No. 3/2024: When petroleum revenue transparency policy meets citizen engagement reality : Survey evidence from Indonesia

Abstract

Transparency in natural resource revenue (NRR) management is crucial in theory to avoid misuse and corruption, but there is little evidence that information reaches citizens and engages them in revenue governance. We collect survey data from Bojonegoro in Indonesia, which has a strong transparency and accountability policy in petroleum revenue governance. We investigate who receives information and what shapes attitudes and behavior regarding NRR management. We find that respondents are poorly informed about NRR management, concerned about the environmental consequences of resource extraction, but have rarely made their voice heard. Their preferred way of being informed about the issue is through fellow citizens or the internet. Our empirical analysis shows that proximity to an extraction site and interest in environmental issues and politics influence attitudes; greater interest in politics and belief in individual citizens’ ability to influence policy also increase the likelihood of self-declared past and future action for better NRR management. Finally, self-declared past – though not intended future – action is linked to receiving information on petroleum management. Engaging intrinsically motivated people in more active resource governance through clear information and pathways for action could eventually make the issue relevant to a wider share of the population.