Fri, 16 Feb 2001

Regional autonomy revisited

Barely six weeks since the regional autonomy law came into force, doomsayers in Jakarta are already giving the thumbs down to the power-sharing arrangement between the central and regional administrations. The barrage of criticism against this new arrangement came to a head when Minister of Home Affairs and Regional Autonomy Surjadi Soedirdja announced on Tuesday that the government and the House of Representatives would review the 1999 law upon which the regional autonomy policy is based.

While the legislation may have its shortcomings, the decision to revise it, without bothering to consult the regions, could be construed as an attempt by the government to backtrack on its commitment to devolve power to the regions. Surjadi's disclosure is consistent with earlier statements by Jakarta officials decrying regional autonomy as a bureaucratic nightmare. Vice President Megawati Soekarnoputri, for example, has stated that most regions are not ready to assume greater power and responsibility. Given the mutual suspicion between the central and regional administrations, such a statement looks more like a prelude for Jakarta to try to repossess power from the regions.

Prior to Surjadi's announcement, there had been other measures that underlined the government's half-hearted approach to the regional autonomy policy. It is the central government, and not the regions, which is not yet ready to share political power and economic resources with administrators in the regions.

The mining sector, for example, was exempted at the last minute from the regional autonomy arrangements. The central government still retains the right to award lucrative mining contracts and set the terms, including how the profits and royalties or fees should be shared out. Similar plans are now being broached for the forestry sector, another big money- spinning industry. Jakarta has recently ruled that regional administrations cannot take out loans without its approval.

Indications that the regional autonomy policy was heading for trouble came early in its implementation when the architect of the legislation, Ryaas Rasjid, tendered his resignation from the Cabinet as state minister for state administrative reform, citing differences with President Abdurrahman Wahid on the regional autonomy policy.

Jakarta's efforts to try to wrest back some of the lost power and resources from the regions include a smear campaign suggesting that the corruption, nepotism and collusion which hitherto had been concentrated in the capital, have now shifted to the regions. They may be right up to a point, but what is unacceptable about this view is the generalization that all regional administrators are corrupt. Such an accusation can only come from persons who themselves have such a corrupt mentality that they feel every one else is also on the take.

Nobody expected the transition from a heavily centralized to a decentralized system of government to be smooth. This is, after all, a drastic step for Indonesia which has been ruled, mostly with an iron fist, by rulers in Jakarta. With just over a year of preparation, there were bound to be teething problems when the regional autonomy law came into force at the start of 2001.

Some regional administrations are indeed less prepared and equipped to deal with the change. Financially, many regions will still have to rely on central government subsidies for many years to come. The central government too has to adapt. It has lost some of its traditional sources of revenue, with the regions taking control over some, but not all, of the economic resources in their respective patches. In a desperate attempt to balance its budget, the central government has resorted to drastic fiscal policies, including the taxing of agricultural products and the slapping of more tax on savings, a process which will culminate in April with an increase in domestic fuel prices amounting to a hefty 20 percent.

But it is one thing to treat these emerging difficulties as teething problems that will be ironed out over time, and another thing completely to use this to dismiss regional autonomy as unworkable and deprive people in the regions of their rights.

Backtracking on regional autonomy would spell doom for Indonesia because many of the current problems facing the nation are the legacy of more than 50 years of heavily centralized administration. The threats of disintegration have emerged largely because of regional discontent which can only be placated by giving the regions more say and power in the nation's political process.

The regional autonomy law is but a first step in the right direction to put the relationship between Jakarta and the rest of the country on a stronger and more equal footing. While the government fine-tunes the regional autonomy law, the People's Consultative Assembly should consider amending the Constitution to formally recognize the rights and obligations of the regions vis-a-vis the central government.

Regional autonomy is a must for the sake of the unity of the nation. Its success is probably also the last and only chance we will ever have of keeping this nation we call Indonesia together. If there are problems at the beginning, let's fine-tune the law by all means. But never let us backtrack on our commitment.