Construction of 25,000 Permanent Houses for Disaster Victims Delayed Due to Unreleased Budget
The construction of 25,000 permanent houses (huntap) for disaster victims in Sumatra has not yet commenced because the State Budget (APBN) allocation is not yet available. Currently, the Ministry of Housing and Residential Areas (PKP) is awaiting the issuance of regulations and funding certainty to execute the development.
The Director General of Residential Areas at the Ministry of PKP, Fitrah Nur, stated that the government is continuously participating in coordination meetings with the Ministry of National Development Planning/Bappenas regarding the permanent housing project. “The master plan and national action plan have been released. However, Bappenas intends to create a Presidential Regulation (Perpres),” Fitah told Kompas.com on Monday (18/05/2026).
He noted that the absence of a budget has prevented the government from starting construction in the disaster-affected regions of Sumatra. “The budget is not yet available, which is why we at the Ministry of PKP cannot take any action yet,” said Fitrah. He added that the construction process can only begin once the budget is released by the central government, after which a tender process must be conducted.
Fitrah explained that the designs for the permanent houses are currently being prepared. However, since the emergency response period has concluded, construction can no longer be carried out through a direct appointment mechanism. When asked about the possibility of starting construction in Aceh this year, Fitrah expressed optimism, stating, “Yes, this year.”
Previously, the Buddha Tzu Chi Foundation committed to building 2,500 permanent housing units for disaster survivors in Sumatra. The development will be distributed across three provinces: Aceh (1,000 units), West Sumatra (500 units), and North Sumatra (1,000 units), featuring Type 36 houses equipped with various public facilities. This housing project is a contribution from the Buddha Tzu Chi Foundation Indonesia, supported by the ‘Pengusaha Peduli NKRI’ group and other donors.