PBG Building Approval in Indonesia and Bali: A Complete Guide

Securing a PBG (Persetujuan Bangunan Gedung), or Building Approval, is an essential step for anyone planning to construct, renovate, or expand a building in Indonesia, including Bali. With the transition from the old IMB (Izin Mendirikan Bangunan) system, understanding the new PBG regulations is crucial for property owners, developers, and investors.

This comprehensive guide explains the PBG process, legal requirements, and how to ensure compliance with Indonesian building laws.

What is PBG (Persetujuan Bangunan Gedung)?

PBG is the official building approval required before starting construction in Indonesia. Unlike the former IMB permit, which functioned as a construction license, PBG focuses on ensuring compliance with zoning, safety, and environmental regulations.

Under Government Regulation No. 16 of 2021, PBG acts as a set of technical requirements rather than a stand-alone permit. Builders must adhere to these guidelines to legally proceed with construction projects.

Why is PBG Important?

Obtaining PBG is mandatory for all construction projects, ensuring that buildings comply with:

  • Zoning laws – Aligning with designated land use plans.

  • Structural safety – Following earthquake resistance and durability standards.

  • Environmental sustainability – Meeting eco-friendly building regulations.

  • Aesthetic and cultural considerations – Especially important in areas like Bali with strict architectural guidelines.

Failure to secure a PBG can result in legal penalties, fines, or even demolition of unauthorized structures.

Who Needs a PBG?

PBG is required for:

  • Residential homes

  • Commercial buildings (hotels, restaurants, offices, malls)

  • Industrial properties

  • Infrastructure projects (bridges, roads, public facilities)

  • Renovation or expansion of existing structures

Whether you are a homeowner, business owner, or property investor, obtaining PBG is a non-negotiable legal requirement in Indonesia.

Step-by-Step Process to Get a PBG in Indonesia

1. Prepare Required Documents

To apply for a PBG, you need the following documents:

  • Proof of land ownership or lease agreement

  • Building design and technical drawings

  • Environmental impact analysis (if required)

  • Structural and safety reports

  • Taxpayer identification number (NPWP)

  • Zoning clearance from local authorities

2. Submit the Application Online

Applications for PBG are processed through the Online Single Submission (OSS) system. This digital platform streamlines approvals and allows applicants to track progress.

3. Verification by Local Authorities

The local government or designated licensing office will review the submitted documents, ensuring compliance with zoning, structural, and environmental regulations.

4. Site Inspection

A site inspection may be required to confirm that the proposed building aligns with regulations and does not disrupt surrounding properties or the environment.

5. Approval and Issuance of PBG

Once the application meets all legal requirements, the government will issue the PBG approval certificate, allowing construction to proceed.

Differences Between PBG and IMB

Before 2021, IMB (Izin Mendirikan Bangunan) was the primary building permit in Indonesia. The shift to PBG introduces key differences:

AspectIMB (Old System)PBG (New System)
Nature of PermitStand-alone licenseSet of technical guidelines
Approval FocusGeneral construction permitCompliance with technical regulations
Application ProcessLocal governmentOSS Online System
ValidityFixed permit durationBased on compliance

PBG offers more flexibility but also requires strict adherence to technical and safety standards.

Common Challenges in Obtaining a PBG in Bali

1. Zoning Restrictions

Bali has strict zoning regulations to protect its cultural and environmental heritage. Certain areas are reserved for tourism, residential, or agricultural purposes, which may limit construction options.

2. Document Preparation

Incomplete or incorrect documentation can cause delays in PBG approval. Working with professionals ensures accurate submissions.

3. Bureaucratic Processes

Despite digitalization, the approval process may still involve multiple government agencies, leading to potential delays.

4. Environmental Regulations

Developments near beaches, forests, or culturally significant sites may require additional environmental assessments.

How The Bali Lawyer Can Help

Navigating Indonesia’s building approval system can be complex. The Bali Lawyer provides expert assistance to ensure smooth PBG applications. Our services include:

  • Legal Consultation – Understanding your obligations and eligibility.

  • Document Preparation – Assisting with complete and accurate paperwork.

  • Application Management – Handling submissions and government interactions.

  • Compliance Support – Ensuring adherence to local regulations and building codes.

With our experience in Indonesian property law, we streamline the process, saving time and reducing legal risks.

 

Securing PBG Building Approval in Indonesia and Bali is a critical step in any construction project. Understanding the requirements, application process, and potential challenges helps ensure compliance with local regulations. Partnering with The Bali Lawyer simplifies the legal complexities, providing expert guidance from start to finish.

For professional assistance with PBG approvals, contact The Bali Lawyer today and start your construction project with confidence.