Private developers urged to cooperate with govt

Private developers urged to cooperate with govt

JAKARTA (JP): The Association of Indonesian Real Estate
Developers (REI) has told its members to cooperate with state-
owned developers and construct low-cost houses, says chairman
Enggartiasto Lukita.

He told reporters in Medan, North Sumatra, yesterday that Law
No. 4/1992, which is to be enacted at the end of this month, will
specify the form of cooperation between private and state-owned
developers.

He was quoted by the Antara news agency as saying that the law
will prevent one developer from dominating the industry.

"The law will create a sort of an equality," Enggartiasto
said.

State Minister of Public Housing Akbar Tandjung said recently
that developers are expected to build 500,000 units during the
Sixth Five-Year Plan (Repelita VI), which started this month.

The government has also ruled that developers must build six
"very simple" houses and three "medium" houses for every luxury
unit they build.

The 1:3:6 plan will be initially enforced in nine areas: the
Jakarta area, Bandung in West Java, Surakarta in Central Java,
Yogyakarta, Surabaya in East Java, Medan in North Sumatra,
Ujungpandang in South Sulawesi, Balikpapan and Samarinda in East
Kalimantan and Batam island in Riau.

Enggartiasto also appealed to local administrations to work
efficiently and to improve cooperation among agencies, including
the local offices of the National Land Agency, in processing
permits. (04)