IGNOUMATIC

The federal system in India, as enshrined in the Constitution, establishes a unique balance of power between the central government and the state governments. This system distributes legislative, executive, and financial powers between the two tiers of government, allowing for decentralized governance while maintaining the unity and integrity of the nation. Here’s a discussion on the working of the federal system in India:

 1. Division of Powers:

Legislative Powers:

– The Constitution divides legislative powers between the Union (central) government and the state governments. The Union List, State List, and Concurrent List enumerate subjects on which each level of government can legislate.

– The Union List includes subjects such as defense, foreign affairs, currency, and communication, over which only the central government has jurisdiction.

– The State List includes subjects like police, health, education, agriculture, and public order, over which only the state governments have jurisdiction.

– The Concurrent List contains subjects like criminal law, marriage, contracts, and bankruptcy, where both the central and state governments can legislate. However, in case of a conflict, the central law prevails.

Executive Powers:

– The executive authority is vested in the President at the Union level and the Governor at the state level, who act on the advice of the Council of Ministers.

– The President appoints the Governor of each state, and they serve as the constitutional head of the state government.

– Each state has a Council of Ministers headed by a Chief Minister, who is the head of the state government.

Financial Powers:

– The Constitution provides for the distribution of financial resources between the central and state governments through mechanisms like taxes, grants, and revenue-sharing arrangements.

– The central government levies taxes such as income tax, customs duties, and excise duties, while the state governments levy taxes such as sales tax, stamp duty, and excise on alcohol.

– The Finance Commission recommends the distribution of financial resources between the Union and the states, ensuring fiscal autonomy and equitable development.

 2. Cooperative Federalism:

Inter-Governmental Relations:

– Cooperative federalism emphasizes collaboration and partnership between the central and state governments to address common challenges and achieve shared objectives.

– Various forums like the Inter-State Council, National Development Council, and Goods and Services Tax (GST) Council facilitate consultation, coordination, and consensus-building among different levels of government.

Devolution of Powers:

– Over the years, there has been a trend towards greater devolution of powers to the states, reflecting a shift towards decentralized governance and empowerment of local governments.

– Measures like the 73rd and 74th Constitutional Amendments have strengthened the role of Panchayati Raj institutions and urban local bodies, promoting grassroots democracy and participatory development.

 3. Challenges and Criticisms:

Centralization Tendencies:

– Despite the federal structure, there have been concerns about the centralization of power in the hands of the Union government, especially in matters of national importance and security.

– Issues like the invocation of Article 356 (President’s Rule) and the imposition of central laws on state subjects have raised questions about the autonomy of state governments.

Inter-State Disputes:

– Inter-state disputes over water-sharing, boundary disputes, and resource allocation highlight the complexities of managing federal relations in a diverse and populous country like India.

– Mechanisms like the Inter-State Water Disputes Act, 1956, and the setting up of tribunals aim to resolve such disputes through legal and negotiated means.

 Conclusion:

The federal system in India reflects the country’s commitment to pluralism, diversity, and democratic governance. While it provides for a framework of shared sovereignty and decentralized decision-making, challenges such as centralization tendencies, inter-state disputes, and fiscal imbalances require continuous dialogue, cooperation, and institutional reforms. Strengthening federalism, promoting cooperative governance, and ensuring the effective functioning of democratic institutions are essential for realizing the ideals of unity in diversity and inclusive development in India.