Model Answer
0 min readIntroduction
Indian federalism, as enshrined in the Constitution, is a unique blend of federal and unitary features, often described as ‘quasi-federal’. While the Constitution distributes powers between the Union and States, a strong centralizing tendency has historically characterized the system. Recent years have witnessed a growing emphasis on ‘cooperative federalism’, signifying a shift towards greater collaboration and partnership between the Centre and States. This concept gained prominence with initiatives like the Goods and Services Tax (GST) Council and NITI Aayog, aiming to foster a more harmonious and collaborative federal structure. However, the existing structure still faces challenges that cooperative federalism attempts to resolve.
Drawbacks in the Existing Federal Structure
The existing federal structure in India suffers from several drawbacks:
- Financial Imbalance: States are heavily reliant on the Union for financial resources, through tax devolution and grants-in-aid. This dependence limits their autonomy and policy space. As per the 15th Finance Commission (2020-26), states’ share in the divisible pool of taxes has been reduced.
- Centralization of Power: The Union government often exercises significant control over areas falling within the State List, particularly through conditional grants and centrally sponsored schemes. The ‘One Nation, One Ration Card’ scheme, while beneficial, exemplifies this centralized approach.
- Asymmetrical Federalism: Certain states, like Jammu and Kashmir (prior to 2019) and North-Eastern states, enjoyed special provisions, creating an asymmetrical federal structure. This led to perceptions of unequal treatment and demands for greater autonomy.
- Role of Governor: The Governor’s role as an agent of the Centre has often been criticized for undermining state autonomy, particularly during political crises.
- Inter-State Disputes: Frequent disputes between states over issues like water sharing (e.g., Cauvery River dispute), boundary demarcation, and resource allocation strain inter-state relations and hinder national development.
Cooperative Federalism: Addressing the Shortcomings
Cooperative federalism emphasizes collaboration, consultation, and consensus-building between the Centre and States. It aims to move away from a command-and-control approach to a more participatory and collaborative model.
- GST Council: The GST Council, a constitutional body, exemplifies cooperative federalism. It brings together the Union and State Finance Ministers to make decisions on GST rates, rules, and regulations.
- NITI Aayog: NITI Aayog promotes a bottom-up approach to policy-making, involving states in the formulation of national development strategies.
- Inter-State Council: Revitalizing the Inter-State Council (Article 263) can provide a platform for resolving inter-state disputes and fostering coordination.
- Increased Devolution: Increasing the states’ share in the divisible pool of taxes, as recommended by successive Finance Commissions, enhances their financial autonomy.
- Flexible Implementation of Schemes: Allowing states greater flexibility in the implementation of centrally sponsored schemes, based on their specific needs and priorities, promotes ownership and effectiveness.
Extent to which Cooperative Federalism Answers the Shortcomings
Cooperative federalism has undoubtedly addressed some of the shortcomings of the existing structure. The GST Council has demonstrated the benefits of collaborative decision-making. NITI Aayog has fostered a more inclusive approach to policy formulation. However, several limitations remain:
- Unequal Bargaining Power: States with larger economies and political influence often have a greater say in decision-making, potentially marginalizing smaller states.
- Financial Constraints: Despite increased devolution, states continue to face financial constraints, limiting their ability to implement ambitious programs.
- Political Will: The success of cooperative federalism depends on the political will of both the Centre and States to prioritize collaboration and consensus-building.
- Centralizing Tendencies: Despite the rhetoric of cooperative federalism, the Union government continues to exercise significant control over key areas, such as law and order and national security.
The recent amendments to the Citizenship Amendment Act (CAA) and the farm laws (later repealed) were passed without adequate consultation with states, highlighting the limitations of cooperative federalism in practice.
Conclusion
Cooperative federalism represents a positive step towards a more balanced and harmonious federal structure in India. While it has addressed some of the inherent drawbacks of the existing system, challenges related to financial imbalances, unequal bargaining power, and political will remain. Strengthening institutions like the Inter-State Council, ensuring greater financial autonomy for states, and fostering a genuine spirit of collaboration are crucial for realizing the full potential of cooperative federalism and building a truly ‘Team India’ approach to governance. A continued commitment to constitutional principles and a willingness to accommodate diverse perspectives are essential for navigating the complexities of Indian federalism.
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.