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Institutional Collective Action of Fragmented Local Governments within Metropolitan Region-In search of Effective Governance for Jakarta Metropolitan Region

Principal researcher

Taufiq Hidayat Putra

Type of research



Prof. Johan Woltjer

Prof. Tommy Firman (Bandung Institute of Technology, Indonesia).


In setting of polycentric urban system with fragmented local governments, it is challenging to find how to provide and produce certain public goods and services that cross boundary or over jurisdiction among them. Fragmented local governments may efficient to provide and produce those within their jurisdiction (Neiman, 1976, Lowery, Lyons and DeHoog 1995; Teske et al 1995, in Feiock, 2005), but they incompetent and incapable to address negative spillover impacts (Rusk 1995; Downs 1994 in Feiock, 2005).

Institutional Collective Action (ICA) gives a framework to understand on how local government officials perceive and weigh the various cost and benefit of collaboration among local governments. This framework also gives identification of the important barrier of local governments to collaborate: transaction cost and risk (Richard Feiock).

Minimizing transaction cost and risk are consideration to enhance inter-local cooperation. Effective inter-local cooperation will contribute to reach effective governance within region in order to provide and produce regional services and public good that fit with citizen’s demand.

To understand deeply on collaboration among local governments, a qualitative method will be applied and the case study will be conducted. This project will explore inter-local cooperation among fragmented local governments within Jakarta Metropolitan Region (JMR), Indonesia, to solve regional problems effectively. Traffic jam and flood as regional problems in JMR are entry points to be studied. Although central government encourages inter-local cooperation through regulation and policy (top-down approach), empirically it was not sufficient to generate effective inter-local cooperation. This research proposes citizen voice, commuters interest as bottom-up approach, to enhance inter-local cooperation. The role of commuters to reduce transaction cost for inter-local cooperation will be examined.
Last modified:03 March 2014 2.31 p.m.