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**NITI Aayog** (National Institution for Transforming India) was established on **1 January 2015** by an executive resolution of the Union Cabinet, replacing the erstwhile Planning Commission. Like the Planning Commission, it was created by executive resolution — it is **neither a constitutional body nor a statutory body**. It is a non-constitutional, non-statutory (extra-constitutional) body. NITI Aayog is the premier policy think tank of the Government of India. Key shift from Planning Commission: from **centre-to-state one-way flow** to **genuine cooperative federalism** and partnership with states; from "top-down" to "bottom-up" approach; from "command and control" to collaborative. **Composition:** - **Chairperson:** Prime Minister of India - **Governing Council:** Chief Ministers of all states + Chief Ministers of UTs with legislatures (Delhi, Puducherry, J&K) + Lt. Governors of other UTs - **Regional Councils:** Formed for specific issues affecting multiple states; convened by PM; chaired by NITI Aayog Chairperson or nominee - **Special Invitees:** Experts nominated by PM - **Full-time framework:** - Vice-Chairperson: appointed by PM; rank of Cabinet Minister - Full-time Members: rank of Minister of State - Part-time Members: maximum 2; from universities/research organisations; on rotation - Ex-Officio Members: maximum 4 Union Cabinet Ministers nominated by PM - Chief Executive Officer (CEO): appointed by PM for fixed tenure; rank of Secretary to Government of India - Secretariat **Specialised Wings:** 1. Research Wing — in-house domain expertise 2. Consultancy Wing — marketplace of vetted expertise; matches requirements with solution providers 3. Team India Wing — representatives from every state and ministry; platform for national collaboration **Key Objectives:** Evolve shared national vision with states; foster cooperative federalism; formulate credible plans at village level; ensure national security considerations in economic strategy; design long-term policy frameworks; provide advice and encourage partnerships; offer platform for inter-sectoral issue resolution; maintain state-of-the-art resource centre. **Functions classified under four heads:** 1. Design policy and programme framework 2. Foster cooperative federalism 3. Monitoring and evaluation 4. Think-tank and Knowledge & Innovation Hub **Attached Offices:** 1. **NILERD** (National Institute of Labour Economics Research and Development) — formerly IAMR (Institute of Applied Manpower Research, established 1962); renamed 2014; campus at Narela 2. **DMEO** (Development Monitoring and Evaluation Office) — established 2015 by merging Programme Evaluation Organization (1952) and Independent Evaluation Office **Erstwhile Planning Commission:** - Created March 1950 by executive resolution; also neither constitutional nor statutory - Functions: assess resources, formulate Five-Year Plans, determine priorities, monitor execution - PM as Chairman; Deputy Chairman as de facto head (rank of Cabinet Minister); finance minister and planning minister as ex-officio members - Described as "Super Cabinet," "Economic Cabinet," "Parallel Cabinet," "Fifth Wheel of the Coach" - Key criticism: by K. Santhanam ("Planning has superseded the federation"), Administrative Reforms Commission, and P.V. Rajamannar (overlapping with Finance Commission) - **Role in Centre-state fiscal relations was undermined until 2014**, due to overlapping functions and responsibilities with the Finance Commission — a constitutional body tasked with balancing fiscal federalism. The replacement of the Planning Commission by NITI Aayog in 2015 addressed this institutional overlap. **National Development Council (NDC):** - Established August 1952 by executive resolution; neither constitutional nor statutory - Composition: PM (chairman), all Union Cabinet Ministers (since 1967), Chief Ministers of all states and UTs, members of Planning Commission/NITI Aayog - Functions: prescribe guidelines for national plan, consider plan, review working of plan - Highest body below Parliament for policy on planning - Last (57th) meeting: 27 December 2012 (approved 12th Plan) - Recommended by Sarkaria Commission for constitutional status under Article 263; not implemented - Modi government reportedly planned to abolish NDC and transfer powers to NITI Aayog Governing Council (as of October 2019, no formal resolution passed)