Federalism

Federalism in India is an institutional mechanism to accommodate two sets of polities — one at the regional (State) level and one at the national level — each autonomous in its own sphere. Unlike some federal countries, India does not have a system of dual citizenship — there is only a single citizenship. The Constitution of India does not even use the word "federation." Article 1 describes India as "a Union of States." The Indian Constitution has created a strong central government, departing from classical federal theory in significant ways. The key reasons: India at independence needed to integrate more than 500 princely states, prevent disintegration, handle socio-economic problems (poverty, illiteracy, inequality), and ensure coordinated planning. **Provisions giving the Centre a stronger role involve an intricate interplay of legislative, administrative, and financial functions:** 1. Parliament can form a new State, alter boundaries of existing States, or change their names (subject to consulting the concerned State legislature). 2. Emergency provisions can turn the federal polity into a highly centralised system — Parliament can make laws on subjects in the State List during emergency. 3. Items generating revenue are largely under central control; States are mostly dependent on grants and financial assistance from the centre. 4. The Planning Commission (appointed by the Union government) controls and supervises resource management of States. 5. The Union government can give discretionary grants and loans to States — potentially used discriminatorily against States ruled by opposition parties. 6. The Governor can recommend dismissal of the State government and dissolution of the Assembly. The Governor can also reserve a bill passed by the State legislature for the President's assent, allowing the Centre to delay or veto State legislation. 7. If ratified by the Rajya Sabha, the central government can legislate on matters from the State List. 8. Article 257: The executive power of every State shall not impede or prejudice the exercise of the Union executive power; the Union can give directions to States. 9. All-India Services (IAS, IPS) are common to the entire territory — their officers are under the ultimate control of the central government; States cannot remove them. **Evolution of Centre-State Relations:** - 1950s–early 1960s: Congress dominance at centre and in most States; relatively smooth relations. - Mid-1960s onwards: Opposition parties came to power in several States; demands for greater autonomy emerged. - Post-1990s: Coalition era at the centre; greater say for States, more mature federalism. **Demands for Autonomy include:** (a) greater legislative powers for States; (b) financial autonomy (independent revenue sources); (c) administrative autonomy (control over administrative machinery); (d) cultural/linguistic autonomy (e.g., opposition to Hindi imposition). The Sarkaria Commission (appointed 1983, report 1988) examined centre-State relations and recommended that Governor appointments should be strictly non-partisan. **Centre-State Relations Structure:** The Constitution divides all powers (legislative, executive and financial) between the Centre and the states. The three dimensions of Centre-state relations are: (1) Legislative relations; (2) Administrative relations; and (3) Financial relations. There is no division of judicial power as the Constitution has established an integrated judicial system to enforce both Central laws as well as state laws. Though the Centre and the states are supreme in their respective fields, maximum harmony and coordination between them is essential for the effective operation of the federal system. **Inter-State Relations:** The successful functioning of the Indian federal system depends not only on harmonious Centre-state relations but also on cooperation between the states themselves. The Constitution provides four key mechanisms for inter-state comity: (1) adjudication of inter-state water disputes; (2) coordination through inter-state councils; (3) mutual recognition of public acts, records, and judicial proceedings; and (4) freedom of inter-state trade, commerce, and intercourse. In addition, Zonal Councils (statutory bodies established under the States Reorganisation Act of 1956) and the North-Eastern Council promote inter-state cooperation and coordination. **National Commission to Review the Working of the Constitution (NCRWC):** The NCRWC was established in 2000 to examine how the existing constitutional provisions could meet governance needs and socio-economic development requirements while maintaining parliamentary democracy and the 'basic structure' of the Constitution. Headed by M.N. Venkatachaliah (former Chief Justice of India), the 11-member Commission submitted its report in 2002. Among its eleven areas of study, Union-State relations was identified as a key focus area. The Commission's assessment of 50 years of constitutional working (1950–2000) identified both achievements (democratic stabilization, economic and social infrastructure development) and substantial failures (political decay due to electoral ineptness, economic inequality, social failures, administrative corruption, and judicial system delays), concluding that "the fifty years of the working of the Constitution is substantially a saga of missed opportunities." The Commission made 249 recommendations: 58 involving constitutional amendments, 86 requiring legislative measures, and 105 achievable through executive action.

Article 356 is described as one of the most controversial articles in the Constitution. It provides for President's Rule (also called Central Rule, State Emergency, or Constitutional Emergency) in any State when "a situation has arisen in which the Government of the State cannot be carried on in accordance with the provisions of this Constitution." When invoked, it results in the takeover of the State government by the Union government. **Procedure:** - The President issues a proclamation (usually on the Governor's recommendation, though the President can act even without the Governor's report). - The proclamation must be ratified by Parliament within two months. - President's Rule can be extended up to three years maximum (with parliamentary approval every six months). - The Governor has the power to recommend the dismissal of the State government and suspension or dissolution of the State Assembly. **History of misuse:** - Article 356 was used sparingly until 1967. - After 1967, many States had non-Congress governments while Congress was in power at the Centre. The Centre frequently used this provision to dismiss State governments or used the Governor's office to prevent majority parties/coalitions from forming government. - Notable instances: Kerala (1959) — State government dismissed even though it had a majority in the legislature. Several States after 1967 saw dismissals without testing legislative majority. - In the 1980s, elected governments in Andhra Pradesh and Jammu and Kashmir were removed by the central government. - In 1977, when the Janata Party came to power at the Centre after elections, it imposed President's Rule in nine Congress-ruled states on the ground that the assemblies no longer represented the wishes of the electorate. When Congress returned in 1980, it did the same in nine states. - In 1992, President's Rule was imposed in three BJP-ruled states (Madhya Pradesh, Himachal Pradesh and Rajasthan) on the ground that they were not implementing the ban on religious organisations. **Judicial check:** The Supreme Court has ruled that the constitutional validity of the decision to impose President's Rule can be examined by the judiciary. The S.R. Bommai case (1994) established that the President's satisfaction must be based on relevant material, and the court can examine whether the action was based on irrelevant, extraneous, or malafide grounds. This has provided some check on arbitrary use of Article 356. **Role of the Governor:** The Governor is not an elected officeholder. Many Governors have been retired military officers, civil servants, or politicians. The Governor is appointed by the central government, so actions of the Governor are often viewed as interference by the central government in State functioning. When different parties are in power at the Centre and in the State, the Governor's role becomes even more controversial. **Sarkaria Commission (1983, report 1988):** Examined centre-State relations and recommended that Governor appointments should be strictly non-partisan. The Commission was appointed because of the growing controversy over the use of Article 356. **Constitutional Evolution:** The 38th Amendment Act of 1975 made the President's satisfaction final and conclusive, but the 44th Amendment Act of 1978 deleted this provision, making it subject to judicial review and introducing safeguards against misuse.

Cooperative Federalism is a principle that emphasizes a collaborative approach between the Centre and State governments to achieve national objectives. It moves away from a "command and control" or "top-down" model, instead seeking a genuine and continuous partnership where states are empowered as equal partners in national development. The NITI Aayog was established with the explicit aim of operationalizing this principle, fostering cooperative federalism through structured support initiatives and mechanisms with the states. It involves a joint focus on the National Development Agenda by both the Centre and the States, along with the advocacy of State perspectives with Central Ministries. This approach ensures that states are equal stakeholders in the planning and policy-making process for national development.

A **federal government** divides powers between the national government and the regional governments by the Constitution itself; both operate in their respective jurisdictions independently. A **unitary government** vests all powers in the national government; regional governments derive authority from the national government. The term 'federation' is derived from the Latin word *foedus* meaning 'treaty' or 'agreement'. A federation is a new state formed through a treaty or agreement among various units. **Two ways a federation can form:** 1. **Integration:** Weak/small independent states come together to form a union (e.g., USA) 2. **Disintegration:** A big unitary state is converted into a federation by granting autonomy to provinces (e.g., Canada, India) **USA** is the first and oldest federation (1787, following the American Revolution 1775–83), comprising 50 states (originally 13). It is the model of federation. **Canadian Federation** comprising 10 provinces (originally 4 provinces) was formed in 1867. **India's federal system:** - Article 1 describes India as a 'Union of States' (NOT 'Federation of States') - Dr. B.R. Ambedkar: Phrase 'Union of States' preferred to indicate (i) Indian federation is NOT result of agreement among states (unlike American federation); (ii) states have NO right to secede. "The federation is union because it is indestructible." - Indian federal system is based on the **Canadian model** (NOT the American model) - Canadian model = very strong centre; formed by disintegration; uses term 'Union'; has centralising tendency - The framers adopted the federal system due to the large size of the country and its socio-cultural diversity, aiming for efficient governance and reconciling national unity with regional autonomy.