Illegal Parking in Makassar Linked to Residential Properties Converted to Businesses Under Central Government's OSS Licensing System
Makassar — Illegal parking in Makassar, South Sulawesi, has been partly driven by the proliferation of residential properties being converted into business premises. However, licensing for these home-based businesses is managed by the central government through the Online Single Submission (OSS) system, making it difficult for local authorities to exercise control.
Head of Makassar's Investment and One-Stop Integrated Services Agency (DPM-PTSP), Mario Said, explained that business permits can now be obtained directly through OSS, with low-risk businesses receiving automatic approval.
"This concerns permits issued directly from OSS, and they are issued automatically for non-risk businesses," Mario Said told detikSulsel on Thursday (3 July 2025).
He said the centrally integrated OSS system automatically grants permits for low-risk business categories, reflecting the central government's intention to facilitate and accelerate investment. "The basic thinking is perhaps how to make investment easier and faster. For instance, investments like coffee shops or other micro, small and medium enterprises (MSMEs) — that's probably the rationale behind the system from the central government," he explained.
Makassar City Government to Inventory Permit Compliance
Mario said his office would continue to monitor the conversion of residential properties into business premises. He confirmed that an inventory of locations where building functions have changed from residential to commercial is currently under way.
"The change in function is indeed a concern. We will discuss this specifically with our monitoring team. But first, we need to complete the inventory," Mario said.
The inventory process is being carried out alongside a monitoring team deployed to verify whether issued business permits correspond with actual activities on the ground. According to Mario, some converted residential properties may not comply with spatial planning regulations and Building Approval (PBG) requirements.
"This will be examined from the technical spatial planning regulations. Since there is a change in building function from residential to commercial, we will coordinate with the Spatial Planning Agency regarding the technical aspects of the PBG," he explained.
PD Parkir Proposes OSS Licensing Improvements
Director of Operations at Makassar's Regional Parking Company (Perumda Parkir), Christopher 'Rio' Aviary, also raised the issue of residential-to-commercial conversions, identifying it as one of the causes behind the increase in illegal parking across the city.
"We see a lot of this, particularly in the Boulevard area, where many houses have changed function. But they are actually not suitable to become restaurants or cafés because the parking space is too small, yet they have hundreds of tables. This needs to be addressed from the top, from licensing down to our level," Rio said on Wednesday (2 July).
He confirmed that PD Parkir has proposed improvements to the OSS licensing method to prevent business owners from neglecting parking provision requirements.
"At present, people obtain permits solely through OSS. What is needed is a way to control or filter this," he said. "Now almost everywhere, whether in residential areas, there are cafés and restaurants. What were once residential areas — with the ease of one-stop licensing from the central government — can now host businesses anywhere."
Head of Makassar's Investment and One-Stop Integrated Services Agency (DPM-PTSP), Mario Said, explained that business permits can now be obtained directly through OSS, with low-risk businesses receiving automatic approval.
"This concerns permits issued directly from OSS, and they are issued automatically for non-risk businesses," Mario Said told detikSulsel on Thursday (3 July 2025).
He said the centrally integrated OSS system automatically grants permits for low-risk business categories, reflecting the central government's intention to facilitate and accelerate investment. "The basic thinking is perhaps how to make investment easier and faster. For instance, investments like coffee shops or other micro, small and medium enterprises (MSMEs) — that's probably the rationale behind the system from the central government," he explained.
Makassar City Government to Inventory Permit Compliance
Mario said his office would continue to monitor the conversion of residential properties into business premises. He confirmed that an inventory of locations where building functions have changed from residential to commercial is currently under way.
"The change in function is indeed a concern. We will discuss this specifically with our monitoring team. But first, we need to complete the inventory," Mario said.
The inventory process is being carried out alongside a monitoring team deployed to verify whether issued business permits correspond with actual activities on the ground. According to Mario, some converted residential properties may not comply with spatial planning regulations and Building Approval (PBG) requirements.
"This will be examined from the technical spatial planning regulations. Since there is a change in building function from residential to commercial, we will coordinate with the Spatial Planning Agency regarding the technical aspects of the PBG," he explained.
PD Parkir Proposes OSS Licensing Improvements
Director of Operations at Makassar's Regional Parking Company (Perumda Parkir), Christopher 'Rio' Aviary, also raised the issue of residential-to-commercial conversions, identifying it as one of the causes behind the increase in illegal parking across the city.
"We see a lot of this, particularly in the Boulevard area, where many houses have changed function. But they are actually not suitable to become restaurants or cafés because the parking space is too small, yet they have hundreds of tables. This needs to be addressed from the top, from licensing down to our level," Rio said on Wednesday (2 July).
He confirmed that PD Parkir has proposed improvements to the OSS licensing method to prevent business owners from neglecting parking provision requirements.
"At present, people obtain permits solely through OSS. What is needed is a way to control or filter this," he said. "Now almost everywhere, whether in residential areas, there are cafés and restaurants. What were once residential areas — with the ease of one-stop licensing from the central government — can now host businesses anywhere."