what is pbg in indonesia, and how is it different from imb?

If you are planning to build, renovate, or purchase a villa in Bali, you may come across two terms: IMB and PBG. Both relate to building regulations in Indonesia, but they belong to different regulatory systems. Understanding the difference can help you identify which documents to check before starting a construction project or purchasing an existing property.

Under Government Regulation No. 16 of 2021, Indonesia replaced the former Building Construction Permit (Izin Mendirikan Bangunan, or IMB) framework with Persetujuan Bangunan Gedung (PBG). The regulation establishes the framework for building approvals and technical compliance. Read PP No. 16 of 2021 in Indonesia's official regulations database.

What Is PBG?

PBG stands for Persetujuan Bangunan Gedung, commonly translated as Building Approval. It is an approval issued by the relevant government authority for a building's proposed technical plans, provided the applicable technical standards are met.

According to the Ministry of Public Works, PBG applies to activities including constructing a new building, modifying or extending an existing one, reducing its size, and carrying out certain maintenance work in accordance with the applicable requirements.

The purpose is to ensure that the proposed work complies with relevant building standards. These may concern structural safety, health, comfort, accessibility, and other technical requirements, depending on the building and its intended use.

PBG is therefore not simply a document confirming that a building exists. It relates to the technical requirements and proposed work for that building.

What Was IMB?

IMB stands for Izin Mendirikan Bangunan, or Building Construction Permit. It was the previous system used to regulate building construction in Indonesia.

Under the former framework, property owners generally needed an IMB before undertaking construction covered by the rules. The system was subsequently replaced by PBG under Government Regulation No. 16 of 2021, as part of changes to Indonesia's building regulatory framework.

Although the terminology has changed, the underlying objective remains important: buildings must comply with the relevant legal and technical requirements.

What Is the Difference Between PBG and IMB?

The main difference lies in the regulatory framework and approval process.

IMB was the former building permit, while PBG is the approval used under the newer framework. PBG places particular emphasis on the assessment of technical building plans against applicable standards.

Here is a simple comparison:

The exact requirements depend on the building, the proposed work, and the applicable local rules.

How Do You Apply for PBG in Indonesia?

PBG applications are generally submitted through the government's Building Management Information System, known as SIMBG (Sistem Informasi Manajemen Bangunan Gedung).

The process involves submitting the relevant applicant and building information, along with supporting land and technical documentation. The proposed plans are then assessed through the applicable consultation and technical review process.

Depending on the project, documentation may include:

• Land or other documents establishing the right to use the site.
• Applicable spatial planning information, such as the relevant conformity or planning documentation.
• Technical plans covering architecture, structure, and building services.
• Environmental documentation where required.
• Information about the building's intended function and other project-specific requirements.

The exact list varies according to the project and its circumstances. A villa development, for example, may require different supporting documents from a smaller renovation.

For the official application process and applicable requirements, consult the SIMBG government portal and the Ministry of Public Works' building-permit guidance.

What Is the Difference Between PBG and SLF?

Another document property owners may encounter is the Sertifikat Laik Fungsi (SLF), or Certificate of Functional Worthiness.

Although PBG and SLF are related, they serve different purposes.

PBG concerns approval of the relevant technical building plans. SLF certifies that a building meets the applicable requirements to be used for its intended function.

In practical terms, PBG is associated with the approval process for proposed building work, while SLF concerns whether the completed building is fit for use. Requirements and procedures depend on the circumstances, including whether the building is new or already exists.

If you are purchasing an existing villa, it is worth checking which documents are applicable to that property and whether the required approvals and certificates are in place.

What If a Building Already Has an IMB?

The introduction of PBG does not mean that every building with an older IMB automatically needs to start the entire approval process again.

The status of an existing IMB depends on when and how it was issued, the building's circumstances, and the applicable transition rules. The Ministry of Public Works' guidance specifically addresses IMBs issued after 21 October 2021, stating that those permits are not recognised under its guidance and cannot be converted back into IMBs.

For older permits, owners should have the document's validity and the building's current compliance status checked rather than assuming either that the permit is invalid or that no further documentation is needed.

If a building was constructed without the relevant IMB or PBG, a route may be available to address its documentation. Government guidance explains that existing buildings without a previous IMB or PBG may need to go through the applicable SLF process, with PBG documentation handled as required. The appropriate route depends on the building and its circumstances.

For this reason, buyers should ask for the property's complete building documentation and have it reviewed by qualified local professionals.

Why Does PBG Matter When Buying or Building a Villa in Bali?

PBG is an important part of checking a property's building compliance, but it is not a substitute for every other property-related check.

Before purchasing a villa or starting construction, you should also consider the site's permitted use, the relevant land documents, the building's approved plans, any required SLF, and other applicable permits or licences. Approval for a building does not automatically establish that every intended use, including commercial accommodation, is permitted.

If you are buying an existing property, compare the available documentation with the building as it stands. If you are planning a new development or renovation, confirm the requirements before work begins.

Disclaimer: This article is for general informational purposes and is not legal advice. Regulations, administrative procedures, and requirements may change. Confirm the latest requirements with the relevant authorities and qualified Indonesian professionals before making decisions.