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In this article I analyze the extent and causes of party system fragmentation in Indonesia’s provincial and district parliaments. Focusing on the results of the first three post-Suharto elections in 1999, 2004, and 2009, I first highlight that local-level fragmentation is not only generally higher than national-level fragmentation but also that it has consistently increased over the three elections and that fragmentation has been particularly high in Eastern Indonesia. I then explain these three trends as a result of three main factors: First, electoral institutions applied between 1999 and 2009 facilitated fragmentation and poor party system institutionalization, mainly due to the introduction of an open list system in 2009 and the absence of a parliamentary threshold at the local level. Second, low levels of party institutionalization progressively individualized local party politics and made it normal for candidates to switch to smaller parties if it suited their interests, thereby exacerbating fragmentation. Third, electoral campaigning for local parliaments has been dominated by traditional methods based on personal relationships and networks rather than lavish public relations campaigns with expensive TV ads, further reinforcing the effects of the first two factors.