Regional autonomy revisited

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.