North Sumatra TKD Realisation: Three Cities Progress While Two Regencies Lag Behind

After the additional regional transfer funds (TKD Tambahan) were fully disbursed in May for three provinces in Sumatra affected by major flooding at the end of November 2025, the challenge for local governments is now to ensure every rupiah is spent.

Throughout July 2026, the Ministry of Home Affairs and the Task Force for Accelerated Rehabilitation and Reconstruction (Satgas PRR) visited various districts and cities in the three provinces to monitor and conduct coaching clinics on the realisation of the additional TKD.

Monitoring results show that several regions are beginning to demonstrate accelerated realisation. In the Satgas PRR report as of 4 August 2026 regarding the absorption of additional TKD funds in North Sumatra Province, realisation has reached Rp 433.45 billion, or 6.82 percent of the total allocation of Rp 6.35 trillion.

In terms of budget utilisation, infrastructure development is one of the sectors beginning to move, with realisation reaching approximately Rp 89.23 billion, or 2.54 percent of the total infrastructure sector allocation of Rp 3.51 trillion.

Pematang Siantar City is the region with the highest realisation rate at 40.72 percent. It is followed by Medan City with 21.61 percent and Gunungsitoli City with 15.03 percent. These achievements indicate that the disaster recovery process under regional authority is moving from the planning stage to programme implementation in the field.

As a city that was not severely affected, Pematang Siantar’s highest realisation is currently in the education and health sectors. School rehabilitation received an allocation of Rp 5.55 billion for 42 work packages, while the health sector was allocated Rp 8.11 billion for the construction and improvement of supporting infrastructure for health services.

Medan City, which recorded a realisation of 21.61 percent, is focusing the use of additional TKD on restoring drainage infrastructure and improving flood-prone areas. The Medan city government is directing the funds towards repairing macro water channels and rehabilitating river embankments damaged by flooding late last year. This step is important to minimise the risk of subsequent flooding while accelerating the recovery of the city’s economy.

Pematang Siantar City and Medan City, according to the Minister of Home Affairs Circular Number 900.1.3/1084/SJ concerning adjustments to regional transfers for the 2026 fiscal year, are classified as regions that were not severely affected.

The circular states that disaster-affected local governments are directed to utilise the additional TKD to support the acceleration of pre-disaster management, emergency response, and post-disaster rehabilitation and reconstruction. Meanwhile, for regions not directly affected, the budget can be directed towards supporting recovery through development.

Gunungsitoli City, with a realisation rate of 15.03 percent, is focusing budget utilisation on road infrastructure recovery and improving educational facilities. Given its strategic position in the Nias Islands, the reliability of the transportation network is key to restoring accessibility and economic mobility for residents.

In the education sector, an allocation of Rp 3.10 billion has been prepared for school rehabilitation through two work packages, one of which is in the tender process. The North Sumatra Provincial Government is also providing assistance to rehabilitate SMPN 4 Sitolu Ori, which was severely damaged by the disaster.

Two Districts Require Attention

A contrasting situation is evident in the severely affected areas, namely Tapanuli Utara Regency and Tapanuli Tengah Regency. These are now receiving special attention from Satgas PRR because their absorption and realisation remain minimal.

In Tapanuli Utara Regency, out of a total additional TKD allocation of Rp 74.35 billion, realisation has only reached Rp 411.82 million, or 0.55 percent, placing it 12th in North Sumatra. The budget sourced from the agriculture sector has been absorbed very minimally, while the infrastructure allocation of Rp 43.16 billion and education allocation of Rp 1.65 billion remained at zero realisation as of early August 2026.

Tapanuli Tengah Regency is far more concerning. With an additional TKD allocation of Rp 123.73 billion, budget absorption in this region remains at 0.00 percent, placing it at the very bottom, ranked 23rd alongside several other low-performing regions. Of this allocation, Rp 86.15 billion is focused on infrastructure, Rp 8.82 billion on health, and Rp 7.31 billion on education.

The slow budget absorption in Tapanuli Tengah is a critical issue given that the region was again hit by subsequent flooding in early August 2026. The recurring floods have identified two sub-districts as the most vulnerable and frequent flood zones: Tukka and Badiri. The breaching of embankments and the overflow of the Aek Silaga-laga River continue to inundate residential areas and force hundreds of residents to evacuate.

This situation demands the active role of the North Sumatra Governor as the Central Government Representative in the region (GWPP). The Governor has the function of guidance, supervision, and coordination to encourage stagnant regions to immediately accelerate the realisation of additional TKD.

Provincial government acceleration and close cross-regional coordination are considered key to ensuring that disaster funds do not simply sit idle in regional treasuries but are quickly felt by disaster-affected communities.

El Niño Mitigation Breakthroughs

In overseeing the realisation of additional TKD funds, Satgas PRR encountered several regions that are quite adaptive and responsive in implementing disaster mitigation measures. Satgas PRR Head Tito Karnavian has warned local governments to be vigilant about the El Niño phenomenon, which BMKG predicts will begin to be felt from July to October 2026.

“Please form ground task forces in each district, city, and province; activate existing ones to the maximum,” said Tito. “Also involve village heads to prevent fires and ensure that if they occur, they can be handled immediately.”

This responsive approach is demonstrated by Dairi Regency. Facing the threat of recurring forest and land fires in the Silalahi forest area during the dry season as well as landslide threats, the Dairi regency government is using additional TKD to design a simple container-based Command Center that is easily mobilised.

Similar efforts are being made by Humbang Hasundutan Regency. The Regional Development Planning Agency (Bappeda) is preparing disaster management regulations, rejuvenating the fire brigade fleet, and procuring water tank trucks to anticipate clean water crises during peak El Niño.

In addition, Humbang Hasundutan is also realising the rejuvenation of severely damaged ambulances, developing an integrated Command Center through the Communications and Information Office, and building a digital-based disaster impact data collection application so that future reporting can be executed quickly and accurately.

The initiatives from Dairi and Humbang Hasundutan demonstrate that flexibility in the use of disaster funds can be maximised to strengthen regional resilience. This experience is expected to encourage other districts and cities in North Sumatra to accelerate the absorption of additional TKD that remains minimal.

This attention to accelerating budget absorption is in line with the directive of Satgas PRR Head Tito Karnavian. All local governments are required to immediately utilise fund allocations optimally, given that the disaster management process has entered the rehabilitation and reconstruction phase.

“This is solely because of the mandate and task given by the President to me as Head of the Task Force for Accelerated Rehabilitation and Reconstruction of Disaster Areas in Sumatra, and also as Minister of Home Affairs, the supervisor and overseer of regional governance. There is no personal interest whatsoever, other than for duty and humanity,” said Tito.