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Decentralization/Federalism: MoU between the Government of the Republic of Indonesia and the Free Aceh Movement

Implementations

Decentralization/Federalism – 2005

Consultation on the drafting of an autonomy bill started in mid-September. The Provincial legislature had formed an 18 member special committee to further refine the draft bill, which was expected to be submitted to the Indonesian parliament in late 2005.¹

“Controversy over drafting of constitution for Indonesia’ Aceh continues,” BBC Monitoring Asia Pacific, December 22, 2005.

Decentralization/Federalism – 2006

The draft bill was submitted to the parliament in January² and the bill was passed by the parliament on 11 June.³ Under the new law, Aceh would enjoy greater self-governing powers.⁴

Aceh law has provisions for the economy of Aceh in terms of basic principle (Article 158) and the direction of the economy (Article 159). The law also provides autonomy on investment and trade (Article 163-167) including the establishment of the Sabang Free Trade and Free Port Zone and economic infrastructure.

The law gives Aceh its own executive, legislative and judiciary.

By signing presidential instruction (Inpres 15/2005) on 17 November 2005, representation of GAM in BRR, as provided in the Memorandum of Understanding, was formalized.⁵

“Indonesia submits draft law on Aceh to parliament,” Agence France Presse, January 27, 2006.
‘Indonesian media reacts to passing of Aceh governance law,” BBC Monitoring, July 12, 2006.
“Keesing’s Record of World Events,” Indonesia 52 (July, 2006).
“Office of the United Nations Recovery Coordinator For Aceh And Nias,”Humanitarian and Recovery Update — Aceh & Nias,” November 16 -December 15, 2005.