However, a right to suspend all ordinances passed by East Indian organs when judged in conflict with the Constitution, the law or the general interest, was granted to the Crown, while the States General received on the same grounds the right of vetoing East Indian ordinances. Though Parliament retained also the right to legislate on subjects regarding the internal affairs of the overseas territories, it must first consult the representative body of the region concerned. Following this revision of the Netherlands Constitution, in 1925 the East Indian Government Act was likewise revised.
The ‘Volksraad’ became a co-legislative body, obtaining the right to initiate legislation as well as the right of interpellation, its membership being enlarged to 61, including the chairman appointed by the Crown. In conformity with an act of 1929 the 60 ordinary members were distributed as follows: 30 Indonesian members, 25 Netherlanders, and 5 non-native Asiatics, of whom generally 4 were Chinese and 1 an Arabian; 20 of the Indonesians, 15 of the Dutch and 3 of the non-native Asiatic members were to be elected. As a correction to the franchise, in order to give a voice to minority groups, the remaining members were to be appointed by the Governor General upon consultation with the Council of the Indies.
The Crown was given the power of legislation in case of deadlocks between the Governor General and the People's Council (Volksraad). Primary control over the budget has been shifted from Holland to the Indies, and is now in the hands of the Governor General and the ‘Volksraad,’ whereas the States General retained secondary control over the East Indian budget.
Between 1926-1930 new administrative reforms in Java enlarged the task of the Indonesian officers of the internal administration, giving them a more independent position, while in the same period, new democratic institutions were created in Java in the form of regency councils and provincial councils, to which a part of the task of the central government (irrigation, agricultural enlightenment, roads and bridges, later on health and education) was entrusted. These reforms were followed by similar measures in the outer provinces in 1938, resulting, among other things, in the creation of so-called group-communities (Minangkabau and Bandjar).
In the meantime it became more and more apparent from the discussions in the Volksraad, that there was a strong desire for new constitutional reforms, the general trend of which was complete administrative and legislative autonomy for the N.E.I., while at the same time, the creation was suggested of an imperial council composed of representatives from the four parts of the Kingdom ultimately to be endowed with legislative power for imperial affairs with an imperial ministry responsible to it. The Governor General would then no longer be an official of the Netherlands proper but of the Kingdom as a whole. Many of these and other wishes may be realized in the creation of the new post-war Netherlands ‘Commonwealth’ as recently outlined by Queen Wilhelmina.