Depok, July 2th8 2023. During her doctoral promotion session at the 2020 EDISI Auditorium, Building M at FIA, Universitas Indonesia (UI), Depok Campus, Dr. Zanariah from the Postgraduate Program of the Faculty of Administrative Sciences (FIA) said that the development of housing policies in Indonesia is inseparable from the development of government policies through decentralization instruments. The granting of authority granted by the central government to regional governments is a form of decentralization of government affairs, one of which is government affairs in the housing and settlement areas sector. The government continues to work to overcome the housing deficit or backlog problem caused by an imbalance between supply and demand.
Dr. Zanariah’s research was reported in her dissertation, titled “Analysis of Government Institutional Capacity Development in Facilitating the Provision of Housing for Low-Income Communities (MBR) in Palembang City, South Sumatra Province”. According to her, there are obstacles caused by the limited authority of the regional government in implementing government affairs in the housing sector, especially housing for low-income people (MBR).
The results of research conducted by Dr. Zanariah pointed out that there is a difference in authority between the central government and regional governments. This causes the sub-optimal implementation of housing construction for MBR in the regions. Local governments can only provide institutional support, as well as land provision with the consequence of high land prices in urban areas.
“To overcome this, in developing institutional capacity, the implementation of the housing fulfillment program for MBR by the central government has been supported by the Palembang City government through policy support, such as ease of licensing, programs and budgets according to regional authority, regional apparatus institutions as well as other facilities and infrastructure. Housing development financing is also one of the obstacles in implementing housing development policies. Thus, an alternative policy in housing development financing is through the Public Private Partnership (PPP) scheme,” said Dr. Zanariah.
Just like other infrastructure financing, said Dr. Zanariah, the PPP for housing development has the potential for financing. The government gets a lot of resources which becomes an attraction point for investment in housing, which leads to more effectiveness in developing the economy and helping to meet development goals.
She further conveyed that apart from the need for leadership, doctrine, programs, resources and internal structures for capacity building, a network of partnerships (networking) between the government, regional governments, developers and financial institutions is also needed in implementing housing development for MBR. “In institutional terms, networking has its own position and capacity, but the authority remains with the government in terms of strengthening comprehensive regulations and strategies to facilitate housing development for MBR. Thus, achieving the housing development target for MBR can be met with alternative financing through government and business entity cooperation (PPP),” said Dr. Zanariah.
