In many countries, policies of decentralisation and increased autonomy of local governments are being implemented. Local governments are expected to take decisions on many issues themselves using new or reformed local organizations and information processes. Often, however, information-based decisions - pre-requisite for good local governance - are not taken because the information was either not available, could not be released, or was not used. This article takes a closer look at why the processes of information production, dissemination and exchange are not sufficiently effective at local level. It is using a single case study of a local government in Bekasi in Indonesia. Following the case study theory of Yin (2003), this single case study was selected because Bekasi represents a typical local government in a developing country with many information problems. It is a satellite city and region in a rapidly urbanizing and industrializing area in a country which is forced to reform its institutional structures at all levels and in all sectors. Especially in such an environment one would expect a lot of benefit for local governments from structural spatial information production, use, dissemination and exchange. Yet, available maps are not used, and base maps for the local territory hardly exist. The objective of the study was therefore to find out why that situation exists. Because at first a better understanding was considered necessary what aspects or dimensions are relevant for information-based local governance, the analysis of findings was largely interpretative. The findings show that: 1. The institutional reform relevant for spatial information has focused too much on organizational structures, and too little on functionality and purpose of spatial information. Local governments require functional structures which might be beyond the boundaries of the local territory and authority, yet independent from vertical or national institutions. 2. Frequent and unsynchronized rotation of public employees at local level is leading to underutilization of human capacity and informal human networks in the local public sector. Horizontal, trans-horizontal and trans-vertical management of human resources and knowledge will be necessary.