Study of green building incentives in Indonesia

In this pandemic era, the need for healthy housing is getting higher, so the existence of green buildings is expected to impact human health and comfort positively. However, on the other hand, the construction cost of a green building is quite expensive, which causes the number of green buildings not to develop significantly. The government takes the initiative to incentivize those who will build green buildings. The incentives provided are in the form of financial and non-financial incentives. This study aims to see how the government has reviewed the incentive program and identify the types of incentives that can be applied to motivate the community to start building green buildings. The research method used is exploratory by conducting a literature review from various journals in various countries to see how the implementation of incentives in several countries. The research was followed by primary data from questionnaires distributed to the community (practitioners and project owners) to see the community's expectations of the government's existence of an incentive program. The analysis is carried out using a weighting method to get the type of incentive that is most expected. In-depth interviews were also conducted with three offices of the DKI Jakarta government related to the green building incentive policy-making scheme that the government can provide. The identification results obtained from this research are that four types of incentives are expected by the community and can be implemented by the government in the policy. Those incentives are land and building tax cuts, acceleration of administrative procedural licensing, technical assistance in consultation and publication, certification, and promotion. This study also shows that 95% of community respondents are motivated to build green buildings if they receive financial and non-financial incentives from the government. The case study was conducted in DKI Jakarta as DKI Jakarta already has Governor Regulation No. 38 of 2012 concerning green buildings. The novelty of this research is a combination of a literature review on incentives that exist in various countries and the government's point of view as a policy maker.