Model Answer
0 min readIntroduction
The concept of ‘new localism’ refers to a trend where sub-national governments (states, provinces, and local bodies) increasingly assert their autonomy and influence in policy-making, often challenging the traditional dominance of the central government. This is frequently driven by demands for greater responsiveness to local needs and concerns. In India, the 73rd and 74th Constitutional Amendment Acts (1992) aimed to establish a robust system of local self-governance – Panchayats and Municipalities – with the objective of empowering local bodies to function as institutions of self-government. However, the rise of new localism, particularly through increased fiscal decentralization without corresponding capacity building, can potentially undermine the very purpose of these constitutional amendments.
Understanding Local Self-Governance in India
The 73rd and 74th Amendments sought to realize the vision of Article 40 of the Directive Principles of State Policy, which advocates for the organization of village Panchayats as units of self-government. Key features included:
- Constitutional Recognition: Providing constitutional status to Panchayats and Municipalities.
- Regular Elections: Mandating regular elections to these bodies.
- Reservation of Seats: Ensuring representation for Scheduled Castes, Scheduled Tribes, and women.
- Devolution of Powers: Envisaging the transfer of 29 subjects (listed in the Eleventh and Twelfth Schedules) to local bodies for effective planning and implementation.
The Rise of ‘New Localism’
‘New localism’ manifests in several ways:
- Fiscal Decentralization: Increased allocation of funds directly to local bodies, bypassing state governments. Schemes like the 15th Finance Commission’s recommendations exemplify this.
- Increased Autonomy: Greater freedom for local bodies to formulate policies and implement programs based on local needs.
- Political Assertion: Local leaders and parties gaining prominence and challenging the authority of state-level politics.
How New Localism May Defeat the Purpose of Local Self-Governance
1. Capacity Constraints & Implementation Challenges
Direct funding without adequate capacity building (skilled personnel, administrative infrastructure, financial management expertise) can lead to inefficient utilization of funds and poor implementation of programs. Local bodies may lack the expertise to handle large-scale projects or manage complex financial transactions. This defeats the purpose of devolution, as funds remain unutilized or are misused.
2. Erosion of State Government’s Role & Coordination Issues
Excessive fiscal decentralization can weaken the role of state governments in providing overall guidance, coordination, and technical support to local bodies. This can lead to fragmentation of development efforts and a lack of synergy between state-level policies and local initiatives. The state finance commissions, crucial for recommending resource devolution, often lack teeth.
3. Increased Inequality & Regional Disparities
Local bodies with greater financial resources and administrative capacity are better positioned to attract investment and implement successful programs, leading to widening disparities between regions. This contradicts the goal of equitable development enshrined in the Constitution.
4. Political Fragmentation & Populist Policies
Increased autonomy can empower local leaders to pursue short-term populist policies aimed at securing electoral gains, rather than focusing on long-term sustainable development. This can lead to fiscal indiscipline and unsustainable debt burdens for local bodies.
5. Weak Accountability Mechanisms
While the 73rd/74th Amendments mandated regular elections, accountability mechanisms – social audits, citizen participation, and effective grievance redressal systems – are often weak or non-existent. This can lead to corruption and a lack of transparency in local governance.
Counterarguments & Potential Benefits
However, new localism also offers potential benefits. Increased local control can lead to greater responsiveness to local needs, improved service delivery, and enhanced citizen participation. Direct funding can empower local bodies to address local priorities without bureaucratic delays. The success of Kerala’s People’s Plan Campaign (2002) demonstrates the potential of decentralized planning and participatory governance.
Conclusion
While ‘new localism’ holds the promise of strengthening local self-governance, its potential to defeat the very purpose of the 73rd and 74th Amendments is significant. The key lies in striking a balance between fiscal decentralization and capacity building, ensuring effective coordination between state governments and local bodies, and strengthening accountability mechanisms. A holistic approach that addresses these challenges is crucial to realize the full potential of local self-governance in India and ensure inclusive and sustainable development.
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.