Start by preparing the spice paste. In a food processor, combine the shallots, ginger, garlic, galangal, and dried chilies. Blend until you achieve a smooth paste. The smoother the paste, the better it will mix with the chicken later on.
In a large skillet, heat the cooking oil over medium heat. Once hot, add the spice paste along with the cinnamon stick, cloves, star anise, and cardamom pods. Stir-fry the mixture for several minutes until it becomes aromatic.
Add the cubed chicken and the prepared lemongrass to the skillet. Stir well to ensure the chicken is evenly coated with the spiced oil, enhancing its flavor.
Next, pour in the coconut milk and water. Stir the mixture gently and bring it to a simmer. This will help the chicken cook evenly and absorb all those delicious spices.
As the dish simmers, keep an eye on it and stir occasionally. You want the chicken to become tender while soaking up the spices. This should take around 15 to 20 minutes.
Once the chicken is nearly cooked, add the kaffir lime leaves, toasted grated coconut, and sugar. Stir everything together and taste to adjust the seasoning with salt as needed.
Lower the heat to a gentle simmer. Cover the skillet with a lid and cook for an additional 30 minutes. This slow cooking process allows the flavors to meld beautifully and the chicken to become tender.
After 30 minutes, remove the lid and check the consistency. At this point, the sauce should be thickened and the chicken must be fork-tender. If it looks too watery, you can cook it uncovered for a few more minutes.
Finally, give it a taste and adjust the seasoning again if necessary, adding more sugar or salt. Serve hot and enjoy the scrumptious flavors of your homemade Chicken Rendang!
