Govt, IBRA to build low-cost apartments for urban poor

Damar Harsanto, The Jakarta Post, Jakarta

The Ministry of Resettlement and Regional Infrastructure and the Indonesian Bank Restructuring Agency (IBRA) have proposed building low-cost flats for Jakarta's poor on disused IBRA land, a senior official at the ministry revealed on Friday.

Kasru Susilo, an expert on the economy and foreign cooperation, said the low-cost flats could be used to house illegal squatters living along riverbanks and railway lines or under flyovers.

"The flats will be built by the government and the poor can either lease or purchase them at lower prices," Kasru told The Jakarta Post.

Kasru, speaking after meeting with participants of the Asian People's Dialogue, did not know which land would be used.

IBRA inherited the lands from a number of private and state enterprises after they failed to repay government debts.

Kasru said the ministry and IBRA were discussing the possibility of establishing a fund with the interest to be used to provide cheap homes for the poor.

However, he said any resettlement plan was only a short-term solution to the urban poverty problem.

"But poverty can only be addressed thoroughly if we involve all government institutions concerned, including the city administration, in designing urban policies on poverty," he said, adding the poor must be included in the discussion.

Earlier on Thursday, resettlement minister Soenarno told participants of the Asian People's Dialogue II on poverty in Cibubur, East Jakarta that the ministry would ensure the poor were involved in the debate over their future.

"We are seeking alternative solutions for the new resettlement (of the poor)"

Soenarno said the poor would be encouraged to contribute to the scheme. For example, the poor could provide the materials needed for the homes, while the government could construct the amenities needed to support the housing project.

Soenarno said the "community-based resettlement" could slash the costs by up to 60 percent when compared to the existing resettlement project.

However, Soenarno admitted the final say was in the hands of the city administration following the implementation of regional autonomy. All discussions must involve the administration, he said.

Meanwhile, Wardah Hafid, head of the Urban Poor Consortium, said that any attempt by poor communities to cooperate with the city administration always hit problems as the administration did not care about urban poverty.

"The administration is concerned with how to get more money for its coffers, rather than the betterment of the lives of the poor."

Similarly, Kasman, a pedicab driver from West Jakarta, was skeptical the administration could resolve the issue.

"They are never serious (in dealing with urban poverty problems)," Kasman said.

Instead of managing the "pedicab" issue, Kasman said, the administration preferred to eject them from the city.