Passing on the challenges or prescribing better management of diversity? Decentralisation, power sharing and conflict dynamics in Central Sulawesi, Indonesia

Using the case of conflict-affected Central Sulawesi in democratising Indonesia, this paper argues that decentralisation has had both positive and negative indirect impacts on conflict dynamics. First, it has allowed for the direct election of regional heads. This has changed the nature of local politics, which has heightened local tensions through competition for power at the district level. However, this has so far been peacefully managed. Second, decentralisation has to some extent achieved its aim of greater involvement of the local populace in decision making, alleviating the long-standing grievances they have had with authoritarian rule, resource extraction, and regent appointments from outside the region and the island. Third, it has changed population demographics by redrawing administrative boundaries. In the research districts, this has resulted in greater ethno-religious segregation. It has also changed the boundaries around the voting populace, which tends to play into conflict tensions wherever such boundaries reinforce sensitive identity cleavages. Fourth, carving out new regions with decentralisation has created new district legislatures and executives, further fuelling competition for these fiercely sought-after positions and the associated political power in the new districts, as well as inter-group competition for the resources in the ‘new’ regions. However, this has simultaneously reduced competitive pressures in the ‘mother’ regions, in particular in Poso, one of the regions severely affected by communal violence, which was partially linked to elite politics. While the demographic, structural, and institutional changes stimulated by decentralisation will not necessarily lead to violent conflict, they do interact with or potentially stimulate local tensions. Felt grievances, perceptions of inequalities, elite competition and claims to minority rights are just some of the contentious issues, which can interact with decentralisation policies, as they do with national level politics. Managing these tensions is imperative for ensuring that the benefits of decentralisation reach local communities.