balivillacarePBG: the building approval behind a villa license
Key takeaways
- PBG replaced the IMB in 2021. Construction starts only after the PBG (PP No. 16 Tahun 2021, Pasal 263).
- PP No. 28 Tahun 2025 makes KKPR, PL, and PBG and SLF the basic requirements for any business license — a villa's included.
- The function recorded on the PBG — residential or business — follows the building onto the SLF and decides how often the SLF is renewed.
- Denpasar's levy is a formula. Its function index is 0.7 for a business building against 0.15–0.17 for a dwelling.
- A change of function, floors, area or facade needs an amended PBG. Maintenance does not.
Most writing about PBG is for people building houses. For a villa that is let, the approval matters for a second reason: it is one of the documents a business license now sits on, and the function written on it follows the building for the rest of its life.
How to read the numbers on this page. A figure with no marker is quoted from a primary source and linked at the foot of the page. reported means we could not read the figure at its source — a company that publishes no rate card, or an official decision or announcement available only through news reporting — so it comes from that reporting, which is linked. modelled means it came out of the model set out on the methodology page, which you can disagree with line by line.
Nine words that come with a PBG
A building approval arrives with its own vocabulary, and several of the terms carry consequences an owner does not expect.
| Term | What it is | What it means for a villa |
|---|---|---|
| PBG, Persetujuan Bangunan Gedung | The building approval. | Needed before construction starts; replaced the IMB in 2021. |
| IMB | The old building permit. | Still valid until it ends — the old permit. |
| PBG perubahan | An amended approval. | For a change of function, floors, area or facade. |
| SLF | The certificate of function, issued after the building is checked. | The other half of the pair — renewed every 5 or 20 years. |
| Fungsi hunian / fungsi usaha | The residential or business function recorded on the approval. | Moves the levy, the SLF renewal period and the license. |
| SIMBG | The government's building information system. | Where PBG and SLF are applied for. |
| KKPR | Conformity of the activity with spatial planning. | The zoning check that comes first. |
| PL, SPPL | Environmental approval; the simple statement form for small activities. | Needed alongside the PBG before building. |
| Retribusi PBG | The regency's levy for issuing the PBG. | Calculated by formula, not a flat fee. |
Where the PBG sits in a villa's license
PP No. 28 Tahun 2025, established on 5 June 2025, replaced the 2021 regulation on risk-based business licensing. It sets the order in which a business is started and puts the building approval inside it.
The order
Pasal 8: business legality first; then the basic requirements of spatial conformity (KKPR) and, for small activities, the environmental statement (SPPL); then the business license itself. Pasal 12 lists the basic requirements in full as KKPR, PL, and PBG and SLF.
Before anything is built
Pasal 11 ayat (3): a business that will construct a building must hold the environmental approval and the PBG. And under PP No. 16 Tahun 2021, Pasal 263, construction begins only after the PBG.
Why the tourism standard cares
The villa standard in Permenpar No. 6 Tahun 2025 lists, among the criteria a villa must meet if it chooses to be certified, a building designated for villa use. The approval is where a building's designation is written. What the villa standard asks for.
The function on the approval
PP No. 16 Tahun 2021 gives every building one of five functions — residential, religious, business, social and cultural, or special — set by the activity given priority in the building. The function is written on the PBG, the SLF and the SBKBG (Pasal 11).
A villa is not named
The elucidation lists hospitality buildings under the business function: wisma, losmen, hostel, motel, rumah kos, hotel, kondotel. A villa is not in the list. Which function a given villa carries is whatever its approval records, and that is worth checking rather than assuming.
Why the choice matters three times
- The levy. In Denpasar the function index is 0.7 for business against 0.15–0.17 for a dwelling — roughly four times as much on the same floor area, before anything else.
- The SLF. A single house renews its SLF every 20 years; other buildings every 5 years. The SLF in full.
- Changing it later. A change of function, including sub-function, needs a PBG perubahan (Pasal 11 ayat (2)).
Not sure what function your villa's approval records?
Tell us which part of Bali the villa is in. Five questions, and your details are the last step.
How the PBG levy is calculated
The levy is set by each regency. Denpasar's regulation prints its whole method in Lampiran III, read here from the page images.
The formula
Levy = floor area x (Ilo x SHST) x It x Ibg. The integrated index is itself the function index times a weighted sum of complexity, permanence and height, times an ownership factor.
| Value in Denpasar | What it depends on | |
|---|---|---|
| Function index (If) | 0.7 business; 0.15–0.17 dwelling | The function on the application |
| Locality index (Ilo) | 0.5 on most roads | Function and the class of road |
| Built-building index (Ibg) | 1 for new; 0.225 or 0.325 for renovation | New build or rehabilitation |
| Swimming pool | IDR 10,000 per m2 | Charged as an ancillary structure |
| SHST unit price | set by the mayor | The public-works ministry's calculator |
Because the SHST unit price is set by the mayor rather than printed in the regulation, this page does not give a rupiah total. What the table does show is the shape: the function index moves the levy more than anything the owner can change later.
Badung
Badung's regulation uses the same four components — floor area, locality index, integrated index and built-building index — and its 2025 amendment says the levy is set to cover issuing the PBG and the SLF, inspection, enforcement and administration. Its index tables were not read for this page.
When a new PBG is needed
Pasal 262 lists what needs an amended approval.
- a change of function, or of the number of floors;
- a change of floor area or facade;
- changes to components that affect safety or health;
- strengthening after moderate or heavy damage.
Maintenance and upkeep do not need one. For a building that is already standing without a PBG, the PBG is issued together with the SLF — which is the route most older villas take. A villa on an old IMB.
If the villa does not match its approval
Pasal 12 lets the regency sanction an owner whose building does not conform to the function in its PBG, up to demolition: written warning, restriction or stopping of work, stopping use, freezing or revoking the PBG or SLF, and a demolition order at the end of the list.
What this page does not cover
- A rupiah PBG total. The SHST unit price is set by the mayor outside the Perda.
- Badung's and Gianyar's index tables. Not read.
- Zoning (KKPR) in detail. A buying question, covered by our sister site.
- Environmental approval thresholds. Which villas need UKL-UPL rather than an SPPL was not read.
Common questions
What is PBG in Bali?
PBG — Persetujuan Bangunan Gedung — is the building approval that replaced the IMB under PP No. 16 Tahun 2021. Construction begins after the PBG is obtained (Pasal 263). It records the building's function, which then appears on the SLF and the building ownership certificate too.
Does a villa need a PBG before it can be licensed?
PP No. 28 Tahun 2025 makes PBG and SLF, with KKPR and the environmental approval, the basic requirements for a business license (Pasal 12), and requires the environmental approval and PBG before a business constructs a building (Pasal 11 ayat (3)).
How much does a PBG cost in Bali?
It is a regency levy calculated by formula. In Denpasar it is floor area x (locality index x SHST) x integrated index x built-building index, and the SHST unit price is set by the mayor outside the regulation, so there is no single figure to quote. The function index alone is 0.7 for a business building against 0.15–0.17 for a dwelling.
Is a villa a residential or a business building?
PP No. 16 Tahun 2021 sets the function by the activity given priority in the building. Its elucidation lists hotels, hostels, losmen and kondotel as business buildings; it does not name villas. The function recorded on the PBG is the answer for a given villa — and changing it later needs a PBG perubahan.
Do I need a new PBG to renovate my villa?
An amended PBG is needed for a change of function, floors, floor area or facade, for changes to components affecting safety or health, and for strengthening after damage. It is not needed for maintenance and upkeep (Pasal 262).
What happens if a villa does not match its PBG?
Pasal 12 of PP No. 16 Tahun 2021 allows sanctions from a written warning through stopping use, freezing or revoking the PBG or SLF, up to a demolition order.
How is a swimming pool charged in the PBG levy?
In Denpasar, as an ancillary structure at IDR 10,000 per m2, times its index and the built-building index, on top of the building itself.
Sources cited on this page
- PP No. 16 Tahun 2021 — Bangunan Gedung, BPK copy
- PP No. 16 Tahun 2021 — BPK record
- PP No. 28 Tahun 2025 — risk-based business licensing, BPK copy
- Perda Kota Denpasar No. 5 Tahun 2023 — Lampiran III, PBG levy
- Perda Kab. Badung No. 8 Tahun 2025 — Pasal 96, PBG levy
- Permenpar No. 6 Tahun 2025 — villa standard
Every figure above was read from the source it is attributed to on 20 September 2026. How we check this.