Indonesia Finance Today
Tuesday, 26 04 2011
JAKARTA (IFT) - The government will revise regulations concerning the establishment of union in the apartment dwellers. Later, the developers must release the management authority of the apartment project built and hand it over to the residents association.
Ali Tranghanda, Executive Director of Indonesia Property Watch, said the government should pay more attention to consumer protection regarding the article on flats and apartments residents in the Flats and Apartments Regulation Outline. In reality, the article seems to be weak and gave more benefit to the developers especially on the deadline of the formation of resident union. Voting was determined by unit amount, whereas to reach fair and balanced calculation, regardless of the amount of units controlled by the developer, it should still represent one vote.
Yusuf Yuniarto, Senior Adviser on Spatial Housing, Lands and Settlement, previously promised to tighten the regulations on flats and apartment residents union formation to avoid problems such as conflicting interests and misunderstandings between the occupants and the developer.
Jehansyah Siregar, Residential Observer from Bandung Institute of Technology, said the House of Representatives must be firm in prioritizing the public's interest. “As the initiative rights owner in the law formulation, they should hold on to a clear and firm policy,” Jehansyah said on Monday.
Sectoral Ego
Several issues still delay the discussions on the regulation, such as resident development guarantor and land co-ownership. The different perspectives of the Ministry of Public Housing and General Director of Cipta Karya from the Ministry of Public Works even caused a few projects to be cancelled.
Jehansyah said that basically, these differences were more about each sector’s ego, where both jobs are related with housing and residential matters. “Both government institutions want to manage the physical construction of the projects,” Jehansyah said.
Saleh Husein, member of the Fifth Commission from the House of Representatives, said the Ministry of Public Housing, Ministry of Public Works and National Land Institute each has its own opinion on whether the land rights will still be controlled by developers or handed over to the occupants. The House of Representatives asked the government to pave way for the discussion first, so the process can run smoothly and quickly. Saleh hopes that the draft of the regulation will be finished after the recess which is about mid-May or early June 2011. (*)
http://en.indonesiafinancetoday.com/read/4713/Resident-Union-Regulation-More-Favorable-for-Developers
