Mon, 30 Aug 2004

Regions asked to consult Jakarta on bylaws

Kurniawan Hari, The Jakarta Post/Jakarta

Lawmakers deliberating revisions to Law No. 22/1999 on regional government have agreed to require all regional administrations to consult the central government before issuing a bylaw to avoid inconsistency with existing laws and regulations.

"We are trying to regulate relations between the central government and regional administrations. This is not what critics are claiming to be an attempt at recentralization," Zain Badjeber of the United Development Party (PPP) told The Jakarta Post on Sunday.

Law No. 22/1999 and Law No. 25/1999 on fiscal balance between regional administrations and the central governments are also known as the Autonomy Laws.

Since the Autonomy Law was introduced in 2001, some regional administrations had issued bylaws which members of the Indonesian Chambers of Commerce and Industry (Kadin) say hamper investments at the regional level.

According to Zain, a regental administration has to consult the provincial administration, which in turn consults the Ministry of Home Affairs before issuing a bylaw.

He did not make it clear, however, if approval from the central government was necessary to issue bylaws by regional administrations.

While consulting the central government would reduce the possibility of issuing contradictory regulations, the stipulation is likely to toughen the central government's grip on regional administrations, whose heads have repeatedly been accused of acting as kings.

A study by the Regional Autonomy Watch (KPPOD) into 1,200 bylaws revealed that 30 percent of them either contradicted one other or contravened the laws or regulations issued by the central government.

For example, the residents in West Sumatra had to spend more for local tax following the endorsement of a bylaw in 2002 by the local administration which was desperately looking for sources of income for the province.

The Lampung administration had also issued a bylaw to officially impose a tax on every commodity exported to other provinces in the country.

In some cases, bylaws or policies of a local administration contradict those of neighboring administrations, causing disputes among the regions.

Many of the bylaws have been issued only to justify more taxes, causing a high cost economy and deterring investment.

This phenomenon took place following the implementation of the regional autonomy in January 2001.

The Asia Foundation revealed earlier this year that despite progress over the past three years, the implementation of regional autonomy in some parts of the country has not brought the benefits that had originally been hoped for.

The foundation noticed improved popular participation in the decision-making process, which encouraged democratization at the local level.

Legislator Zain also said that legislators had agreed to adopt direct elections for governors, mayors and regents.

Following the adoption of direct elections, Zain said, local legislative (DPRD) members would no longer have authority over the election of heads of regional administrations.

Consequently, he said, DPRD members could no longer reject the progress reports made by governors, mayors, or regents.

"There will be no impeachment. Violations by heads of regional administrations will be brought to court," said Zain, adding that he expected the revisions to be endorsed on Sept. 14.