Federal or unitary state?

Federal or unitary state?

In answering the demands that are currently being heard in several provinces for a federal state to be established in Indonesia, it would be good for us to first adequately explain the concepts of federalism versus decentralization within a unitary state to the public. The point is that, as Minister of Regional Autonomy Ryaas Rasyid has said, a unitary state with a system of wide-ranging autonomy is in substance practically identical to a federal state.

It should be remembered in this context that under Law No. 25/1999 on the arrangement of revenue-sharing between the central government and the regions, it is much better than as conceptualized in the earlier Law No. 32/1956. Implementing the 1999 arrangement would in effect satisfy those who demand a federal state. We are confident that the four oil-rich provinces -- Aceh, Riau, East Kalimantan and Irian Jaya -- will have no desire to exist on their own, and will therefore be willing, in a good spirit of nationalism, to help our poorer provinces with subsidies.

-- Suara Karya, Jakarta