2.3 Rethinking decentralisation from an empowerment perspective
Traditionally, decentralisation is generally framed as a public sector reform process intended to transfer responsibilities, resources and general authority from higher levels to lower (largely passive) levels of government. This focus reflects the central concerns of fiscal federalism with the optimum distribution of functions and resources across levels of government, and has framed the mainstream international debate on decentralisation — as well as the provision of external policy and technical advice to developing countries — over most of the last three decades.
Three basic functional dimensions of decentralisation are generally distinguished in considering a downward reallocation of authority:
Administrative
decentralisation
comprises the systems, processes and policies that transfer administration of public functions to sub-national governments
Fiscal
decentralisation
refers to the formal assignment of expenditure functions and revenues (intergovernmental transfers and own tax and non-tax sources) to LAs
Political
decentralisation
is the set of provisions designed to devolve political authority to LAs and enhance their accountability to the residents of their jurisdictions
In effect, political decentralisation adds democratisation to the more technical mechanisms of administrative and fiscal decentralisation
Linked to this, three basic forms of decentralisation can prevail in a given country, involving:
Devolution |
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implies that (semi-) independent and typically elected LAs are legally responsible for specific functions and empowered to receive or raise certain revenues. Genuine devolution also gives LAs a general mandate to develop their territories and promote citizen well-being |
Deconcentration |
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refers to decentralising central agencies and adoption arrangements by which local actors perform functions as central agents. These actors may have the authority to make some independent decisions, but usually within central guidelines and subject to considerable central control/oversight |
Delegation |
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involves arrangements with local (governmental or non-governmental) entities to deliver services that are formally central government responsibilities. Specific arrangements vary, but the entity always acts on behalf of the centre |
Recently, a more comprehensive definition has been advanced:
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Decentralisation is a broader, and essentially political, process of empowerment of people (over the public sector) through the empowerment of their LAs. |
This broader definition has major consequences from a policymaking point of view.
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LAs empowerment should not be seen as an end in itself, but as a means for empowering people over the delivery of public services and local development at large.
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LAs empowerment cannot be limited to a greater role in direct provision of public services. Rather, it should also encompass their ability to influence and cooperate with other public sector actors operating in the locality.
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Because decentralisation is about people’s empowerment, its success depends on local governance mechanisms that enable people to effectively interact with their own LA.
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