Saturday, 10 October 2026

Indonesia Accelerates Construction of 919 Permanent Homes in North Sumatra

AHMAD ZULFIKAR SAGALA - Saturday, 10 October 2026 15:00
Indonesia Accelerates Construction of 919 Permanent Homes in North Sumatra
PHOTO: Alexander AP Siahaan
CONSTRUCTION OF 919 PERMANENT HOMES IN NORTH SUMATRA ACCELERATED: The Indonesian government is accelerating the completion of 919 permanent housing units in North Sumatra by December 31, 2026. The project is part of a broader target to build 7,952 housing units across three provinces.

MEDAN | INDATANEWS.COM - The Indonesian government is accelerating the completion of 919 permanent homes in North Sumatra Province, targeting December 31, 2026, as the deadline. The project is part of a national target to build a total of 7,952 permanent housing units in Aceh, North Sumatra, and West Sumatra during the 2026 fiscal year. The initiative aims to speed up housing recovery for communities affected by natural disasters.

The government has allocated a budget of Rp2.3 trillion through the Ministry of Housing and Settlement Areas to construct permanent homes across the three provinces. Of this amount, Rp299 billion has been earmarked for North Sumatra to finance the construction of 919 permanent housing units.

Ronny Ariuly Hutahayan, Deputy Coordinator for Housing and Settlement Infrastructure at the Coordinating Ministry for Infrastructure and Regional Development, presented the targets on Friday, October 9, 2026, during a press conference at the North Sumatra Governor's Office on Jalan Diponegoro in Medan.

"For the 2026 fiscal year, the housing program under the Ministry of Housing and Settlement Areas provides for a total of 7,952 permanent housing units across three provinces," Ronny said.

Of the planned housing units, 6,220 will be built in Aceh, 919 in North Sumatra, and 813 in West Sumatra. The government is working to ensure that all stages of construction proceed according to schedule so the targeted completion can be achieved by the end of the year.

Government Speeds Up Construction of 919 Homes in North Sumatra

In North Sumatra, construction of the 919 permanent homes is still at the land-clearing stage, followed by ground preparation. The government has completed the tender process, appointed contractors, and begun on-site work.

These steps are crucial to meeting the completion deadline before the end of the year. The government must ensure that the land is prepared on time and that construction progresses without significant delays.

Ronny expressed hope that the housing program in North Sumatra would remain on schedule and that all units would be completed within the stipulated timeframe.

"Hopefully, we can stay on schedule. According to the plan, the 919 housing units in North Sumatra must be completed by December 31," he said.

He explained that construction of permanent homes would proceed in stages, beginning with land allocation and clearance before moving on to the main construction work. Each stage requires careful coordination and adequate technical preparation to ensure that work can continue without interruption.

To date, the government has completed approximately 2,085 permanent housing units. However, considerable work remains to achieve the overall target of 7,952 units by the end of the year.

"We still have a major task ahead of us. Until the end of the year, or December 31, we must continue working toward the target of 7,952 housing units," Ronny said.

The government must monitor construction progress in all designated areas while ensuring that neither land preparation nor administrative requirements delay implementation. Cooperation between the central government, regional administrations, and the relevant ministries and agencies will play a crucial role in achieving the targets.

2026 FISCAL YEAR HOUSING PROGRAM: Ronny Ariuly Hutahayan explains the target of building a total of 7,952 permanent housing units in Aceh, North Sumatra, and West Sumatra during the 2026 fiscal year. (PHOTO: Alexander AP Siahaan)

Rp299 Billion Allocated for Housing in North Sumatra

Through the Ministry of Housing and Settlement Areas, the central government has allocated a total of Rp2.3 trillion for permanent housing construction in Aceh, North Sumatra, and West Sumatra during the 2026 fiscal year. Of this amount, Rp299 billion has been designated for North Sumatra to finance the construction of 919 housing units.

The funding provides an important foundation for ensuring that people affected by natural disasters have access to permanent homes. At the same time, the government must coordinate the use of these funds with the availability of suitable land and actual construction progress.

In addition to construction activities, the government is conducting data collection involving various sectors, ministries, agencies, and regional administrations. The process requires time to reconcile available information with actual needs on the ground and establish a reliable basis for further planning.

Ronny explained that the data collection process formed part of the development of a master plan, which was finalized in April 2026. The plan serves as a reference for determining housing needs and implementing permanent housing construction in affected areas.

By involving various stakeholders at an early stage, the government aims to ensure that housing projects meet community needs and that implementation takes local conditions into account.

LAND PREPARATION AND CONSTRUCTION WORK ACCELERATED: The government has allocated Rp299 billion to build 919 permanent housing units in North Sumatra while accelerating land preparation and construction activities. (PHOTO: Alexander AP Siahaan)

National Target: 25,606 Permanent Homes by 2027

For the 2026 and 2027 fiscal years, the Indonesian government has planned the construction of a total of 25,606 permanent housing units. Of these, 20,647 units are allocated to Aceh, 3,707 to North Sumatra, and 1,252 to West Sumatra.

In North Sumatra, the overall target of 3,707 housing units includes the 919 units scheduled for construction during the 2026 fiscal year. The government must first meet the annual target while preparing subsequent construction phases to ensure that the entire program is completed within the planned timeframe.

In accordance with the President's directive, the government is shortening the planned construction period for permanent homes from three years to two years. To meet this deadline, several stages of work are to be carried out simultaneously. These include identifying suitable land and processing permits for construction projects scheduled for 2027.

While ongoing construction continues to move forward, the government is already preparing land and handling permit procedures for the following year. These measures are intended to shorten the preparation period and allow construction to begin earlier.

Ronny emphasized that the government was implementing different stages simultaneously wherever possible, without neglecting ongoing work at construction sites.

"Whatever can be carried out in parallel, we will do in parallel, while also accelerating construction work on the ground," he said.

The Indonesian government is pursuing two objectives at once: completing a total of 7,952 permanent housing units by the end of 2026 and ensuring that construction for the following year is adequately prepared in advance. In North Sumatra, land availability, uninterrupted construction, cross-sector coordination, and the effective use of budget allocations will be critical to completing the 919 housing units by December 31, 2026.

The accelerated implementation is expected to support the recovery of communities affected by natural disasters by providing permanent housing. The government also aims to improve the efficiency of the construction program by reducing the planned implementation period from three years to two years. (IDNC)

REPORTER: Ahmad Zulfikar | EDITOR: Fik Sagala

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