Indonesian Political, Business & Finance News

Hundreds of Provincial Government Land Parcels in North Sumatra Still Lack Certificates

| | Source: MEDIA_INDONESIA Translated from Indonesian | Property
Hundreds of Provincial Government Land Parcels in North Sumatra Still Lack Certificates
Image: MEDIA_INDONESIA

The issue of incomplete regional assets remains a homework assignment for the North Sumatra Provincial Government. According to thematic data from the Corruption Eradication Commission at the end of 2023, there are still 849 land parcels owned by the North Sumatra Provincial Government that have not yet obtained certificates to date.

This situation has spurred the Regional Finance and Assets Agency (BKAD) of North Sumatra to carry out administrative “clean-up”. The Head of BKAD North Sumatra, Timur Tumanggor, stated that this certification acceleration is not merely about chasing numbers, but also an effort to provide legal certainty to avoid disputes. “We are undertaking this effort to realise orderly asset management administratively and with legal certainty,” he explained on Tuesday (7/4).

Although ambitious targets have been set each year, their implementation in the field still encounters twists and turns. For example, in 2024, out of a target of 598 parcels, only 34 certificates were successfully issued.

Similarly, in 2025, only 38 certificates were issued out of 564 targeted parcels. Entering 2026, the North Sumatra Provincial Government has again set a high target of 772 land parcels.

However, until the end of March 2026, the realisation of certificate issuance remains nil, even though 121 parcels have been registered with the National Land Agency. “Up to 31 March 2026, the land parcels submitted to the BPN are still in process, so there has been no realisation of certificate issuance,” he explained.

Cumulatively, the total land owned by the North Sumatra Provincial Government that has been certified now stands at 1,157 parcels. In addition to certificate matters, the North Sumatra Provincial Government is also inventorying 113 assets that fall into the idle category or are not being utilised optimally.

Of these, 52 are currently in the assessment stage by the team from the Directorate General of State Assets (DJKN) North Sumatra to determine their fair value. To ensure this process is transparent, the North Sumatra Provincial Government plans to upload data on these assets into the regional asset utilisation application.

They hope that the public and business actors can access this information openly for collaboration. “This step is expected to enhance transparency and support an increase in Regional Original Revenue (PAD),” said Timur.

As the legal umbrella for this acceleration, according to him, the Governor of North Sumatra has issued a special letter regarding the certification of regional-owned land. A task force has also been formed to carry out data reconciliation and coaching clinics to ensure that no more assets are left neglected or “lost” from state records.

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