16 Developers In The Thousand Islands Have Not Submitted SIPPT Obligations, Regent Explains The Cause

JAKARTA - Thousand Islands Regent Junaedi admitted that there were 16 developers in the Thousand Islands who had not submitted their obligations as holders of Land Use Designation Permits (SIPPT).

Junaedi explained that the Thousand Islands Regency Government (Pemkab) is trying to collect the developer's obligation to hand over 40 percent of the land assets they use. Bearing in mind, this land asset will be used by the government to build social and public facilities.

"This problem has been around for a long time. Since I became regent, it has existed. We are still trying to fulfill SIPPT's obligations so that they hand it over to us," said Junaedi at the DKI Jakarta DPRD Building, Monday, July 11.

Junaedi explained the obstacles in the pursuit of fulfilling this developer's obligations. He said a number of developers had stopped operating due to bankruptcy, offices whose whereabouts were unknown, company management had changed, offices had changed addresses, contact persons were unknown, until the ownership of the island had changed.

Junaedi also admitted that he could not immediately impose sanctions on developers who had not provided the SIPPT obligations.

"We are only limited to carrying out efforts to collect the obligations of the SIPPT developer, but do not have the authority to impose sanctions," he said.

Therefore, Junaedi explained a number of ways so that these obligations can be fulfilled. One of them is to reduce the sale value of the tax object (NJOP) from the obligation of 40 percent of the land to be certified before the transfer of name is carried out on behalf of the local government.

Given, he continued, many developers are unable to carry out mandatory land certification due to the increase in NJOP reaching 1000 percent since 2016.

"We wrote to the Governor how we lowered the NJOP on the island. What they objected to was the certification fee because before 40 percent (land assets) were handed over to the regional government, all the area (land) had to be certified. Meanwhile, when they want to process, the cost is expensive. Thank God, the Governor approved the reductions from the NJOP," he explained.

Then, regarding the developer who is currently "running away" and whose whereabouts are unknown, Junaedi said that his party will again confirm the SIPPT holders regarding the obstacles to fulfilling obligations.

"We're still looking. The name of the island, the developer owns the land, yes there must be. That's why we continue to work on how to get him to be interested again, to be able to build the island," he added.