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Prefabricated construction outlook – Indonesia

Prefabricated construction outlook – Indonesia

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Prefabricated homes are gaining traction in Indonesia due to its low impact construction and environment as well as their support in mitigating urban sprawl effects. Jakarta is expected to benefit the most from prefabricated construction given its high rate of population growth and urbanization. In Jakarta, some design firms are considering using prefabricated ‘plug in’ homes, which are constructed without nails, tools or skilled labor and are slotted between old, closely-packed structures to overcome challenges specific to the city’s many crowded kampung areas.

Prefabrication and modularization have further gained popularity worldwide during COVID-19 due to need for construction of makeshift hospital which save time and minimize workers time spent on site. For instance, AT-LARS, an architecture practice based in Jakarta, completed prefabricated micro healthcare facility using scaffolding, in collaboration with St. Carolus hospital, in September 2020. The facility was built to accommodate patients getting treated for COVID-19.

Indonesia is frequently hit by natural disasters owing to its geographical location that falls on the Ring of Fire. Owing to this, the demand for post-disaster housing has increased in order to cover for loss of property and shelter faced due to these disasters. To rebuild houses affected due to disaster with earthquake resistant technology, the Indonesian government introduced RISHA – Healthy, Modest, and Instantaneous House, a house with a knockdown concept.

The disasters have urged the government to implement housing recovery program, making conventional construction inefficient in satisfying the needs of post-disaster housing. Since time is a critical factor in post-disaster housing reconstruction process, one of the alternatives emerging for reconstruction process is prefab architecture.

Recently, in January 2021, the Sulawesi Island was struck with an earthquake with thousands of people being displaced. The government of Indonesia announced to rebuild homes and buildings hit by earthquake. The government of Indonesia is planning to offer $3,558.72(50 million rupiah) for reconstructing heavily damaged houses, while houses with medium and minor damages will be offered up to 25 million rupiah and 10 million rupiah, respectively .

Some of the key players operating in the market include PT. Prefab Indo Adyatama, PT Pembangunan Perumahan, PT. Sanwa Prefab Technology, PT Touchwood, and PT Techno Prefab.

To know more and gain deeper understanding of Indonesia Prefabricated Building Construction Industry Business and Investment Opportunities, click here.

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