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Developers flout planning rules

| Source: JP

Developers flout planning rules

The Jakarta Post, Jakarta

Very few property developers in Jakarta have built public and
community facilities in accordance with a requisite for obtaining
land-use permits, an official of the City Asset Management Agency
revealed on Monday.

The agency's supervision head, Latief Lubis, told a hearing
with City Council Commission D that from 1972 to 2004, only 15
percent of developers had met the requirement to build a low-cost
apartments, parks, roads and/or houses of worship.

Commission D oversees development affairs.

"Of the 2,490 permits we issued over this period, 2,189 are
still active. However, only 307 developers have contributed a
small portion of their assets toward public facilities," Lubis
said.

He added the combined value of the developers' assets reached
up to Rp 2.28 trillion (US$248.58 million).

According to Lubis, the asset management agency was unable to
impose any sanctions against developers who did not meet the
requirement, "because no article exists that dictates a specific
time frame for them to provide the public facilities and what
kind of public facilities, while sanctions against offenders are
not regulated".

Councillor Yusuf Hamdani of the Reform Star Party (PBR),
however, questioned the agency's seriousness in carrying out
their duties.

"This has been taking place for a long time -- since 1972 --
but still no effort has been made by the administration to
rectify the legalities. Moreover, members of previous councils
have often asked the City Asset Management Agency to reveal the
developers' identities, but (received) no reply," Yusuf said.

He also pointed out as an example of the agency's poor
credibility that the agency had certified only 2,532 of 8,392
assets, of which most were idle property and state schools given
to the city in 2000 by the central government as part of its
regional autonomy policy.

Comparative data on developers, public facility construction

Area Facilities Issued Retains

land-use permit active permit

C. Jakarta 16 371 49

N. Jakarta 127 438 379

W. Jakarta 86 480 419

S. Jakarta 42 704 606

E. Jakarta 36 474 442

Kepulauan Seribu 2 23 21

Source: City Asset Management Agency

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