According to the 1945 Constitution there are six organs of the state:
- The People's Consultative Assembly (Majelis Permusyawaratan Rakyat).
- The Presidency.
- The House of Representatives (Dewan Perwakilan Rakyat).
- The Supreme Advisory Council (Dewan Pertimbangan Agung).
- The State Audit Board (Badan Pemeriksa Keuangan).
- The Supreme Court (Mahkamah Agung).
The 1945 Constitution states that the House of Representatives is the body of the State. The Government submits bills to the House for consideration and approval, but members of the House can initiate their own bills. Such bills must be accompanied by an explanatory memorandum, signed by at least 30 members, and submitted to the Speaker of the House. During the discussion of the proposed bill, the initiating members may make alterations or withdraw it.
If the House passes the bill, it will become law when it has obtained the signature of the President. By authority of the President, the Minister/State Secretary will publish the Act in the State Gazette of the Republic of Indonesia and henceforth the Act comes into force.
The structure and organization of local governments follow the pattern of the national government. On the national level, the President is the Chief Executive and works with a cabinet of ministers. Next to the national executive is the House of Representatives, with whom the government enacts laws and determines the national budget.
Similarly, the Governor is the Chief Executive in the province and works with a staff of regional officials. Side by side is the provincial legislative, with whom the regional government concurs on regional legislation and decisions on the budget.
On the district (Kabupaten) and municipal (Kotamadya) levels, the Chief Executives are respectively, the Bupati (district head) and Walikota kodya (mayor). Again, the Bupati/Walikota kodya concurs with the local legislative on matters relating to local government regulation and the budget. Both provincial and district municipality governments are granted autonomy.
Where the President is the Head of State, the Governor is the Head of the Province and concurrently represents the Central Government in his region. Similarly, the Bupati/Walikota kodya is the Head of the Kabupaten/kotamadya and concurrently represents the Governor in his district/municipality.
The procedure of appointing a governor is as follows: The provincial legislature elects two or three candidates. The election result is reported to the national government, via the Minister of Home Affairs. The winning candidate is then appointed Governor by the President on the recommendation of the Minister.
In a similar way, the Kabupaten/kotamadya legislature elects two or three candidates to be proposed to the Minister of Home Affairs. One of these then is appointed Bupati/Walikota kodya, by the Minister on the recommendation of the Governor.
Below the district municipal level the administrative units are not autonomous. These are the Kecamatan, or Sub-District Administrations and the Kelurahan, or the Village Administrations. The Kecamatan is an administrative sub-division of the Kabupaten or Kotamadya. It is headed by a Camat. The Kecamatan office is in charge of the administration of the sub-district, social welfare and economic affairs. Some national government departments have branches in the Kecamatan office.
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