Pembukaan

www.hukumonline.com/pusatdata LAW OF THE REPUBLIC OF INDONESIA NUMBER 1 OF 2011 ON HOUSING AND SETTLEMENT AREAS BY THE GRACE OF GOD ALMIGHTY THE PRESIDENT OF THE REPUBLIC OF INDONESIA, Considering: a. that everyone has the right to live in physically and mentally welfare conditions, have residence, and have a well and healthy environment, which are basic needs of human beings, and have a very strategic role in the development of national characteristic and personality as one of the means to develop Indonesian human in a whole, who have identity, independent, and productive; b. that the state is responsible to protect Indonesian nation through the organization of housing and settlement areas so that citizens are able to reside and occupy adequate and affordable house within a housing complex which is healthy, secure, harmonious, and sustainable within Indonesian territories; c. that the government has to be more active in accommodating and providing facilities and assistances relating to housing and settlement areas for the citizens through the organization of housing and settlement areas which are region-based and self-reliance, so that it becomes one of the integral functional for the embodiment of physical space, economic life, and social cultural which able to ascertain the preservation of environment that is align with the spirit of democracy, regional autonomy, and disclosure within the life order of society, nation, and state; d. that area’s growth and development which fail to regard the balance of interest for low-income citizens resulting in the obstacle that is encountered by the citizens to obtain adequate and affordable house; e. that Law Number 4 of 1992 on Housing and Residential has no longer compatible with the development and needs of adequate and affordable housing and residential within a healthy, secure, congenial, and well-ordered environment, so that it needs to be replaced; f. that based on the considerations as referred to in letter a, letter b, letter c, letter d, and letter e, it has been deemed necessary to enact Law on Housing and Settlement areas. Observing: Article 20, Article 21, Article 28C paragraph (1), Article 28H paragraph (1), paragraph (2), and paragraph (4), Article 33 paragraph (3), as well as Article 34 paragraph (1), paragraph (2), and paragraph (3) of the 1945 Constitution of the Republic of Indonesia. With the Mutual Consent of: THE HOUSE OF REPRESENTATIVES OF THE REPUBLIC OF INDONESIA and THE PRESIDENT OF THE REPUBLIC OF INDONESIA, HAS DECIDED: 1 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata To enact: LAW ON HOUSING AND SETTLEMENT AREAS. CHAPTER I GENERAL PROVISIONS Article 1 Under this Law, the following definitions are employed: 1. Housing and settlement areas refer to an integrated system which consists of management, organization of housing, organization of settlement areas, maintenance and repair, prevention and improvement of the quality of slum housing and slum residences, land procurement, funding and financing system, as well as public participation. 2. Housing refers to a group of houses which becomes the part of the residence, either in urban or rural areas, which are equipped with infrastructures, means, and public utilities as a manifestation of provision of livable house. 3. Settlement area refers to a part of environment outside of protected areas, either in forms of urban or rural areas, which function as the environment for residence or shelter and places for activities which support the life and livelihood. 4. Residential area refers to a part of settlement area which consists of more than one residential unit. 5. Residence refers to a part of residential area which consists of more than one housing unit that has infrastructures, means, public utilities, as well as having other supporting facilities at urban or rural areas. 6. Organization of housing and settlement areas refers to planning, development, utilization, and control activities, including the advancement of institutional, funding and financing system, as well as coordinated and integrated public participation. 7. House refers to a building which functions as livable residence, means to manage the family, reflection of prestige and dignity of the residents, as well as asset for its owner. 8. Commercial house refers to a house which is organized with the purpose of generating profits. 9. Self-build house refers to a house which is established upon the initiative and undertaking of the society. 10. Basic house refers to a house which is organized in order to fulfill the housing need of low-income citizens. 11. Special house refers to a house which is organized in order to fulfill special needs. 12. State house refers to a house which is owned by the state and functions as the residence or shelter and mean to manage family, as well as the supporting facility for the performance of official’s and/or civil servant’s duties. 13. Slump residence refers to a residence which is unlivable because of the irregularities of the building, high building’s density level, and quality of the building, as well as means and infrastructures which are unqualified. 14. Slum housing refers to housing which is undergoing the deterioration of function quality as residential place. 15. Ready-to-build area, that hereinafter referred to as Kasiba, refers to a plot of land, of which, the physicality as well as infrastructures, means, and public utilities have been prepared for the development of vast-scale residential area to be in conformity with spatial plan. 2 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata 16. Read-to-build environment, that hereinafter referred to as Lisiba, refers to a plot of land, of which, the physicality as well as infrastructures, means, and public utilities have been prepared for the housing development with clear borders of the land lot and functions as the part of ready-to-build area which is in conformity with detailed spatial plan. 17. All-ready land plot refers to a plot of land which has been prepared for house in accordance with the prerequisites in connection to the usage, control, detailed spatial plan, as well as building and environment organization plan. 18. Land consolidation refers to reorganization of the control, ownership, usage, and utilization of the land in accordance with spatial area planning in the course of land procurement for the purpose of developing housing and residence in order to improve the environmental quality and maintenance of natural resources with active public participation. 19. Funding refers to provision of financial resources which are originated from state revenue and expenditure budget, regional revenue and expenditure budget, and/or other source of funds which are expensed in order to organize housing and settlement areas in accordance with provisions under laws and regulations. 20. Financing refers to the revenues which have to be reimbursed and/or any expenses which will be returned for the purpose of organizing housing and settlement areas, including those which are originated from public funds, housing saving, and other source of funds. 21. Infrastructures refer to the basic completeness of the physical aspects of residential area which satisfies certain standards for the needs of having adequate, healthy, secure, and comfortable residence. 22. Means refer to facilities within residential area which have the function of supporting the organization and advancement of social, cultural, and economic aspects. 23. Public utilities refer to the completeness of supporting facilities for services within residential area. 24. Low-Income Citizens that hereinafter are abbreviated to MBR refer to citizens who have limitations of buying power, so that they are required to receive governmental support in order to have a house. 25. Anyone refers to individual or legal entity. 26. Legal entity refers to a legal entity which is established by Indonesian nationals which operate within the sector of organizing of housing and settlement areas. 27. Central government that hereinafter referred to as Government refers to the President of the Republic of Indonesia who holds the power of the government of the Republic of Indonesia as referred to under the 1945 Constitution of the Republic of Indonesia. 28. Regional government refers to governor, regent/mayor, and regional apparatus who acts as the organizer of regional government. 29. Minister refers to minister who organizes governmental affairs within the sector of housing and settlement areas. CHAPTER II PRINCIPLES, PURPOSES, AND SCOPES Article 2 Housing and settlement areas are organized based on the following principles: a. welfare; b. justice and equality; c. nationalism; 3 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata d. efficiency and expediency; e. affordability and easiness; f. independency and togetherness; g. cooperation; h. conformity and balance; i. alignment; j. healthiness; k. preservation and sustainability; and l. safety, security, order, and regularity. Article 3 Housing and settlement areas are organized in order to: a. accommodate legal certainty for the organization of housing and settlement areas; b. support the area arrangement and expansion, as well as proportional dispersion of residents through the growth of residential area and settlement area which are in accordance with spatial plan in order to embody the balance of interests, especially for MBR; c. enhance the usability and yield of natural resources for housing development with regards given to the preservation of environmental functions, both in urban and rural areas; d. empower stakeholders who are related to the development of housing and settlement areas; e. support the development within economic, social, and culture sectors; and f. guarantee the manifestation of livable and affordable house within a healthy, secure, harmonious, order, planned, integrated, and sustainable environment. Article 4 The scope for the organization of housing and settlement area covers: a. management; b. duties and authorities; c. housing organization; d. organization of settlement areas; e. maintenance and repair; f. prevention and quality improvement for slum housing and slum residence; g. land procurement; h. funding and financing; i. rights and obligations; and j. public participation. CHAPTER III MANAGEMENT 4 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 5 (1) State is responsible over the organization of housing and settlement areas, of which, the management is performed by the government. (2) Management as referred to in paragraph (1) is performed by: a. Minister, on national level; b. governor, on provincial level; and c. regent/mayor, on regency/city level. Article 6 (1) Management as referred to under Article 5 paragraph (2) covers: a. planning; b. arrangement; c. control; and d. supervision. (2) During the implementation of management as referred to in paragraph (1), Minister shall perform inter- sectoral, inter-regions, and inter-stakeholders coordination, both vertical and horizontal. Article 7 (1) Planning as referred to under Article 6 letter a is a whole integration of national development plan and regional development plan. (2) Planning as referred to in paragraph (1) is organized by the Government and regional government by involving public participation. (3) Planning as referred to in paragraph (2) is formulated on national, provincial, or regency/city level, that is included and determined in the long-term development plan, middle-term development plan, and annual plan, in accordance with provisions under laws and regulations. (4) Planning on national level shall be the guideline to formulate the housing and settlement area organization plan on provincial level. (5) Planning on provincial level shall be the guideline to formulate the housing and settlement area organization plan on regency/city level. Article 8 Arrangement as referred to under Article 6 letter b covers: a. land procurement; b. development; c. utilization; d. maintenance; and e. funding and financing. Article 9 Control as referred to under Article 6 letter c covers the controls of: 5 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata a. house; b. housing; c. residence; d. residential area; and e. settlement areas. Article 10 Supervision as referred to under Article 6 letter d covers monitoring, evaluation, and correction in accordance with provisions under laws and regulations. Article 11 Further provisions concerning the management as referred to under Article 5 shall be addressed under Regulation of the Government. CHAPTER IV DUTIES AND AUTHORITIES Division One General Article 12 (1) Government, when carrying out the management of organization of housing and settlement areas, have duties and authorities. (2) Duties and authorities as referred to in paragraph (1) shall be performed by the Government, provincial government, and regency/city government, in accordance with respective authorities. Division Two Duties Sub-Division 1 Government Article 13 Government, when carrying out management measures, has the following duties: a. formulates and determines national policies and strategies within housing and settlement area sector; b. formulates and determines national policies on the empowerment and utilization of the results of technological engineering within housing and settlement area sector; c. formulates and determines national policies on the provision of Kasiba and Lisiba; d. supervises the implementation of national policies and strategies within the housing and settlement 6 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata area sector; e. organizes the operational and coordination functions in relation to the implementation of national policies on procurement of house and expansion of residential area and settlement areas; f. allocates development funds and/or fees to support the realization of housing for MBR; g. facilitates the procurement of housing and residence for citizens, especially for MBR; h. facilitates the implementation of policies and strategies on national level; i. undertakes and pushes the research and expansion of the organization of housing and settlement areas; j. performs certification, qualification, classification, and registration of expertise toward individuals or bodies which organize the development of housing and settlement areas; and k. organizes the education and training within housing and settlement area sector. Sub-Division 2 Provincial Government Article 14 Provincial government, when carrying out management measures, has the following duties: a. formulates and determines policies and strategies on provincial level within the housing and residential sector by referring to national policies; b. formulates and determines provincial policies on the empowerment and utilization of the results of technological engineering within the housing and residential sector by referring to national policies; c. formulates and determines policies on the provision of inter-regency/city Kasiba and Lisiba ; d. supervises the implementation of national policies and strategies on provincial level within the housing and settlement area sector; e. organizes the operational and coordination functions in relation to the implementation of provincial policies on procurement of house, housing, residence, residential area, and settlement areas; f. formulates the development and expansion plans for housing and settlement areas for inter- regency/city level; g. facilitates the management of infrastructures, means, and public utilities for housing and settlement areas on provincial level; h. allocates the development funds and/or expenses to support the realization of housing for MBR; i. facilitates the procurement of housing and settlement areas for citizens, especially for MBR; and j. facilitates the implementation of policies and strategies on provincial level. Sub-Division 3 Regency/City Government Article 15 Regency/city government, when carrying out management measures, has the following duties: a. formulates and implements policies and strategies on regency/city level within the housing and settlement area sector by referring to national and provincial policies and strategies; 7 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata b. formulates and implements regional policies by referring to national and provincial strategies on empowerment and utilization of the results of technological engineering within the housing and settlement area sector; c. formulates the development and expansion plans for housing and settlement areas on regency/city level; d. organizes the operational and coordination functions in relation to the implementation of regency/city policies on procurement of house, housing, residence, residential area, and settlement areas; e. carries out the utilization of environmentally friendly technologies and designs, as well as the utilization of building material industries which prioritize domestic resources and local wisdom that is safe for health; f. carries out the supervision and control toward the implementation of laws and regulations, policies, strategies, as well as programs within the housing and settlement area sector on regency/city level; g. carries out policies and strategies on regency/city level; h. implements laws and regulations, as well as policies and strategies for the organization of housing and settlement area on regency/city level; i. carries out the quality improvement of housing and residences; j. implements provincial policies and strategies regarding the organization of housing and settlement area by referring to national policies; k. carries out the management of infrastructures, means, and public utilities of housing and settlement areas; l. supervises the implementation of national and provincial policies and strategies within the housing and settlement area sector on regency/city level; m. allocates development funds and/or expenses to support the realization of housing for MBR; n. facilitates the procurement of housing and residence for citizens, especially for MBR; o. determines the locations for Kasiba and Lisiba; and p. provides counseling for individuals who develop self-build house. Division Three Authorities Sub-Division 1 Government Article 16 Government, when carrying out management measures, has the following authorities: a. formulates and determines norms, standards, guidelines, and criteria for house, housing, residence, and residential area that are adequate, healthy, and secure; b. formulates and provides the basic data for housing and settlement areas; c. formulates and completes laws and regulations within housing and settlement area sector; d. empowers the stakeholders within the housing and residential sector on national level; e. carries out coordination, synchronization, and socialization of laws and regulations, as well as policies and strategies for the organization of housing and settlement areas in order to embody legal 8 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata assurance and certainty and legal protection to reside; f. coordinates the utilization of environmentally friendly technologies and designs, as well as the implementation of building material industries that prioritize domestic resources and local wisdom; g. coordinates the supervision and control of the implementation of laws and regulations within housing and settlement area sector; h. evaluates laws and regulations, as well as policies and strategies for the organization of housing and settlement areas on national level; i. controls the implementation of policies and strategies within the housing and settlement area sector; j. facilitates the quality improvement toward slum housing and slum residence; k. determines national policies and strategies for the organization of housing and settlement areas; l. facilitates the management of infrastructures, means, and public utilities of housing and settlement areas; and m. facilitates cooperation on national and international levels between the Government and legal entities for the organization of housing and settlement areas. Sub-Division 2 Provincial Government Article 17 Provincial government, when carrying out management measures, has the following authorities: a. formulates and provides the basic data for housing and settlement areas on provincial level; b. formulates and completes laws and regulations within housing and residential sector on provincial level; c. empowers the stakeholders within the housing and settlement area sector on provincial level; d. carries out coordination, synchronization, and socialization of laws and regulations, as well as policies and strategies for the organization of housing and settlement areas on provincial level in order to realize legal assurance and certainty and legal protection to reside; e. coordinates the utilization of environmentally technologies and designs, as well as the utilization of building material industries that prioritize domestic resources and local wisdom; f. coordinates the supervision and control of the implementation of laws and regulations, policies, strategies, as well as programs within the housing and residential sector on provincial level; g. evaluates laws and regulations, as well as policies and strategies for the organization of housing and settlement areas on provincial level; h. facilitates the quality improvement toward slum housing and slum residence on provincial level; i. coordinates the allocation and procurement of land for housing and residential development for MBR on provincial level; j. determines provincial policies and strategies for the organization of housing and settlement areas by referring to national policies; and k. facilitates cooperation on provincial level between provincial government and legal entities for the organization of housing and settlement areas. Sub-Division 3 9 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Regency/City Level Article 18 Regency/city government, when carrying out management measures, has the following authorities: a. formulates and provides the basic data for housing and settlement areas on regency/city level; b. formulates and completes laws and regulations within housing and residential sector on regency/city level alongside with DPRD [Regional House of Representatives] ; c. empowers the stakeholders within the housing and settlement area sector on regency/city level; d. carries out synchronization and socialization of laws and regulations, as well as policies and strategies for the organization of housing and settlement areas on regency/city level; e. allocates or procures land for housing and residential development for MBR; f. provides housing development infrastructures and means for MBR on regency/city level; g. facilitates cooperation on regency/city level between regency/city government and legal entities for the organization of housing and settlement areas; h. classifies housing and residential locations as slum housing and slum residence on regency/city level; and i. facilitates the quality improvement toward slum housing and slum housing on regency/city level. CHAPTER V HOUSING ORGANIZATION Division One General Article 19 (1) Organization of house and housing shall be performed to fulfill the needs of house as one of the basic needs of human, for the improvement and distribution of social welfare. (2) Organization of house and housing as referred to in paragraph (1) shall be performed by Government, regional government and/or anyone in order to guarantee rights of every citizens to occupy, benefit, and/or own adequate house within a healthy, secure, harmonious, and orderly environment. Article 20 (1) Housing organization as referred to under Article 19 covers: a. housing planning; b. housing development; c. housing utilization; and d. housing control. (2) Housing as referred to in paragraph (1) covers house or housing including infrastructures, means, and public utilities. (3) House as referred to in paragraph (2) is classified according to its types and forms. 10 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Division Two Types and Forms of House Article 21 (1) Types of house as referred to under Article 20 paragraph (3) are classified based on the developers and its occupancy, including: a. commercial house; b. basic house; c. self-build house; d. special house; and e. state house. (2) Commercial house as referred to in paragraph (1) letter a is organized to generate profits in accordance with public needs. (3) Basic house as referred to in paragraph (1) letter b is organized to fulfill the housing need of MBR. (4) Self-build house as referred to in paragraph (1) letter c is organized based on initiative and undertaking of the citizens, both individually and in group. (5) Special house as referred to in paragraph (1) letter d is organized in order to fulfill the housing need for special needs. (6) Basic house as referred to in paragraph (1) letter b shall receive facilities and/or supports from the Government and/or regional government. (7) Self-build house as referred to in paragraph (1) letter c may receive supports and facilities from the Government and/or regional government. (8) Special house and state house as referred to in letter d and letter e shall be provided by the Government and/or regional government. Article 22 (1) Forms of house as referred to under Article 20 paragraph (3) are classified based on the connection or interconnectedness between buildings. (2) Forms of house as referred to in paragraph (1) covers: a. detached house; b. townhouse; and c. condominium. (3) Floor area for detached house and townhouse is at least 36 (thirty six) square meter. Division Three Housing Planning Sub-Division 1 General 11 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 23 (1) Housing planning is performed in order to fulfill the housing need. (2) Housing planning as referred to in paragraph (1) is comprised of: a. planning and designing of a house; and b. planning housing infrastructures, means, and public utilities. (3) Housing planning as referred to in paragraph (2) is a part of residential planning. (4) Housing planning as referred to in paragraph (1) covers simple house, middle-level house, and/or luxurious house. Sub-Division 2 House Planning and Designing Article 24 House planning and designing is performed to: a. create livable house; b. support the purpose of fulfilling the housing need by the society and government; and; c. enhance the structured building and environment arrangement. Article 25 House planning and designing shall be undertaken by anyone who has the expertise within house planning and designing sector in accordance with provisions under laws and regulations. Article 26 (1) Results of house planning and designing must satisfy technical, administrative, spatial, and ecological prerequisites. (2) Prerequisites as referred to in paragraph (1) shall be the requirement for the issuance of construction building permit. (3) House planning and designing as referred to in paragraph (1) is a part of housing and/or residential planning. Article 27 Further provisions concerning housing planning and designing as referred to under Article 23, Article 24, Article 25, and Article 26 shall be addressed under Regulation of the Government. Sub-Division 3 Planning of Infrastructures, Means, and Public Utilities Article 28 12 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (1) Planning of housing infrastructures, means, and public utilities covers: a. plan for the procurement of land plots for housing as part of the residence; and b. plan for the completeness of housing infrastructures, means, and public utilities. (2) Plan for the procurement of land plots as referred to in paragraph (1) letter a is used as the basis for the planning of infrastructures, means, and public utilities. (3) Plan for the procurement of land plots is intended to increase the usability and yield of the land for ready-to-build plot in accordance with spatial and environmental plan. Article 29 (1) Planning of infrastructures, means, and public utilities as referred to under Article 28 must satisfy administrative, technical, and ecological prerequisites. (2) Planning of infrastructures, means, and public utilities which have satisfied the prerequisites must obtain validation from regional government. Article 30 (1) Planning of infrastructures, means, and public utilities can be performed by anyone. (2) Anyone as referred to in paragraph (1) must have expertise within the sector of planning of infrastructures, means, and public utilities in accordance with provisions under laws and regulations. Article 31 Further provisions concerning the planning of infrastructures, means, and public utilities as referred to under Article 28, Article 29, and Article 30 shall be addressed under Regulation of the Government. Division Four Housing Development Sub-Division 1 General Article 32 (1) Housing development covers: a. development of house and infrastructures, means, and public utilities; and/or b. housing quality improvement. (2) Housing development shall be performed by improving the environmentally friendly technologies and designs, as well as improving the building material industries that prioritize the utilization of domestic resources and local wisdom which are safe for health. (3) Building material industries as referred to in paragraph (2) must satisfy Indonesian National Standard. Article 33 13 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (1) Regional government must provide licensing facilities for legal entities which propose housing development plan for MBR. (2) Regional government is authorized to revoke the housing development license toward legal entities who fail to fulfill its obligations. (3) Further provisions concerning the forms of licensing facilities and procedures for the revocation of development license as referred to in paragraph (1) and paragraph (2) shall be addressed under Regulation of the Minister. Article 34 (1) Legal entities which operate housing development must realize a housing with balanced shelter. (2) Vast-scale housing development which is operated by legal entities must realize balanced shelter within a single overlay. (3) Obligation as referred to in paragraph (1) is exempted for legal entities which develop housing that is entirely designated for the fulfillment of basic house. (4) In the event that the housing development as referred to in paragraph (1), Government and/or regional government may provide incentives toward legal entities to push the housing development with balanced shelter. Article 35 (1) Vast-scale housing development with balanced shelter includes simple house, middle-level house, and luxurious house. (2) Provisions concerning balanced shelter shall be addressed under Regulation of the Minister. Article 36 (1) In the event that the housing development with balanced shelter is not within a single overlay, then the development of basic house must be carried out within a regency/city region. (2) Development of basic house as referred to under paragraph (1) must have access to service center or work place. (3) Ease of access as referred to in paragraph (2) shall be addressed under regional regulation. (4) Housing development with balanced shelter as referred to in paragraph (1) shall be operated by the same legal entity. Article 37 Further provisions concerning vast-scale housing and criteria for balanced shelter as referred to under Article 34, Article 35, and Article 36 shall be addressed under Regulation of the Minister. Sub-Division 2 Building the House Article 38 (1) Building the house covers the building of detached house, townhouse, and/or condominium. (2) Building the house as referred to in paragraph (1) shall be expanded based on typology, ecology, 14 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata culture, and economic dynamic of every regions, as well as considering the safety and security factors. (3) Building the house as referred to in paragraph (1) may be performed by anyone, Government, and/or regional government. (4) Building the house and housing development must be carried out in accordance with spatial plan. Article 39 (1) Government and/or regional government are responsible for the building of basic house, special house, and state house. (2) Building of special house and state house as referred to in paragraph (1) is financed through state revenue and expenditure budget and/or regional revenue and expenditure budget. (3) Special house and state house as referred to in paragraph (2) shall be state/regionally-owned properties that are managed in accordance with provisions under laws and regulations. Article 40 (1) When carrying out the responsibility as referred to under Article 39 paragraph (1), Government and/or regional government shall assign and/or establish an institution or body that handles the housing and residential development in accordance with provisions under laws and regulations. (2) Institution or body as referred to in paragraph (1) is responsible for: a. building basic house, special house, and state house; b. allocating land for housing; and c. carrying out coordination during the licensing process and guaranteeing the adequateness of the shelter. Article 41 (1) Building of state house is carried out in order to realize the order of the procurement, occupancy, management, as well as transfer of status and title over the house that is owned by the state. (2) Building of state house is organized based on types and classes of the building, as well as the grades and classes of civil servant on the land, of which, the title status is clear. (3) Further provisions concerning the building, procurement, occupancy, management, as well as transfer of status and title over the house that is owned by the state as referred to in paragraph (1) shall be addressed under Regulation of the Government. Article 42 (1) Detached house, townhouse, and/or condominium which is undergoing building process may be marketed based on preliminary sale and purchase agreement system in accordance with provisions under laws and regulations. (2) Preliminary sale and purchase agreement as referred to in paragraph (1) shall be performed after the following prerequisites on certainty over the following aspects have been satisfied: a. land ownership status; b. matters which are agreed; c. ownership of license to establish main building; d. availability of infrastructures, means, and public utilities; and 15 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata e. housing construction has reached at least 20% (twenty percent) rate. (3) Further provisions concerning the preliminary sale and purchase agreement as referred to in paragraph (1) shall be addressed under Regulation of the Minister. Article 43 (1) Building of detached house, townhouse, and/or condominium, may be established over the land with: a. freehold estate title; b. right-to-build, both over the state land and right-to-manage; or c. right-to-use over state land. (2) House ownership as referred to in paragraph (1) may be facilitated with mortgage loan credit or financing. (3) Mortgage loan credit or financing as referred to in paragraph (2) may be charged with mortgage. (4) Credit or financing for basic house does not required to be charged with mortgage. Article 44 (1) Building of detached house, townhouse, condominium, and/or condominium unit may be charged with credit guarantee as the repayment of credit or financing. (2) Repayment of credit or financing as referred to in paragraph (1) shall be performed to finance the building of detached house, townhouse, or condominium. Article 45 Legal entities which operate the building of detached house, townhouse, and/or condominium cannot perform handover and/or withdraw funds for more than 80% (eighty percent) from the buyer, before prerequisites as referred under Article 42 paragraph (2) have been satisfied. Article 46 Provisions concerning condominium are separately addressed under a Law. Sub-Division 3 Establishment of Infrastructures, Means, and Public Utilities Article 47 (1) Establishment of housing infrastructures, means, and public utilities shall be performed by the Government, regional government, and/or anyone. (2) Establishment of infrastructures, means, and public utilities must be carried out in accordance to the plan, design, and licensing. (3) Establishment of housing infrastructures, means, and public utilities must satisfy the following prerequisites: a. conformity between the service capacity and numbers of houses; b. integration between infrastructures, means, and public utilities and residential area; and 16 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata c. technical provisions on the establishment of infrastructures, and public utilities. (4) Infrastructures, means, and public utilities which have been completely established by anyone must be handed over to the regency/city government in accordance with provisions under laws and regulations. Division Five Housing Utilization Sub-Division 1 General Article 48 (1) Housing utilization is functioned as shelter. (2) Housing utilization as referred to in paragraph (1) within residential area covers: a. utilization of house; b. utilization of housing infrastructures and means; and c. preservation of house, housing, as well as housing infrastructures and means in accordance with provisions under laws and regulations. Sub-Division 2 House Utilization Article 49 (1) House utilization may be used as business activities in limited manner without jeopardizing and disturbing residential function. (2) House utilization, besides being used as residential function, must guarantee the maintenance of housing and residential area. (3) Provisions concerning house utilization as referred to in paragraph (1) shall be addressed under regional regulation. Sub-Division 3 Occupancy Article 50 (1) Anyone is entitled to reside or occupy a house. (2) Right to occupy a house as referred to in paragraph (1) may be in forms of: a. freehold estate title; or b. lease or non-lease method. (3) Further provisions concerning procedures for the occupancy through lease and non-lease method as referred to in paragraph (2) letter b shall be addressed under Regulation of the Government. 17 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 51 (1) Occupancy of state house is designated as residence or shelter to support the performance of the duties of official and/or civil servant. (2) State house as referred to in paragraph (1) may only be resided as long as the relevant party occupies or performs professional duties. (3) Further provisions concerning the occupancy of state house shall be addressed under Regulation of the Government. Article 52 (1) Foreigners may reside or occupy house based on lease title or right-to-use. (2) Provisions concerning foreigners that enable them to reside or occupy house based on lease title or right-to-use as referred to in paragraph (1) shall be performed based on provisions under laws and regulations. Division Six Housing Control Article 53 (1) Housing control is commenced from the following stages: a. planning; b. development; and c. utilization. (2) Housing control as referred to in paragraph (1) shall be performed by the Government and/or regional government in forms of: a. licensing; b. order control; and/or c. arrangement. (3) Further provisions concerning housing control as referred to in paragraph (1) and paragraph (2) shall be addressed under Regulation of the Government. Division Seven Facilities for the Development and Acquisition of House for MBR Article 54 (1) Government must fulfill the housing need for MBR. (2) In order to fulfill the housing need of MBR as referred to in paragraph (1), Government and/or regional government must provide facilities for the development and acquisition of house through gradual and sustainable housing development planning program. (3) Facilities and/or assistances for the development and acquisition of house for MBR as referred to in paragraph (2) may be in forms of: 18 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata a. subsidy for house acquisition; b. stimulant for self-build house; c. tax incentives, in accordance with provisions under laws and regulations within taxation sector; d. licensing; e. insurance and guarantee; f. land procurement; g. land certificate; and/or h. infrastructures, means, and public utilities. (4) Provision of facilities as referred to in paragraph (3) letter a shall be embodied on a deed of credit or financing agreement for house acquisition for MBR. (5) Provisions concerning the criteria of MBR and prerequisites for facilities for house acquisition for MBR as referred to in paragraph (2) and paragraph (3) shall be addressed under Regulation of the Minister. Article 55 (1) Individuals who own basic house with facilities which are provided by the Government or regional government may only lease and/or transfer their ownership over the house to other parties, in cases of: a. inheritance; b. occupancy after a minimum period of 5 (five) years; or c. change of residence because of better social-economy level. (2) In the event that the transfer of ownership as referred to in paragraph (1) letter b and letter c is performed, the transfer must be performed by the institution that is appointed or established by the Government or regional government within the housing and residential sector. (3) If the owner continuously leaves the house for 1 (one) year period at maximum without fulfilling the obligations based on the agreement, the Government or regional government is authorized to take over the ownership of the house. (4) House that has been taken over by the Government or regional government as referred to in paragraph (3) must be redistributed to MBR. (5) Provisions concerning the appointment and establishment of institution by the Government or regional government as referred to in paragraph (2) shall be addressed under Regulation of the Government. (6) Further provisions concerning the facilities and/or assistances for the house development and acquisition for MBR as referred to in paragraph (1) shall be addressed under Regulation of the Government. CHAPTER VI ORGANIZATION OF SETTLEMENT AREAS Division One General Article 56 19 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (1) Organization of settlement areas shall be carried out in order to create areas which function as residential area and places for activities that support the life and livelihood that are planned, comprehensive, integrated, and sustainable in accordance with spatial plan. (2) Organization of settlement areas as referred to in paragraph (1) has the purpose to fulfill citizen’s rights of adequate residence within a healthy, secure, harmonious, and orderly environment, as well as guarantee the certainty to reside. Article 57 Organization of settlement areas as referred to under Article 56 covers residential area and places for activities that support the life and livelihood in urban and rural areas. Article 58 (1) Organization of settlement areas as referred to under Article 57 must be carried out in accordance with the goal of integrated and sustainable settlement area expansion. (2) Goal of settlement area development as referred to in paragraph (1) covers: a. functional inter-regions relationship as part of the environment outside of protected areas; b. interconnectedness of urban residential area with rural residential area; c. interconnectedness between the expansion of urban residential area and expansion of urban areas; d. interconnectedness between the expansion of rural residential area and expansion of rural areas; e. harmony between human’s life order with the environment; f. balance between public interest and individual interest; and g. institution that coordinates the development of settlement areas. (3) Organization of settlement areas as referred to in paragraph (1) shall be carried out through: a. the existing development; b. new development; or c. redevelopment. (4) Further provisions concerning the goal of settlement area development as referred to in paragraph (2) shall be addressed under Regulation of the Government. Article 59 (1) Organization of urban residential area as referred to under Article 57 shall be carried out through: a. expansion of urban residential area; b. development of new urban residential area; or c. redevelopment of urban residential area. (2) Organization of urban settlement expansion as referred to in paragraph (1) letter a covers: a. improvement of efficiency of urban residential area potentials with regards given to urban functions and role; b. quality improvement of urban residential area services; c. improvement of the integration of urban residential area’s infrastructures, means, and public 20 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata utilities; d. determination of a part of urban residential area that is restricted and urged to be developed; e. prevention of the growth of slum housing and slum residence; and f. prevention of growth and the expansion of unplanned and unordered residential area. (3) Organization of the development of new urban residential area as referred to in paragraph (1) letter b covers: a. procurement of residential locations; b. procurement of residential infrastructures, means, and public utilities; and c. procurement of locations for governmental services, social services, and economic activities. Article 60 (1) Government and regional government, in accordance with its authorities, shall be responsible for the organization of the expansion of urban residential area, development of new urban residential area, and redevelopment of urban residential area as referred to under Article 59. (2) Organization of the expansion of urban residential area, development of new urban residential area, and redevelopment of urban residential area as referred to in paragraph (1) shall be carried out by regional government. (3) Regional government as referred to in paragraph (2) may establish or appoint a legal entity. (4) The establishment or appointment of legal entity shall be stipulated by regent/mayor in accordance with its authorities. (5) Specifically for the region of Special Capital City Region of Jakarta, the establishment or appointment of legal entity shall be stipulated by the governor. Article 61 (1) Organization of rural residential area as referred to under Article 57 shall be carried out through: a. expansion of rural residential area; b. development of new rural residential area; or c. redevelopment of rural residential area. (2) Organization of the expansion of rural residential area as referred to in paragraph (1) letter a covers: a. improvement of efficiency of rural residential area potentials with regards given to rural functions and role; b. quality improvement of rural residential area services; c. improvement of the integration of rural residential area’s infrastructures, means, and public utilities; d. determination of a part of rural residential area that is limited and urged to be developed; e. improvement of nature’s preservation and potential rural resources; and f. gap closure between urban and rural areas. (3) Organization of the development of new rural residential area as referred to in paragraph (1) letter b covers: a. procurement of residential locations; b. procurement of residential infrastructures, means, and public utilities; and 21 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata c. procurement of locations for governmental services, social services, and economic activities. Article 62 (1) Redevelopment of urban residential area as referred to under Article 59 paragraph (1) letter c and redevelopment of rural residential area as referred to under Article 61 paragraph (1) letter c are intended to restore the functions of urban and rural residential area. (2) Redevelopment is carried out through the following methods: a. rehabilitation; b. reconstruction; or c. rejuvenation. (3) Redevelopment as referred to in paragraph (2) shall still protect the residents to be re-resided at the same locations in accordance with laws and regulations. Article 63 Organization of settlement areas as referred to under Article 56 paragraph (1) shall be carried out through the following steps: a. planning; b. development; c. utilization; and d. control. Division Two Settlement area Planning Article 64 (1) Settlement area planning must be carried out in accordance with spatial area plan. (2) Settlement area planning is intended to produce settlement area plan which functions as the guideline for every stakeholders in the course of settlement area development. (3) Guideline as referred to in paragraph (2) shall be used to fulfill the need of residential area and be used for places for supporting activities within short term, middle term, and long term periods. (4) Settlement area planning as referred to in paragraph (1) may be performed by Government, regional government, and anyone. (5) Settlement area plan as referred to in paragraph (2) shall be established by regent/mayor. (6) Settlement area planning must cover: a. improvement of urban or rural resources; b. disaster mitigation; and c. procurement and improvement of infrastructures, means, and public utilities. Article 65 Settlement area planning consists of planning of urban and rural residential area, as well as planning of 22 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata places for urban and rural supporting activities which become the integral part. Article 66 (1) Planning of urban residential area as referred to under Article 65 shall be carried out through: a. planning of urban residential area expansion; b. planning of new urban residential area development; or c. planning of urban residential area redevelopment. (2) Planning of urban residential area expansion as referred to in paragraph (1) letter a covers: a. formulation of plan for the improvement of efficiency of urban residential area potentials with regards given to urban functions and role; b. formulation of plan for the improvement of urban residential area services; c. formulation of plan for the improvement of the integration of urban residential area’s infrastructures, means, and public utilities; d. formulation of plan for the prevention of the growth of slum housing and slum residence; and e. formulation of plan for the prevention of the growth and expansion of unplanned and unordered residential area. (3) Planning for the development of new urban residential area as referred to in paragraph (1) letter b covers: a. formulation of plan for the procurement of residential locations; b. formulation of plan for the procurement of residential infrastructures, means, and public utilities; and c. formulation of plan for the locations for governmental services, social services, and economic activities. (4) Plan for the development of new urban residential area as referred to in paragraph (3) covers the planning of vast-scale new residential area with Kasiba and planning of non-vast-scale new residential area with its infrastructures, means, and public utilities. (5) Plan for the development of new urban residential area as referred to in paragraph (3) shall be preceded with the determination of location for the development of new urban residential area that may be proposed by legal entity which operates within housing and residential sector or regional government. (6) Location for the development of new residential area as referred to in paragraph (5) shall be determined based on decree of regent/mayor. (7) Determination of location for the development of new residential area as referred to in paragraph (5) shall be carried out based on feasibility studies on: a. urban or rural development plan; b. land-procurement plan; and c. analysis on traffic and environmental effects. Article 67 (1) Planning of rural residential area as referred to under Article 65 shall be carried out through: a. expansion of rural residential area; b. development of new rural residential area; or 23 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata c. redevelopment of rural residential area. (2) Planning for the expansion of rural residential area as referred to in paragraph (1) letter a covers: a. formulation of plan for the improvement of efficiency of rural residential area with regards given to rural functions and role; b. formulation of plan for the improvement of rural residential area services; c. formulation of plan for the improvement of the integration of rural residential area’s infrastructures, means, and public utilities; d. formulation of plan for the determination of part of the rural residential area that is limited and urged to be expanded; and e. formulation of plan for the improvement of nature’s preservation and potential rural resources. (3) Planning for the development of new rural residential area as referred to in paragraph (1) letter b covers: a. formulation of plan for the procurement of residential locations; b. formulation of plan for the procurement of residential infrastructures, means, and public utilities; and c. formulation of plan for the locations for governmental services, social services, and economic activities. Article 68 (1) Planning for the redevelopment of urban residential area as referred to under Article 66 paragraph (1) letter c and planning for the redevelopment of rural residential area as referred to under Article 67 paragraph (1) letter c are intended to restore the functions of urban and rural residential area. (2) Planning for the redevelopment is carried out through the following methods: a. formulation of rehabilitation plan; b. formulation of reconstruction plan; or c. formulation of rejuvenation plan. Article 69 (1) Planning for places for urban and rural supporting activities as referred to under Article 65 covers the planning of governmental services, social services, economic activities, and infrastructures, means, and public utilities. (2) Planning for places for supporting activities as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. Article 70 Regional government, in accordance with its authorities, shall be responsible for the planning for the expansion of urban and rural residential area, development of new urban and rural residential area, and redevelopment of urban and rural residential area. Division Three Development of Settlement areas 24 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 71 (1) Development of settlement areas must comply with the plan and license for the development of residential area and supporting activities. (2) Development of settlement areas as referred to in paragraph (1) may be performed by the Government, regional government, and/or legal entity. Article 72 Development of settlement areas consists of development of urban and rural residential area, as well as development of places for urban and rural supporting activities. Article 73 (1) Development of urban and rural residential area as referred to under Article 72 is carried out through: a. implementation of the expansion of residential area; b. implementation of the development of new residential area; or c. implementation of the redevelopment of residential area. (2) Implementation of the development of new residential area as referred to in paragraph (1) letter b covers: a. residential development; b. development of residential infrastructures, means, and public utilities; and c. development of locations for governmental service and social service. Article 74 (1) Development of places for urban and rural supporting activities as referred to under Article 72 covers the development of governmental services, social services, economic activities, and infrastructures, means, and public utilities. (2) Development of places for supporting activities as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. Article 75 Regional government, in accordance with its authorities, shall be responsible for the implementation of the expansion of residential area, development of new residential area, and redevelopment of residential area. Division Four Utilization of Settlement areas Article 76 Utilization of settlement areas is carried out in order to: a. guarantee the settlement areas are in accordance with its functions as established under the spatial area plan; and b. realize the space structure in accordance with the settlement area planning. 25 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 77 Utilization of settlement area as referred to under Article 76 consists of utilization of urban and rural residential area, as well as utilization of places for urban and rural supporting activities. Article 78 (1) Utilization of urban and rural residential area as referred to under Article 77 shall be carried out through: a. utilization of the result of the expansion of residential area; b. utilization of the result of the development of new residential area; or c. utilization of the result of the redevelopment of residential area. (2) Utilization of the result of the development of urban and rural residential area as referred to in paragraph (1) covers: a. residence; b. residential infrastructures, means, and public utilities; and c. locations for governmental services, social services, and economic activities. Article 79 (3) (1) Utilization of places for urban and rural supporting activities as referred to under Article 77 covers the utilization of governmental services, social services, economic activities, and infrastructures, means, and public utilities. (4) (2) Utilization of places for supporting activities as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. Article 80 Regional government, in accordance to its authorities, is responsible for the utilization of the result of the expansion of residential area, development of new residential area, and redevelopment of residential area at urban or rural areas. Division Five Control of Settlement areas Sub-Division 1 General Article 81 (1) Government and regional government, in accordance to its authorities, shall be responsible for performing control in relation to the organization of settlement areas. (2) Control of settlement areas as referred to in paragraph (1) is carried out in order to: a. guarantee the implementation of residential development and residential utilization to be in accordance with the settlement area plan; 26 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata b. prevent the growth and expansion of slum housing and slum residence; and c. prevent the growth and expansion of unplanned and unordered residential area. Article 82 (1) Control over the organization of settlement areas as referred to under Article 81 paragraph (1) shall be carried out on the following stages: a. planning; b. b. development; and c. c. utilization. (2) Control of settlement areas shall be carried out at urban residential area and rural residential area. (3) Control of the organization of urban residential area shall be carried out at: a. urban expansion; or b. new urban area. (4) Control over the organization of rural residential area shall be carried out at the rural expansion as the center for rural economic, social, and/or cultural growth. Sub-Division 2 Control of Settlement area Planning Article 83 (1) Control on the planning stage is carried out by: a. supervising the plan for the procurement of infrastructures, means, and public utilities in accordance with minimum service standard; and b. gives zone boundaries for residential area and places for supporting activities. (2) Control of settlement area planning shall be performed by regional government in accordance with spatial area plan. Sub-Division 3 Control of Settlement area Development Article 84 (1) Control on the development stage is carried out by supervising the implementation of the development at settlement areas. (2) Control is performed in order to maintain the quality of settlement areas. (3) Control on development stage that is performed by supervising the implementation of development as referred to in paragraph (1) consists of monitoring, evaluation, and reporting activities. (4) Monitoring as referred to in paragraph (3) is the observation activity against the organization of settlement areas, either directly, indirectly, and/or through public report. (5) Evaluation as referred to in paragraph (3) is assessment activity against the achievement level of the organization of settlement areas in measurable and objective manners. 27 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (6) Reporting as referred to in paragraph (3) is the activity for the submission of evaluation output. (7) Further provisions concerning the supervision procedures of the organization of settlement areas shall be addressed under Regulation of the Government. Sub-Division 4 Control of Settlement area Utilization Article 85 (1) Control on utilization stage is carried out by: a. giving incentive; b. imposing disincentive; and c. imposing sanction. (2) Giving incentive as referred to in paragraph (1) letter a shall be in forms of: a. tax incentives, in accordance with provisions under laws and regulations within taxation sector; b. giving compensation; c. cross subsidies; d. establishment as well as procurement of infrastructures, means, and public utilities; and/or e. facilities for licensing procedures. (3) Disincentive imposition as referred to in paragraph (1) letter b shall be in forms of: a. imposition of regional levy; b. limitation for the procurement of infrastructures, means, and public utilities; c. compensation imposition; and/or d. sanction imposition based on this Law. (4) Giving incentive and disincentive imposition may be performed from: a. Government to regional government; b. regional government to another regional government; c. Government and/or regional government to legal entity; or d. Government and/or regional government to the society. (5) Further provisions concerning the forms and procedures for giving incentive, imposing disincentive, and imposing sanction shall be addressed under Regulation of the Government. CHAPTER VII MAINTENANCE AND REPAIR Division One General Article 86 28 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (1) Maintenance and repair are intended to keep the functions of housing and settlement areas which may function well and sustainable for the purposes of improving life quality of individuals. (2) Maintenance and repair as referred to in paragraph (1) shall be carried out at the house, as well as infrastructures, means, and public utilities at housing, residence, residential area and settlement areas. (3) Maintenance and repair as referred to in paragraph (1) shall be performed by the Government, regional government and/or anyone. (4) Pemeliharaan dan perbaikan sebagaimana dimaksud pada Paragraph (1) dilaksanakan oleh Pemerintah, Article 87 Government and/or regional government is responsible toward the maintenance and repair of infrastructures, means, and public utilities at housing, residence, residential area, and settlement area. Division Two Maintenance Article 88 (1) Maintenance of house and infrastructures, means, and public utilities shall be performed through care and periodic examination. (2) House maintenance as referred to in paragraph (1) must be carried out by anyone. Article 89 (1) Maintenance of infrastructures, means, and public utilities for housing, and settlement must be carried out by regional government and/or anyone. (2) Maintenance of means and public utilities for residential area must be performed by the Government, regional government, and/or legal entity. (3) Maintenance of infrastructures for settlement areas must be performed by the Government, regional government, and/or legal entity. Article 90 Further provisions concerning maintenance as referred to under Article 88 and Article 89 shall be addressed under Regulation of the Government. Division Three Repair Article 91 Repair of house and infrastructures, means, or public utilities shall be carried out through rehabilitation or renovation. 29 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 92 (1) House repair must be carried out by anyone. (2) Repair of infrastructures, means, and public utilities for housing and settlement must be performed by regional government and/or anyone. (3) Repair of means and public utilities for residential area must be performed by the Government, regional government, and/or anyone. (4) Infrastructure repair for settlement areas must be performed by the Government, regional government, and/or legal entity. Article 93 Further provisions concerning repair as referred to under Article 91 and Article 92 shall be addressed under Regulation of the Government. CHAPTER VIII PREVENTION AND QUALITY IMPROVEMENT TOWARD SLUM HOUSING AND SLUM RESIDENCE Division One General Article 94 (1) Prevention and quality improvement toward slum housing and slum settlement to improve the quality of life and livelihood of the residents shall be carried out in order to prevent the growth and expansion of new slum housing and slum residence, as well as to maintain and improve the quality and functions of housing and residence. (2) Prevention and quality improvement toward slum housing and slum settlement as referred to in paragraph (1) shall be carried out based on certainty to reside principle that guarantees rights of every citizens to occupy, benefit, and/or own residence in accordance with provisions under laws and regulations. (3) Prevention and quality improvement toward slum housing and slum settlement as referred to in paragraph (1) must be performed by the Government, regional government, and/or anyone. Division Two Prevention Article 95 (1) Prevention of the growth and expansion of new slum housing and slum settlement covers: a. high building irregularity and density; b. incompleteness of infrastructures, means, and public utilities; c. quality drop of the house, housing, and settlement, as well as infrastructures, means, and public utilities; and d. establishment of house, housing, and settlement that is not in accordance with spatial area plan. 30 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (2) Prevention as referred to in paragraph (1) shall be carried out through: a. supervision and control; and b. public empowerment. (3) Supervision and control as referred to in paragraph (2) letter a shall be carried out in conformity with licensing, technical standards, and functional feasibility through periodic examination in accordance with provisions under laws and regulations. (4) Public empowerment as referred to paragraph (2) letter b shall be carried out against stakeholders of housing and settlement area sector through counseling and information service. (5) Prevention as referred to in paragraph (1) must be performed by the Government, regional government, and/or anyone. (6) Further provisions concerning the prevention against the growth and expansion of new slum housing and slum settlement as referred to in paragraph (1) shall be addressed under Regulation of the Government. Division Three Quality Improvement Sub-Division 1 General Article 96 As a mean for improving quality of slum housing and slum settlement, Government and/or regional government shall determine management policies, strategies, as well as patterns that are humane, based on culture, just, and economical. Article 97 (1) Improvement quality for slum housing and slum settlement as referred to under Article 96 shall be preceded with the determination of the locations of slum housing and slum settlement with the following management patterns: a. renovation; b. rejuvenation; or c. resettlement. (2) Management patterns toward slum housing and slum settlement as referred to in paragraph (1) shall be processed through management measures to protect the quality level of housing and settlement. Sub-Division 2 Determination of Locations Article 98 (1) Determination of the locations of slum housing and settlement must fulfill the following prerequisites: a. conformity with national spatial area plan, provincial spatial area plan, and regency/city spatial 31 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata area plan; b. conformity with building and environmental management plan; c. condition and quality of infrastructures, means, and public utilities that satisfy the requirements and non-hazardous toward residents; d. level of orderly and density of the building; e. building quality; and f. social economic condition of local society. (2) Determination of the locations of slum housing and slum settlement must be preceded with funding process that is performed by regional government by involving public participation. (3) Further provisions concerning the determination of locations as referred to in paragraph (2) shall be handled by regional government through regional government. Sub-Division 3 Renovation Article 99 Renovation as referred to under Article 97 paragraph (1) letter a shall be carried out for repair and/or redevelopment of housing and settlement to be livable housing and settlement. Sub-Division 4 Rejuvenation Article 100 (1) Rejuvenation as referred to under Article 97 paragraph (1) letter b shall be carried out to realize better conditions of the house, housing, settlement, and residential area in order to protect the safety and security of local residents and citizens. (2) Rejuvenation as referred to in paragraph (1) must be carried out by providing residences for affected citizens at first. (3) The quality of the rejuvenated house, housing, and settlement must be realized in better way comparing to its previous condition. (4) Rejuvenation as referred to in paragraph (2) and paragraph (3) shall be carried out by the Government and regional government in accordance with its authorities by involving public participation. Sub-Division 5 Resettlement Article 101 (1) Resettlement as referred to under Article 97 paragraph (1) letter c shall be carried out to realize a better condition of the house, housing, and settlement in order to protect the safety and security of the residents and citizens. (2) Resettlement as referred to in paragraph (1) shall be carried out by relocating the affected citizens 32 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata from the locations which are impossible to be rebuild because it is not in accordance with spatial area plan and/or vulnerability to disaster, as well as it may cause hazard for the goods and the people. Article 102 (1) Resettlement as referred to under Article 101 must be carried out by the Government, provincial government, and/or regency/city government. (2) Locations that will be determined as the place for resettlement shall be established by regional government by involving public participation. Sub-Division 6 Management Article 103 (1) Management shall be carried out to maintain and keep the quality of the housing and settlement in sustainable manner. (2) Management as referred to in paragraph (1) shall be carried out by the citizens in self-managed manner. (3) Management by the citizens as referred to in paragraph (1) may be facilitated by regional government. Division Four Further Arrangement Article 104 Further provisions concerning the prerequisites and procedures for the determination of locations, renovation, rejuvenation, resettlement, and management of quality improvement for slum housing and slum settlement shall be addressed under Regulation of the Government. CHAPTER IX LAND PROCUREMENT Article 105 (1) Government and regional government, in accordance with its authorities, shall be responsible over the land availability for the development of housing and settlement area. (2) Land availability as referred to in paragraph (1), including its determination within the spatial area plan, is the responsibility of regional government. Article 106 Land procurement for the development of house, housing, and settlement area may be carried out through: a. issuance of land title over lands which are directly occupied by the state; b. land consolidation by the land owner; 33 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata c. transfer or relinquishment of land title by the land owner; d. utilization and handover of land as state-or-regionally-owned assets in accordance with provisions under laws and regulations; e. usage of state land which is previously wasteland; and/or f. land procurement for the development measure for public interest in accordance with provisions under laws and regulations. Article 107 (1) Land that is directly occupied by the state as referred to under Article 106 letter a which is used for the development of house, housing, and/or settlement area shall be transferred through the issuance of land title toward anyone who carries out the development of house, housing, and settlement area. (2) Issuance of land title as referred to in paragraph (1) shall be based on decree of the governor or regent/mayor on the determination of location or location permit. (3) In the event that the land which is directly occupied by the state as referred to in paragraph (1) is being worked by the society, land title is issued after the developers of housing and settlement as the applicants of land title settle any indemnities over every works of the society based on an agreement. (4) In the event that the agreement on indemnities as referred to in paragraph (3) cannot be reached, its settlement shall be carried out based on provisions under laws and regulations. Article 108 (1) Land consolidation as referred to under Article 106 letter b may be carried out over the land of land- title-owner and/or over state land that is worked by the society. (2) Land consolidation as referred to in paragraph (1) shall be carried out based on agreements: a. among land-title-holders; b. among the workers of state land; or c. between the workers of state land and land-title-holders. (3) Land consolidation may be carried out if at least 60% (sixty percent) of land owners, of which, the area of the land covers at least 60% (sixty percent) of total area of the land that will be consolidated expresses their agreements. (4) Agreements in the rate of 60% (sixty percent) at minimum as referred to in paragraph (3) shall not reduce the right of the 40% (forty percent) of the society to get accessibility. Article 109 (1) Land consolidation as referred under Article 106 letter b may be carried out for the development of detached house, townhouse, or condominium. (2) Determination on the location of land consolidation shall be carried out by the regent/mayor. (3) Specifically for Special Capital City Region of Jakarta, the determination of land consolidation shall be determined by the governor. (4) Location for land consolidation which has been determined as referred to in paragraph (2) and paragraph (3) shall not require location permit. Article 110 34 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata During the development of basic house and self-build house that are established on the consolidated land, the Government must provide facilities in forms of: a. land title certificate; b. determination of location; c. consolidation design; and d. establishment of infrastructures, means, and public utilities. Article 111 (1) Certification for owner of consolidated land shall not be charged with acquisition duty of land and building title. (2) Certification toward those who work the state land from consolidation process shall be charged with acquisition duty of land and building title. Article 112 (1) Land consolidation may be carried out through partnership scheme with legal entity. (2) Partnership as referred to in paragraph (1) shall be carried out based on written agreement between those who work the state land and/or land-title-holders and legal entity with equality principle that is made before the authorized official. Article 113 Further provisions concerning land consolidation shall be addressed under Regulation of the Government. Article 114 (1) Transfer or relinquishment of land title as referred to under Article 106 letter c shall be carried out after the legal entity has secured location permit. (2) Transfer of land title as referred to in paragraph (1) shall be made in front of the land-deed official after mutual agreement has been reached. (3) Relinquishment of land title as referred to in paragraph (1) shall be made before the authorized official. (4) Transfer of title or relinquishment of land title as referred to in paragraph (2) and paragraph (3) must be registered and regency/city land office in accordance with provisions under laws and regulations. Article 115 (1) Utilization and handover of land as state-or-regionally-owned assets as referred to under Article 106 letter d for the development of house, housing, and settlement area are designated for development of basic house and/or special house. (2) Utilization and handover of land as state-or-regionally-owned assets as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. Article 116 (1) Usage of state land which is previously wasteland as referred to under Article 106 letter e for the development of house, housing, and settlement area is designated for the development of basic house, special house, and administration of slum settlement. 35 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (2) Usage of state land which is previously wasteland as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. Article 117 (1) Land procurement for the development for public interest as referred to under Article 106 letter f for the development of house, housing, and settlement area is designated for the development of basic house, special house, and administration of slum settlement. (2) Land procurement for the development for public interest as referred to in paragraph (1) shall be carried out in accordance with provisions under laws and regulations. CHAPTER X FUNDING AND FINANCING SYSTEM Division One General Article 118 (1) Funding and financing system are intended to guarantee the availability of funds and inexpensive funds for long-term period with sustainable manner for the fulfillment of the needs of urban and rural house, housing, settlement, as well as residential area. (2) Government and regional government shall urge the usage of financing system as referred to in paragraph (1). Division Two Funding Article 119 Source of funds for the fulfillment of the needs of urban and rural house, housing, settlement, as well as residential area shall be derived from: a. state revenue and expenditure budget; b. regional revenue and expenditure budget; and/or c. other sources of funds in accordance with provisions under laws and regulations. Article 120 Funds as referred to under Article 119 is utilized to support: a. the organization of housing and settlement area; and/or b. facilities and/or assistances for the development and acquisition of house for MBR in accordance with minimum service standard. Division Three 36 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Financing System Sub-Division 1 General Article 121 (1) Government and/or regional government must carry out means to advance financing system for the organization of housing and settlement area. (2) Advancement of financing system as referred to in paragraph (1) covers: a. financing institution; b. mobilization and accumulation of funds; c. utilization of financing resources; and d. financing facilities or assistances. (3) Financing system as referred to in paragraph (1) shall be carried out based on conventional principles or sharia principles through: a. primary housing financing; and/or b. secondary housing financing. Sub-Division 2 Financing Institution Article 122 (1) Government or regional government may assign or establish financing legal entity within the housing and settlement area sector. (2) Financing legal entity as referred to in paragraph (1) has the duty to guarantee the availability of inexpensive funds for long-term period for the organization of housing and settlement area. (3) In the event that the development and ownership of basic and self-build house, financing legal entity as referred to in paragraph (1) must guarantee: a. the availability of long-term inexpensive funds; b. facilities to obtain access for credit or financing; and c. affordability to build, repair, or own house. (4) Assignment and establishment of financing legal entity within the housing and settlement area sector as referred to in paragraph (1) and paragraph (2) shall be carried out in accordance with provisions under laws and regulations. Sub-Division 3 Mobilization and Accumulation of Funds Article 123 (1) Mobilization and accumulation of funds as referred to under Article 121 paragraph (2) letter b covers: 37 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata a. funds from the society; b. funds from housing savings, including investment returns from over-liquidity; and/or c. other funds in accordance with provisions under laws and regulations. (2) Government and regional government shall be responsible to urge the usage of banks in the course of mobilization and accumulation of funds as referred to in paragraph (1) for sustainable organization of housing and settlement area. (3) Government and regional government shall urge the usage of non-bank financial institutions in the course of mobilization and accumulation of housing saving funds and other funds which are specifically designated for housing as referred to in paragraph (1) letter b and letter c for the organization of housing and settlement area. (4) Further provisions concerning the procedures for mobilization and accumulation of funds as referred to in paragraph (2) and paragraph (3) shall be addressed under Regulation of the Government. Article 124 Provisions concerning housing saving shall be separately addressed under a Law. Sub-Division 4 Utilization of Sources of Funds Article 125 Utilization of sources of funds are used for the financing of: a. construction; b. house acquisition; c. development of house, basic house, or repair of self-build house; d. house maintenance and repair; e. quality improvement of housing and settlement area; and/or f. other purposes within the housing and settlement area sector in accordance with provisions under laws and regulations. Sub-Division 5 Financing Facilities and Assistances Article 126 (1) Government and regional government shall provide financing facilities and/or assistances for the development and acquisition of basic house and self-build house for MBR. (2) In the event that the utilization of financing resources which are used for the fulfillment of the needs of basic house or self-build house, MBR as the utilizer or user who receives financing facilities and/or assistances must return the financing in accordance with provisions under laws and regulations. (3) Financing facilities and/or assistances as referred to in paragraph (1) may be in forms of: a. financing schemes; b. guarantee or insurance; and/or 38 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata c. long-term inexpensive funds. (4) Further provisions concerning the financing facilities and/or assistances as referred to in paragraph (2) shall be addressed under Regulation of the Government. Sub-Division 6 Primary Financing Article 127 (1) Primary housing financing is carried out by legal entity. (2) Legal entity as referred to in paragraph (1) shall be a financial institution acting as the credit or financing distributor in accordance with provisions under laws and regulations. Sub-Division 7 Secondary Financing Article 128 (1) Secondary housing financing has the function to provide financing facilities to increase the financing capacity and continuity of house acquisition. (2) Secondary housing financing as referred to in paragraph (1) shall be carried out by non-bank financial institutions. (3) Non-bank financial institutions as referred to in paragraph (2) may perform securitization of assets for financing of house acquisition, of which, the result is designated for the continuance of financing facility of house acquisition for MBR. (4) Securitization of assets for financing of house acquisition as referred to in paragraph (3) shall be carried out through capital market. CHAPTER XI RIGHTS AND OBLIGATIONS Article 129 During the organization of housing and settlement area, anyone has the right to: a. occupy, benefit, and/or own/acquire adequate house within a healthy, secure, harmonious, and orderly environment; b. perform the development of housing and settlement area; c. obtain information relating to the organization of housing and settlement area; d. obtain benefits from the organization of housing and settlement area; e. obtain adequate indemnity over losses that are directly suffered as the consequence of the organization of housing and settlement area; and f. file class action lawsuit to the court over the organization of housing and settlement area that harms the society. 39 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 130 During the organization of housing and settlement area, anyone must: a. maintain the security, order, cleanliness, and healthy at housing and settlement area; b. participate in preventing the organization of housing and settlement area that is harmful and hazardous toward interests of other person and/or public interests; c. take care and maintain public infrastructures, means, and utilities that exist at the housing and settlement area; and d. supervise the utilization and functionality of infrastructures, means, and public utilities at housing and settlement area. CHAPTER XII PUBLIC PARTICIPATION Article 131 (1) Organization of housing and settlement area shall be carried out by the Government and regional government by involving public participation. (2) Public participation as referred to in paragraph (1) shall be carried out by giving inputs for the: a. formulation of housing and settlement area development plan; b. implementation of housing and settlement area development; c. utilization of housing and settlement area; d. maintenance and repair of housing and settlement area; and/or e. control for the organization of housing and settlement area. (3) Public participation as referred to in paragraph (2) shall be carried out by establishing a forum for housing and settlement area expansion. Article 132 (1) Forum as referred to under Article 131 paragraph (3) has the following functions and duties: a. accommodate and channel public aspiration; b. discuss and formulate the idea for the expansion of housing and settlement area organization; c. increase public role and supervision; d. submits suggestions to the Government; and/or e. performs arbitral and mediation role within the sector of housing and settlement area organization. (2) Forum as referred to in paragraph (1) consists of the following elements: a. governmental institutions that are related with housing and settlement area sector; b. association of companies which act as the developers of housing and settlement area; c. association of professions which act as the developers of housing and settlement area; d. association of goods and services companies which act as the business partner of the developers of housing and settlement area; e. experts within the housing and settlement area sector; and/or 40 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata f. non-governmental organizations and/or institutions that represent consumers who are related with the organization of housing and settlement area development. Article 133 Further provisions concerning public participation as referred to under Article 131 paragraph (1) and paragraph (2), as well as forum as referred to under Article 131 paragraph (3) and Article 132 shall be addressed under Regulation of the Minister. CHAPTER XIII PROHIBITIONS Article 134 Anyone is prohibited from organizing housing development who fails to develop the housing area in accordance with the agreed criteria, specifications, requirements, infrastructures, means, and public utilities. Article 135 Anyone is prohibited from leasing or transferring its ownership over basic houses to another party. Article 136 Anyone is prohibited from organizing residential area or Kasiba that does not separate residential area or Kasiba from housing area unit or Lisiba. Article 137 Anyone is prohibited from selling housing area unit or Lisiba, of which, the status of land title has not yet been settled. Article 138 Legal entity which operates development of detached houses, townhouses, and/or condominiums is prohibited from handing-over and/or withdrawing funds for more than 80% (eighty percent) from the buyer before prerequisites as referred to under Article 45 have been satisfied. Article 139 Anyone is prohibited from developing housing and/or settlement outside the zones which are specifically designated for housing and settlement. Article 140 Anyone is prohibited from developing housing and/or settlement at places that are potential to create hazards for the goods or people. Article 141 Any officials are prohibited from issuing license to develop house, housing, and/or settlement that are not in 41 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata accordance with spatial function and utilization. Article 142 Anyone is prohibited from refusing or hampering resettlement of house, housing, and/or settlement that have been determined by the government and/or regional government after an agreement has been reached with local society. Article 143 Anyone is prohibited from investing funds from the accumulation of housing saving funds other than for financing of the organization of housing and settlement area. Article 144 Legal Entity that organizes the development of housing and settlement area is prohibited from changing the functions of infrastructures, means, and public utilities besides of its original functions. Article 145 (1) Legal entity that has not yet settled the land title status over the residential area or Lisiba is prohibited to sell settlement units. (2) Individuals are prohibited from developing Lisiba. Article 146 (1) Legal entity that develops Lisiba is prohibited from selling all-ready land plots without the existence of a house. (2) In the event that the housing development for MBR with all-ready small-sized land plots, prohibition as referred to in paragraph (1) shall be exempted. CHAPTER XIV DISPUTE SETTLEMENT Article 147 Dispute settlement within the housing sector should be preceded with amicable means based on consultative meeting. Article 148 (1) In the event that the dispute settlement through consultative meeting cannot be reached, the injured party can file a lawsuit through the court within the general judiciary sector or extra-court based on voluntary choices from both disputing parties through alternative dispute settlement. (2) Extra-court dispute settlement as referred to in paragraph (1) shall be carried out through arbitration, consultation, negotiation, mediation, conciliation, and/or expert’s assessment in accordance with provisions under laws and regulations. (3) Extra-court dispute settlement as referred to in paragraph (2) shall not eliminate criminal liability. 42 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Article 149 Lawsuit as referred to under Article 148 paragraph (1) based on the violation can be filed by: a. individual; b. legal entity; c. society; and/or d. government and/or related institutions. CHAPTER XV ADMINISTRATIVE SANCTIONS Article 150 (1) Anyone who organizes housing and settlement area who does not comply provisions as referred to under Article 26 paragraph (1), 29 paragraph (1), Article 30 paragraph (2), Article 34 paragraph (1) and paragraph (2), Article 36 paragraph (1) and paragraph (2), Article 38 paragraph (4), Article 45, Article 47 paragraph (2), paragraph (3) and paragraph (4), Article 49 paragraph (2), Article 63, Article 71 paragraph (1), Article 126 paragraph (2), Article 134, Article 135, Article 136, Article 137, Article 138, Article 139, Article 140, Article 141, Article 142, Article 143, Article 144, Article 145, or Article 146 paragraph (1) shall be imposed with administrative sanctions. (2) Administrative sanctions as referred to in paragraph (1) may be in forms of: a. written reprimand; b. restriction of development activities; c. temporary or fixed suspension for works relating to the development; d. temporary or fixed suspension for housing management; e. temporary occupation by the government (sealed); f. obligation to self-demolish the building within a certain time period; g. restriction of business activities; h. suspension of building construction permit; i. revocation of building construction permit; j. suspension/revocation of house ownership certificate document; k. demolition order for building of the house; l. suspension of business license; m. revocation of business license; n. supervision; o. license annulment; p. obligation to restore land function within a certain time period; q. incentive revocation; r. imposition of administrative fines; and/or s. location shutdown. 43 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata (3) Further provisions concerning the types, amount of fines, procedures, and mechanisms for the imposition of administrative sanctions as referred to in paragraph (2) shall be addressed under Regulation of the Government. CHAPTER XVI CRIMINAL PROVISIONS Article 151 (1) Anyone who organizes the housing development who fails to develop the housing in accordance with the agreed criteria, specifications, requirements, infrastructures, means, and public utilities as referred to under Article 134, shall be punished with fines in sum of IDR 5,000,000,000 (five billion rupiahs) at maximum. (2) Besides punishment as referred to in paragraph (1), the perpetrator may be punished with additional punishments in forms of redevelopment of the housing area to be in accordance with the agreed criteria, specifications, requirements, infrastructures, means, and public utilities. Article 152 Anyone who leases or transfers its ownership over basic houses to another party as referred to under Article 135, shall be punished with fines in sum of IDR 50,000,000 (fifty million rupiahs) at maximum. Article 153 (1) Anyone who organizes residential area or Kasiba who does not separate the residential area or Kasiba from housing area units or Lisiba as referred to under Article 136, shall be punished with fines in sum of IDR 5,000,000,000 (five billion rupiahs) at maximum. (2) Besides punishment as referred to in paragraph (1), the perpetrator may also be punished with additional punishment in forms of license revocation. Article 154 Anyone who sells housing area units or Lisiba but has not yet settled the status of land title as referred to under Article 137, shall be punished with imprisonment for 5 (five) years at maximum or fines in sum of IDR 5,000,000,000 (five billion rupiahs) at maximum. Article 155 Legal entity who deliberately handovers and/or receives payment in sum of more than 80% (eighty percent) from buyers as referred to under Article 138, shall be punished with confinement for 1 (one) year at maximum or fines in sum of IDR 1,000,000,000 (one billion rupiahs) at maximum. Article 156 Anyone who deliberately develops housing and/or settlement outside of zones which are specifically designated for housing and settlement as referred to under Article 139, shall be punished with imprisonment for 2 (two) years at maximum or fines in sum of IDR 2,000,000,000 (two billion rupiahs) at maximum. Article 157 44 / 79 DIVA | DIUNDUH PADA 21 AGUSTUS 2023

www.hukumonline.com/pusatdata Anyone who deliberately develops housing, and/or settlement at places which are potential to create hazards for the goods or persons as referred to under Article 140, shall be punished with confinement for 1 (one) year at maximum or fines in sum of IDR 50,000,000 (fifty million rupiahs) at maximum. Article 158 Any official who deliberately issues license to develop house, housing, and/or settlement that is not in accordance with spatial functions and utilization as referred to under Article 141, shall be punished with imprisonment for 5 (five) years at maximum or fines in sum of IDR 5,000,000,000 (five billion rupiahs) at maximum. Article 159 Anyone who deliberately refuses or hampers the resettlement of house, housing, or settlement that has been determined by the Government or regional government after an agreement has been reached with local society as referred to under Article 142, shall be punished with confinement for 1 (one) year at maximum and fines in sum of IDR 100,000,000 (one hundred million rupiahs) at maximum. Article 160 Anyone who deliberately invests funds from the accumulation of housing saving funds asides for financing of the organization of housing and settlement area as referred to under Article 143, shall be punished with imprisonment for 5 (five) years at maximum or fines in sum of IDR 50,000,000,000 (fifty billion rupiahs) at maximum. Article 161 (1) Individuals who deliberately develop Lisiba as referred to under Article 145 paragraph (2), shall be punished with fines in sum of IDR 500,000,000 (five hundred million rupiahs) at maximum. (2) Besides punishment as referred to in paragraph (1), the perpetrator may be punished with additional punishment in forms of demolition of Lisiba, of which, the fees shall be attributed to the perpetrator. Article 162 (1) A punishment in forms of fines in sum of IDR 5,000,000,000 (five billion rupiahs) at maximum shall be imposed to Legal Entity that: a. shifts the functions of infrastructures, means, and public utilities as referred to under Article 144; b. sells residential units as referred to under Article 145 paragraph (1); or c. develops Lisiba that sells all-ready land plots without a house as referred to under Article 146 paragraph (1). (2) Besides punishment for legal entity as referred to in paragraph (1), executives of the legal entity may be punished with imprisonment for