Seriously speaking not all religious people are loonies. The laws that are unlocked by choosing the Religious party however make it seem like they are. 'Species stability' is unfair to the minor races. 'Admit and improve' is abuse of status. Don't even get me started on 'Saints and sinners'. The last law, 'Peace and prayer' is the worst of them all since it is nationalism and propaganda disguised as goodwill. What if I wanted to create a religious race who is devoted to truth and justice? The answer: I cannot.  

This is reflective of religious states, where government and religion are one. In history such organizations have done what these laws represent. These laws are more "realistic" in what we humans have experinced in our history rather than "what could be".

Did you look at the Vodyani society and the punishments which are described in their main-quest?

That's what a religious government in es2 looks like.

Deykhan wrote:

This is reflective of religious states, where government and religion are one. In history such organizations have done what these laws represent. These laws are more "realistic" in what we humans have experinced in our history rather than "what could be".

That is a great insight, and one that I have only just realized. One cannot be in charge of government and stick to religious idealism.

The more religius society is the more immoral it is. Look at any present or past theocracy. Look at how non-believers are underrepresented in prisons. 

Fear the believers - they've got a God that forgives them everything. 

Morality is, by definition, a product of the culture in which it exists. Why would we expect an alien culture to feature familiar mores?

Besides which, I don't think there's a single party or government in ES2 that doesn't boil down to "dystopian jerks" on a good day. Even the pacifists are just trying to brainwash you.

It's not only the religious party, a lot of laws are rather cynical regardless of the ideology. Although I think I understand why the devs did that (after all, politicians are rarely altruistic people), it can be quite annoting sometimes, especially when I want to play good guys and I end up a some Orwellian distopia anyway. 

I originally had the same reaction to the religious laws and factions. However, the laws in ES2 seem to be designed to emphasize the various facets of each political party to an extreme level as a way of progressing a society forward.

If we look at our own history, it isn't a reasoned, logical approach to any philosophy that drives us forward it's when one or more elements of ideology (be they political, religious, social, economic or otherwise) become radicalized in some form that society is forced to change and move forward (or backward). 

The laws in ES2 seem to reflect a radicalization of the major tenets of that political party/philosophy in an effort to promote this sort of change within your empire.