Regional Governments Finalise Regulations, Fiscal Transfers Ready for Disaster Recovery Disbursement

Efforts to accelerate recovery following hydrometeorological disasters in Aceh, North Sumatra, and West Sumatra continue to show a positive trend. The majority of regional governments receiving additional Transfer ke Daerah (TKD) funds have now completed the issuance of Peraturan Kepala Daerah (Perkada) and are entering the budget disbursement phase. The Task Force for the Acceleration of Post-Disaster Rehabilitation and Reconstruction (Satgas PRR) for Sumatra considers administrative acceleration in the regions to be a key prerequisite, ensuring the additional TKD can be immediately utilised for the recovery of infrastructure, basic services, and the economic activities of affected communities. Based on a report as of 12 June 2026, several areas in West Sumatra have completed all administrative stages. The City of Solok and South Solok Regency have enacted their Perkada and entered the disbursement phase. Meanwhile, other areas such as Padang City, Agam Regency, South Pesisir Regency, Dharmasraya Regency, and the Mentawai Islands are also in the disbursement process. Similar progress has occurred in North Sumatra. Medan City, Simalungun Regency, Deli Serdang Regency, and Serdang Bedagai Regency have completed the administrative process and begun realising the budget. Asahan Regency, Labuhanbatu Regency, and Pematangsiantar City are currently finalising the disbursement process. “For the enactment of the TKD Perkada and the Financial Assistance Perkada, on average they have been enacted and today the majority have entered the disbursement process,” said Cheka Virgowansyah, Director General of Regional Autonomy at the Ministry of Home Affairs and a member of the Satgas PRR Expert Group, in a written statement on Saturday (13/6/2026). Muhammad Tito Karnavian, Chair of the Sumatra Post-Disaster Satgas PRR, emphasised that the additional TKD must be utilised optimally to accelerate recovery while strengthening disaster mitigation in the affected areas. The funds are provided to ensure regional governments have sufficient fiscal space to handle post-disaster needs. “This additional TKD is provided in the context of disaster management. So I urge that it be used for mitigation and disaster management that is directly felt by the community,” said Tito. The central government has distributed additional TKD totalling Rp 10.6 trillion to Aceh, North Sumatra, and West Sumatra in stages since February 2026. This support serves as an instrument to accelerate recovery while awaiting the full implementation of the permanent rehabilitation and reconstruction programme under the Sumatra Post-Disaster Master Plan (Renduk). The acceleration of Perkada issuance and the disbursement process is a positive signal that the recovery programme is moving into the implementation phase. Through rapid budget realisation, infrastructure repair programmes, the normalisation of disaster-prone areas, and the strengthening of public services are expected to commence promptly.