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Building Approval in Bali: Obtain PBG in 4 steps

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Building Approval in Bali is a crucial permit needed to construct a building, villa, or apartment. The permit was formerly known as Building Permit (IMB) in Bali but was changed to Building Approval in November 2021. You find all the requirements of this permit and the steps to obtain PBG in Bali in this article.

What is Building Approval in Bali?

Building Approval in Bali refers to Persetujuan Bangunan Gedung (PBG), which is the building permit one must obtain before starting a construction project, such as building a villa in Bali. The Building Approval includes technical requirements for the construction and is valid until expiration. To obtain the PBG license, applicants must follow the standards for planning, villa design, construction, supervision, utilizing, and demolishing the building.

Why is a Building Approval (PBG) in Bali necessary?

Building Approval in Bali is essential because it guarantees legal protection and safety of the building. This means people can use the building without worrying about construction flaws. As a result, having a PBG increases the value of the building since future tenants will feel safer that their building is up to code.

How much does a Building Approval (PBG) in Bali cost? 

The price of a Building Approval in Bali can differ depending on the building’s type and size. The minimum price to get PBG for a small house or apartment is around IDR 50,000 ($3.05). For an office, the minimum cost for PBG is around IDR 200,000 ($12.20). However, these are only the minimum charges and may increase proportionally as the building’s size or location area expands.

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Building Permit (IMB) vs. Building Approval (PBG) in Bali

When searching for information about Building Approval in Bali, you’ve probably also found more about Building Permit (IMB). Both are closely related, as Building Approval was formerly known as Building Permit (IMB) in Bali. The Indonesian government changed the Building Permit to Building Approval in November 2021.

How to apply for your villa’s Building Approval in Bali?

To construct a commercial building, villa, or apartment complex in Bali, it’s essential to obtain Building Approval in Bali to ensure compliance with government regulations and safety standards. The process for obtaining a PBG license involves the following steps:

Step 1: Submit the technical plan

Submit the technical plan of your villa in Bali. This should contain an architect-designed layout showing the materials, the location in Bali, the timescale for making your tropical vision a reality, the equipment, and other features Bali authorities require.

Step 2: Submit SBKBG and SFL

After your technical plan’s approval, you supply further documentation. The Surat Bukti Kepemilikan Bangunan Gedung (SBKBG) and your details are required. Don’t forget the Sertifikat Laik Fungsi (SLF) to prove your property’s suitability.

Step 3: Submit Hak Guna Bangunan (HGB) (optional, for PT PMA)

Many foreigners lease land and build a villa on top through a PT PMA in Bali. In that case, you must also submit the Hak Guna Bangunan (HGB) title. This title ensures the PT PMA is the legal owner of the construction and not the owner of the land.

Step 4: Plan the consultation

You can start to plan the construction once all licenses are submitted. First, register the project in the Building Management Information System (SIMBG). Then, an inspection ensures your project fulfills island safety regulations. If everything appears fine, a PBG & Compliance Statement with Technical Standards will be issued.

What is Sertifikat Laik Fungsi (SLF) in Bali?

Sertifikat Laik Fungsi (SLF), meaning Certificate of Permitted Use, is a document that indicates the building’s use and whether authorities have approved it for occupancy. Sertifikat Laik Fungsi has to be obtained before property owners can use their villas.

Obtain Building Approval in Bali with Own Property Abroad

Are you considering building a property in Bali? And do you need to obtain a Building Approval (PBG) in Bali? Own Property Abroad can assist you. Thanks to our extensive knowledge and local experience in the Balinese market, we can help with legal requirements, finding suitable properties, negotiating the best deals, and conducting due diligence.

With our expert team, you won’t have to navigate the complexities of applying for Building Approval in Bali alone. For further information on how we can assist you, kindly drop your details below or email us at [email protected]. Let’s start working on your property success story today!

Contact our legal agent to obtain PBG in Bali

Leave your name and email below – Our legal agent in Bali will reach out and help you with obtaining Building Approval (PBG).

Frequently Asked Questions (FAQs)

What documents are necessary to obtain a Building Approval (PBG) in Bali?

To request a Building Approval (PBG) in Bali, you need to submit several documents, including the technical plan or blueprint of the construction, Surat Bukti Kepemilikan Bangunan Gedung (SBKBG), Sertifikat Laik Fungsi (SLF), and Hak Guna Bangunan (HGB) if you are a foreign individual or a PT PMA. Additionally, personal information and building data are required. Registering in the Building Management Information System (SIMBG) is also necessary as part of the process.

How much is IMB in Bali?

The IMB in Bali does not exist anymore. Instead, there is the Building Approval (PBG), which costs vary depending on several factors, such as the size of the building, location, and type of construction. The minimum price to get PBG for a small house or apartment is around IDR 50,000 ($3.05). For an office, the minimum cost for PBG is around IDR 200,000 ($12.20).

Can foreigners build in Bali?

Yes, foreigners can build in Bali, but they must comply with specific regulations. Foreigners cannot directly own freehold land but can use a leasehold agreement. Another option for building in Bali as a foreigner is establishing a PT PMA (Foreign Investment Limited Company), which enables them to acquire the Hak Guna Bangunan title. This allows them to own property on someone else’s land. It’s essential to conduct due diligence and ensure compliance with all local laws and regulations when building as a foreigner in Bali.

Your guide to buying property in Bali

Written by Matt Timmermans

2 Responses

  1. Hello,

    I’m reaching out regarding a vacant land property I own in Jakarta spanning approximately 363 square meters. The property is registered under a PT PMA (foreign enterprise) and holds an HGB status.

    However, a recent discovery has presented an obstacle: it seems I cannot proceed with selling the property without acquiring a PBG. After this, I need to put up the building to enable me to sell the property.

    This is a significant financial commitment that I am hesitant to undertake.

    I would greatly appreciate any advice or insights you may have regarding this matter.

    Thank you for your time and assistance

    1. Hi Kishin, acquiring a PBG is necessary for selling property held under HGB status by a PT PMA in Indonesia. Consider consulting with a local real estate lawyer to explore alternatives or for strategic advice on proceeding without significant financial commitments.

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