REPUBLIKA.CO.ID, JAKARTA -- The Public Works and Housing Ministry and state-owned housing developer PT Perumnas will team up to carry out the government program of building 1 million units of houses over the next five years.

Public Works and Housing Minister Basuki Hadimuljono said the government would start work this year to reduce the big backlog in the implementation of housing program.

Basuki said the government already set aside Rp13 trillion from the state budget and Rp500 million from the Social Security Executive Body (BPJS) for the program to build 1 million units of houses.

In a bid to accelerate implementation of the program, Perumnas will receive Rp1 trillion to build houses for low income people.

Perumnas will take part in the 1 million house program by building 36,016 units of low cost houses.

Basuki said the government will improve regulations on Perumnas by adding four scopes of work .

First, Perumnas will be given an opportunity to become a land bank , and lands owned by the ministry would be handed over to Perumnas to be developed.

Second, Perumnas will be the operator of general housing that its function is not only to build, but also to manage .

Third, Perumnas will develop areas ready for development.

Fourth, Perumnas will become a National Housing Development company.

Perumnas President Director Himawan Arief Sugoto said in 2015 the company plans to build 33,500 units of low cost houses, operates low cost apartment houses, low cost landed houses.

Himawan said in 2014, Perumnas overshot its targets set in its working plan and corporate budget posting an income of Rp1.3 trillion and profit of Rp135 billion with 14,250 units of houses built.

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