Explain the intricate balance of powers and cooperation between the Centre and the States as outlined in the Indian Constitution, highlighting the legislative, administrative, and financial dimensions of their relationship. (GS2)(12 MARKS)
The Centre-State relationship in India is a complex yet finely tuned mechanism designed to ensure effective governance within the federal system outlined in the Indian Constitution. This relationship encompasses legislative, administrative, and financial dimensions, each playing a crucial role in maintaining harmony, cooperation, and balance of powers between the Centre and the States. Let's delve into each dimension to understand how these arrangements work.
Legislative Relations:
The legislative framework in India is structured to delineate powers between the Centre and the States, ensuring that both entities have the authority to legislate on specific subjects without encroaching upon each other's domain excessively. This division is achieved through the following mechanisms:
Territorial Extent of Legislation: The Parliament has the power to enact laws that apply to the entire territory of India, including Union Territories. On the other hand, State legislatures can pass laws that apply only within their respective states, unless there is a specific provision for extraterritorial legislation by Parliament.
Distribution of Legislative Subjects: The Constitution categorizes subjects into three lists - Union List, State List, and Concurrent List. The Union List exclusively belongs to Parliament, the State List to State legislatures, and the Concurrent List allows both levels of government to legislate. However, in case of a conflict between Central and State laws on Concurrent List subjects, Central law prevails.
Parliamentary Legislation in the State Field: There are exceptional circumstances under which Parliament can legislate on State List subjects. These include a resolution by the Rajya Sabha, national emergency, state request, international agreements, and during the President's rule in a state.
Centre's Control over State Legislation: The Constitution grants mechanisms for the Centre to influence State legislation, such as the power of the Governor to reserve bills for the President's consideration and the requirement of the President's prior approval for certain types of State bills.
Administrative Relations:
The administrative aspect of Centre-State relations focuses on the execution of laws and policies formulated by both levels of government. Key points in this dimension include:
Jurisdiction: The Centre's executive power extends over matters under the Union List and areas entrusted by treaties or agreements. State executive power pertains to State List subjects, and Concurrent List matters fall under both Centre and State jurisdictions.
Obligations and Cooperation: States are obligated to implement laws passed by Parliament and cooperate with Centre's directives. However, coercive measures like Article 365 may be employed if States fail to comply.
Delegation of Functions: The Constitution allows for mutual delegation of executive powers between Centre and States to avoid deadlock situations and ensure efficient governance.
Inter-State Cooperation: Provisions like adjudication of interstate water disputes by Parliament and the formation of an Inter-State Council facilitate cooperation and coordination between Centre and States.
Financial Relations:
Financial relations between the Centre and States are crucial for resource allocation and development. Key aspects of this dimension include:
Taxing Powers: The Constitution delineates taxing powers between the Centre and States, specifying which subjects fall under each jurisdiction. The Centre also has the residuary power of taxation.
Distribution of Tax Revenues: Taxes collected by each level of government are distributed as per constitutional provisions, ensuring a fair allocation of resources.
Non-Tax Revenues: Both Centre and States have sources of non-tax revenue, and mechanisms like grants-in-aid ensure financial support to States from the Centre.
Grants-in-Aid: Statutory and discretionary grants provide financial assistance to States based on need or specific purposes, as recommended by the Finance Commission.