Task Force Chief Backs Use of BNPB Ready Funds to Accelerate Permanent Housing

Minister of Home Affairs Muhammad Tito Karnavian, who also serves as Chair of the Task Force for the Acceleration of Rehabilitation and Reconstruction (Kasatgas PRR) Post-Disaster in Sumatra, has expressed support for using the National Disaster Management Agency’s (BNPB) Ready-to-Use Funds (DSP) to accelerate the construction of permanent housing (huntap) for residents whose homes were severely damaged by disasters late last year. Tito made the statement following a ministerial-level coordination meeting regarding the proposed adjustment of stimulus aid for heavily damaged houses affected by disasters through the BNPB’s DSP at the Coordinating Ministry for Human Development and Cultural Affairs (Kemenko PMK) office in Jakarta on Thursday (2/7). Tito explained that the construction of permanent housing is prioritised for residents whose homes were heavily damaged or lost due to the disaster. Generally, the construction scheme is divided into three types: in situ, independent ex-situ, and communal complex ex-situ. For the in situ scheme, houses are rebuilt in their original location if the land conditions are deemed safe, with construction carried out by the BNPB. Meanwhile, the independent ex-situ scheme involves residents building houses independently on other land they own because the old location is unsafe to inhabit; this scheme is implemented with budget support and supervision from the BNPB. The communal complex ex-situ scheme is carried out by the Ministry of Housing and Settlement Areas (PKP) and other relevant parties. In this scheme, the regional government prepares the land and supporting access, while the construction of the settlement area is carried out by the Ministry of PKP. Tito stated that the budget for communal permanent housing construction has been allocated and will begin to be realised this year. ‘For the in situ and independent ex-situ permanent housing handled by the BNPB, this is more complex because they are individual units. A separate mechanism will be used, which we are proposing, called the Ready-to-Use Fund, because the BNPB is flexible. We want to see rapid progress,’ he said. In addition to encouraging the use of the DSP, Tito also proposed an adjustment to the value of the housing construction stimulus aid. According to him, the current BNPB aid amount of IDR 60 million per unit is no longer sufficient. Based on calculations, building one liveable house ideally requires a budget of IDR 80 million. Tito added that the proposal to use the BNPB’s DSP and adjust the stimulus aid value will be submitted to the President through the Minister of State Secretary. ‘Regarding the budget, which has been IDR 60 million, we hope it can be increased,’ he concluded.