An independent Republic of Indonesia, comprising Java, Sumatra and Madura, led by Dr Sukarno, was declared on 17 August 1945, in the closing stages of World War 2. 

Allied forces reoccupied the Netherlands East Indies in September/October 1945 and attempts were made to restore the colonial administration by force. Pressure from the allied governments associated in SEAC (South East Asia Command) and AFNEI (Allied Forces, Netherlands East Indies) kept negotiations going between the Netherlands East Indies (NEI) government, the Republicans and various nationalist groups through 1945-1946. These resulted in the Linggadjati Agreements of November 1946 which provided for the establishment, from the beginning of 1949, of a United States of Indonesia, comprising a Federation of partly autonomous states, including the Republican Government based in Djakarta, under the Dutch Crown.

Australia had appointed a political representative at AFNEI (CA 2742) in November 1945 to assess the situation and the Republican leadership and to report on the strength of nationalist feeling in the country. When allied forces were withdrawn towards the end of 1946, the NEI Government advised that the political representative was no longer recognised and Australia was obliged to appoint a consul general (CA 2743) who was accredited on 12 February 1947.

Difficulties arose in implementing the agreement and, in July 1947, Netherlands forces moved against areas controlled by the Republican Government of Indonesia. B C Ballard, as Australian Political Representative from August 1946, had earlier been directed by Evatt to establish informal relations with the Indonesians and even to act as a de facto Australian representative to the Republican Government in Djakarta. In response to a request by the Republican Government, and despite opposition from other western governments, Australia, on 30 July, referred the issue to the UN Security Council as a breach of the peace under Article 39 of the UN Charter - the first time this article was invoked. A Security Council resolution of 4 August 1947 - the first such resolution to be made - called upon both parties to cease hostilities.

The formation of a Three Power Commission or Committee of Three, was agreed to ensure observance of the ceasefire and to assist in negotiations between the disputing parties. It comprised one member government of the Security Council nominated by each of the disputing parties and one nominated by the Council. On 8 September 1947,  Australia accepted the Republic of Indonesia's request to be its nominee on the Committee and on 24 September 1947, announced Mr Justice (later Sir Richard) Kirby as its official representative. Kirby had been in Batavia in mid 1946 investigating the recent murder of three Australians, when he found himself a defacto Australian representative and succeeded in establishing good relations with Republican leaders. The other members of the body, known as the 'Committee of Good Offices', were from Belgium, nominated by the Netherlands and the United States.

The Committee had its first informal meeting in New York on 9 October 1947 (without Kirby) and shortly afterwards set up its headquarters in the Science Building, Gloucester Street, Sydney. They travelled to the NEI on 27 October 1947 to observe conditions on the ground and then remained in Batavia. T K Critchley took up duty as Australian Representative (Head of the Australian Delegation) to the Committee of Good Offices on 26 October 1947, remaining until 28 November 1950. He also, from time to time, deputised for Kirby as Australian Representative on the Committee. His successor, T W Cutts, served as Deputy Representative from 3 May 1948 to 1 August 1949 and as Representative from 15 July 1950 to 8 February 1951. His Deputy was 
W B Pritchett, who served in Batavia from December 1947 to August 1950. The last Australian Representative, H Gilgrist, served in Jakarta from July 1950 to December 1952 and was Chairman of UNCI when it adjourned in November 1952.

In the period between the ceasefire resolution and the Committee's taking up its duties, the Security Council established a Consular Commission in Batavia, comprising representatives of Australia, Belgium, China, France, US and UK which was to report on the observance of the ceasefire by both sides. The Consular Commission, which controlled the military observers provided by those governments, reported formally to the Security Council on 14 October 1947. The Security Council resolution of 1 November 1947 requested the Commission to assist the Committee of Good Offices and to place the military observers at its disposal.

Military observers were under the operational control of the Military Executive Board, which comprised the senior military assistants of Committee member governments and answered both to the Committee and to its Security Committee. Their functions, as outlined in a Directive of March 1948, were to observe the implementation of the Truce Agreement of 17 January 1948, assist local commanders in the field and report on incidents, etc to the Board. Teams were maintained along the 'Status Quo' line, which delineated the territory held by each side and there were also liaison officers stationed in major centres such as Djakarta and Bukittinggi.

The Committee operated as a mediator between the disputing parties by means of a series of conferences, which allowed discussions between the representatives of the Netherlands Government and the Republic of Indonesia. It also established separate committees to deal with political, security, economic and social matters. 

The work of the Committee was threatened in December 1948 by another Security Council resolution requesting the Consular Commission to report on the deteriorating situation. This was interpreted by the Netherlands advisers as cancelling the Committee's instructions. The ensuing dispute over the functions of the two bodies, including jurisdiction over the military observers, was eventually resolved by a new resolution on 28 January 1949 which created the UN Commission on Indonesia (UNCI).

UNCI continued the Committee's role of mediator, establishing in January 1950, a Contact Committee to assist discussion and negotiation between the disputing parties. As well as controlling the military observers, it played a role in maintaining or restoring local administration, trade and financial services. 

The transfer of sovereignty by the Netherlands to the Republic of the United States of Indonesia took place on 27 December 1949. 
Dr Sukarno, the Republican leader, was elected President. Unrest and instability in some areas, including a rebellion in the South Moluccas, required the attention of UNCI during 1950. Difficulties were also experienced in dissolving and reorganising the various armed forces. By May 1950, all the separate states of the federation had been dissolved and a unitary Republic of Indonesia was proclaimed on 17 August 1950. UNCI activities continued in to 1950, with a scaling down of the numbers of military observers. 

According to H Gilchrist, UNCI was never formally dissolved.
Historical agency address
Hotel des Indes, Batavia/Jakarta