Home Affairs Minister: 'People's Tender' Strengthens Transparency in House Renovation Programme

Home Affairs Minister Tito Karnavian has stated that the Open Selection of Shops mechanism, known as ‘Tender Rakyat’, significantly strengthens transparency and accountability in the implementation of the Self-Help Housing Stimulant Assistance programme. He expressed appreciation for the mechanism, which allows shop owners to openly display the types of building materials offered along with their prices. “This is one of the excellent programmes, because with this people’s tender, all the money matters are completely open. Everything is transparent,” he said in a statement in Jakarta on Sunday. During the event, the minister engaged directly with building shop owners, checking and verifying the data on building materials and prices. He welcomed the mechanism as it enables the public to obtain quality building materials at lower prices. “This means the cheapest will win. And then the remaining money is returned to the people. Let them discuss what to do with it,” he said. Furthermore, the minister noted that the government, under the direction of President Prabowo Subianto, continues to strive to make it easier for low-income communities to obtain decent housing. This includes the exemption of Building Approval retribution and Land and Building Rights Acquisition Fees for low-income groups. The minister expressed hope that these various facilities would further stimulate economic turnover in the regions, particularly in the housing sector. He also urged regional heads not to worry about the policy, as increased house construction will have an economic impact that ultimately boosts locally-generated revenue. “With the existence of a house, previously the land was empty and only subject to land tax. But once there is a house, the following year it is subject to land and building tax. So locally-generated revenue will increase,” he said.