Federalism in India after the 2024 General Election
Kartavya Desk Staff
- •Syllabus: Centre-State Relations*
- •Source: TH*
Context: The aftermath of the 2024 general election in India has brought to light a significant shift towards increased democratization, with regional parties gaining substantial representation in Parliament. This development is expected to bolster federalism in India.
What is Federalism?
Federalism is a system of government that combines a central or “federal” government with regional governments within a single political framework, distributing powers between them. In India, the Constitution outlines the structure of governance, delineating the relationship between the federal government and state governments. Legislative, administrative, and executive powers are divided between the Union government and the states through the Union List, State List, and Concurrent List.
Features of Indian Federalism:
• Multilevel Government: Federalism entails the existence of two or more tiers of government, typically a central or federal government and regional or state governments.
• Separate Jurisdiction: Each level of government possesses its own authority and autonomy in areas such as legislation, taxation, and administration, even though they govern the same populace.
• Constitutional Specification: The powers and functions of each tier of government are clearly delineated and safeguarded by the Constitution, ensuring a balance of authority.
• Dispute Resolution Mechanism: The Supreme Court is vested with the authority to adjudicate disputes arising between state governments, providing a mechanism for resolving conflicts within the federal structure.
What does the 2024 Election result mean for Indian federalism?
• Increase in regional party representation in Parliament.
• Diverse composition in ruling coalition and opposition.
• Potential for more inclusive governance.
• Voter preference for addressing local issues
• The challenge to traditional dominance of central parties.
• Concerns over central policies undermining state autonomy.
• Tensions over resource allocation and political rhetoric during the campaign.
Challenges to Centre-State Relations:
Challenges | Examples
State border disputes | Assam-Meghalaya, Assam-Mizoram disputes
Interference in state matters | Government of NCT of Delhi (GNCTD) Act, Agriculture laws, 2020
Alleged use of autonomous agencies against Opposition-led states | Enforcement Directorate raids
Governors sitting over state bills | Tamil Nadu, Telangana Governors pulled by Supreme Court
Resource Allocation Complaints | Kerala’s complaints on resource transfer, Karnataka’s drought relief concerns, West Bengal’s MGNREGS funds
Legal Disputes | Rise in legal disputes between states and Centre, as highlighted by Supreme Court
Bias in Finance Commissions | States argue for fair allocation, citing bias towards the Centre in Finance Commissions
Disparities | Richer states like Mumbai contribute significantly to national taxes but receive a smaller share, leading to development disparities. Poorer states require more resources for development, and while the Finance Commission aims for fair distribution, historical disparities remain.
The concept of cooperative federalism:
It implies a system of governance where central and state governments collaborate and work together to achieve common goals, respecting each other’s constitutional boundaries.
Constitutional Boundaries between Centre and States:
• Division of Powers: The Constitution of India divides powers between the Union and state governments through three lists in the Seventh Schedule: Union, state and concurrent lists.
• The doctrine of Pith and Substance: This doctrine is used by courts to determine under which list a particular legislation falls. If the core subject matter of legislation falls within a list assigned to one level of government, the law is deemed valid even if it incidentally encroaches on a subject in another list.
Some examples to illustrate the spirit of cooperative federalism:
• GST Council: The GST Council, which includes representatives from both the central and state governments, is tasked with making decisions on tax rates, exemptions, and the implementation of GST. This collaborative framework ensures that both levels of government have a say in the tax policy, balancing regional interests with national priorities.
• Disaster Management: In the event of natural disasters, such as floods, earthquakes, or pandemics, the central government often works closely with state governments. For instance, during the COVID-19 pandemic, the Centre issued guidelines and provided resources, but states had the flexibility to adapt these guidelines to their local contexts. This allowed for a more tailored response, accommodating the diverse conditions across states.
• National Education Policy (NEP) 2020: While the policy outlines broad national objectives, it allows states to customise and implement reforms according to their specific needs and contexts.
• River Water Disputes: The Inter-State River Water Disputes Act allows the central government to set up tribunals to adjudicate disputes, but the implementation of tribunal awards requires cooperation from the states involved. For instance, the resolution of the Cauvery water dispute involved extensive consultations and compliance from both Karnataka and Tamil Nadu, overseen by the central government.
• Niti Aayog: NITI Aayog acts as the quintessential platform for the Government of India by bringing States together as ‘Team India’ to work towards the national development agenda.
Strengthening Federalism:
• Strengthening of Inter-State Council: Over the years multiple committees have recommended strengthening of the Interstate Council where the concurrent list subjects can be debated and discussed, balancing Centre state powers.
• Democratic Decentralisation of administration and strengthening governments at all levels in true spirit. Power should be decentralised based on the principle of subsidiarity.
• Increase Resource Devolution: Raising the current 41% resource devolution from the Centre to the States can empower states, enabling more localized governance.
• Fair Finance Commission Practices: The Sixteenth Finance Commission should strive for equitable treatment of all states, reducing friction and promoting fairer resource distribution, especially benefiting poorer states to address inequality.
• Enhance State Autonomy: By diminishing the central government’s control in programs such as the Public Distribution System and MGNREGS, states can affirm their constitutional roles as equal partners in governance, preventing central dominance over state initiatives.
Conclusion:
For the central government to exercise its powers within constitutional boundaries in the spirit of cooperative federalism, it must engage in continuous dialogue, respect the autonomy of states, and ensure that policies and decisions are made collaboratively. This approach not only strengthens the federal structure but also promotes a more inclusive and responsive governance system.
Insta Links:
• Federal system of India- federalism with tilt towards centre
Mains Links:
Though the federal principle is dominant in our constitution and that principle is one of its basic features, but it is equally true that federalism under the Indian Constitution leans in favour of a strong Center, a feature that militates against the concept of strong federalism. Discuss. (UPSC 2014)
Prelims Links:
Which one of the following is not a feature of Indian federalism? (UPSC 2017)
(a) There is an independent judiciary in India. (b) Powers have been clearly divided between the Centre and the States. (c) The federating units have been given unequal representation in the Rajya Sabha. (d) It is the result of an agreement among the federating units.
Ans: (d)
Local self-government can be best explained as an exercise in (USPC 2017)
(a) Federalism (b) Democratic decentralization (c) Administrative delegation (d) Direct democracy
Ans: (b)