UPSC MainsGENERAL-STUDIES-PAPER-II201412 Marks200 Words
Q2.

Federalism & Centre-State Relations in India

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 Centre, a feature that militates against the concept of strong federalism. Discuss.

How to Approach

This question requires a nuanced understanding of the Indian Constitution's federal structure. The approach should be to first define constitutional federalism and strong centralizing features. Then, analyze how the latter impacts the former, providing examples of legislative, financial, and administrative powers favoring the Centre. Finally, conclude with a balanced perspective acknowledging the necessity of a strong Centre while advocating for greater cooperative federalism. Structure: Introduction, Body (Centralizing Features - Legislative, Financial, Administrative), Impact on Federalism, Conclusion.

Model Answer

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Introduction

The Indian Constitution establishes a federal system, dividing powers between the Union and the States. However, unlike classical federal models like the USA, India’s federalism is often described as ‘quasi-federal’ or ‘cooperative federalism’ due to a distinct tilt towards a strong Centre. This stems from historical context – the need for national integration post-independence and addressing socio-economic disparities. While the basic structure doctrine, affirmed in *Kesavananda Bharati v. State of Kerala (1973)*, recognizes federalism as a core feature, the Constitution also incorporates provisions that empower the Union government significantly, leading to a debate on the true nature of Indian federalism.

Centralizing Features of the Indian Constitution

Despite the federal structure, several provisions demonstrate a leaning towards a strong Centre. These can be categorized into legislative, financial, and administrative aspects.

Legislative Centralization

  • Union List & Concurrent List: The Seventh Schedule grants exclusive legislative powers to the Union on subjects of national importance (Union List). The Concurrent List, while allowing both Union and State legislation, gives the Union precedence in case of conflict (Article 254).
  • Residual Powers: The Union Parliament has exclusive power to legislate on any matter not enumerated in the State or Concurrent Lists (Article 248).
  • Emergency Provisions: During emergencies (Article 352, 356, 360), the Centre gains substantial legislative powers, effectively converting the system into a unitary one.
  • Amendment of the Constitution: While some provisions require ratification by states, many can be amended by the Union Parliament alone, impacting the federal balance.

Financial Centralization

  • Taxation Powers: The Union has exclusive power to levy taxes like income tax, corporation tax, and customs duties, which are major revenue sources. States largely rely on taxes devolved by the Centre.
  • Finance Commission: While the Finance Commission recommends the distribution of tax revenue between the Centre and States (Article 280), the Centre is not bound by its recommendations.
  • Grants-in-Aid: States are heavily dependent on grants-in-aid from the Centre, giving the Union significant leverage.
  • Borrowing Powers: States’ borrowing powers are subject to conditions imposed by the Centre, limiting their financial autonomy.

Administrative Centralization

  • All India Services (AIS): The AIS (IAS, IPS, IFS) are recruited and controlled by the Centre, serving in State cadres. This provides the Centre with a significant administrative reach.
  • Appointment of Governors: Governors are appointed by the President (effectively the Centre) and act as the Centre’s representative in the States (Article 155).
  • Central Investigating Agencies: Agencies like the CBI operate across the country, often intervening in State matters, raising concerns about federal intrusion.
  • Integrated Public Service Systems: The establishment of systems like GST Council, while promoting cooperative federalism, still involves significant central control.

Impact on Strong Federalism

These centralizing features, while often justified on grounds of national unity and economic stability, do militate against the concept of strong federalism. They lead to:

  • Asymmetrical Federalism: The Centre enjoys significantly more power and resources than the States, creating an uneven playing field.
  • Dependence of States: States become overly reliant on the Centre for financial assistance, hindering their independent policy-making.
  • Erosion of State Autonomy: Central intervention in State affairs, particularly through the Governor’s office and central agencies, can undermine State autonomy.
  • Political Friction: Disagreements over resource allocation, policy implementation, and central intervention often lead to friction between the Centre and States. The recent debates surrounding the farm laws and the Citizenship Amendment Act (CAA) exemplify this.

However, it’s important to note that the Centre’s strong position has also facilitated national integration, economic development, and effective disaster management. The response to the COVID-19 pandemic, while criticized for central control, demonstrated the importance of a coordinated national approach.

Conclusion

The Indian Constitution, while fundamentally federal, undeniably leans towards a strong Centre. This is a pragmatic compromise born out of historical necessities and the need for national cohesion. While the centralizing features have enabled effective governance and national integration, they also pose challenges to State autonomy and cooperative federalism. Strengthening inter-state council, greater devolution of financial resources based on objective criteria, and fostering a spirit of genuine partnership are crucial steps towards achieving a more balanced and robust federal structure in India.

Answer Length

This is a comprehensive model answer for learning purposes and may exceed the word limit. In the exam, always adhere to the prescribed word count.

Additional Resources

Key Definitions

Federalism
A system of government in which power is constitutionally divided between a central authority and constituent political units (states or provinces).
Cooperative Federalism
A concept where the Centre and States work together in a spirit of mutual respect and cooperation, rather than in a hierarchical relationship.

Key Statistics

As of 2023-24, the states’ share in the divisible pool of central taxes is 41% as recommended by the 15th Finance Commission (down from 42% recommended by the 14th Finance Commission).

Source: Ministry of Finance, Government of India

According to the PRS Legislative Research, the number of bills requiring state ratification has decreased significantly over time, indicating a trend towards greater central legislative dominance.

Source: PRS Legislative Research (Knowledge cutoff: 2024)

Examples

GST Council

The Goods and Services Tax (GST) Council, established under Article 279A, is a prime example of cooperative federalism. However, the Union government holds significant voting power (33.33%) compared to the states (combined 66.67%), influencing key decisions.

Frequently Asked Questions

Is India truly a federal country?

India is often described as a ‘quasi-federal’ state. While it possesses federal features like a written constitution, division of powers, and an independent judiciary, the strong Centre and provisions for central intervention during emergencies make it deviate from a classical federal model.

Topics Covered

PolityGovernanceFederalismConstitutionCentre-State RelationsGovernance