of cement," Santyoso
said.

According to a government decree, the price of a low cost
house must not exceed Rp 4.5 million which may be paid in
installments over a 20 year period.

Latief said that the target of building 90,000 low cost houses
in Jakarta is also supported by some state bodies which agree to
provide plots of land to build low cost housing complexes for
their own employees.

"We are now discussing an agreement with the Ministry of
Information to build a residential complex for its employees in
the Cimanggis area in Bogor," he said.

Obligation

He said that under the agreement Perumnas has the obligation
to build the complex while the ministry will provide the land.

Latief said that the company is also planning to build low
cost residential complexes for some state bodies, such as the
government auditing agency in Bojong Gede in Bogor regency, the
coordinating agency for national stability and security also in
the Bojong Gede area, and the West Jakarta mayoralty in Meruya
Udik, West Jakarta.

Responding to questions from reporters about whether or not
the company supports the city administration program in promoting
"apartment lifestyles" for Jakartans, Latief said that Perumnas
will build a low cost apartment complex with 880 units in the
Kemayoran area, Central Jakarta.

"We also plan to build more low cost apartment complexes in
Cilincing, North Jakarta, Cengkareng, West Jakarta and in
Pulogebang in Bekasi regency," Latief said.(03)

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