Unlike most people, I don't think MMOs are better off when the "players control everything!" Unlike what people may think, this doesn't lead to a realistic interactive world. Its still a world with no real consequences, so people will abuse power to the point of being ridiculous.
I don't think religion should play a huge part in a game unless its a central point of the game itself. Still, the undertones of religion are good and player-run religions give way to interesting conflict and interaction (but can also lead to severe real-world prejudice in the game).
Actually, our game is trying to create a healthy blend of politics and religion (both game driven and player driven). Wish us luck 2