Federalism — Notes

Federalism runs a country through two (or more) levels of government: one for the whole nation and one for each state or province. The constitution gives each level a sphere of its own.

Unitary system: the national government holds the real power; any provincial or local bodies act on its instructions and can be overruled.

Example: Belgium became federal in 1993, when its regional governments received constitutional powers; Sri Lanka remains essentially unitary, and Tamil leaders have asked for a federal arrangement.

Key features

1. Two or more levels govern the same citizens, each in its own sphere.
2. Each level has its own jurisdiction in law-making, taxation and administration, written in the constitution, so neither level can abolish the other or strip it of its powers.
3. The basic provisions cannot be changed by one level alone; both must consent.
4. Courts interpret the constitution and the powers of each level; the highest court acts as umpire in disputes.
5. Each level knows which taxes it may collect, so it has money of its own.
6. Two aims at once: keep the country together and let each region be itself. It works only with mutual trust and an agreement to live by the rules.

Coming together: independent states agree to unite; each hands some of its sovereignty to the new union but keeps its identity, usually to be safer together. Units are usually equal and strong relative to the federal government. Examples: USA, Switzerland, Australia.

Holding together: an existing large country chooses to share its power with its regions. The centre usually keeps the upper hand; regions may have unequal powers, and some get extra protections. Examples: India, Spain, Belgium.

The Constitution declares India a Union of States. It does not use the word federation but sets up a federal design with two levels (union and state), and since 1992 a third tier of local government.

Three lists of legislative powers

• Union List: subjects of national importance, e.g. defence, foreign affairs, banking, communications, currency. Parliament legislates.
• State List: subjects of state and local importance, e.g. police, agriculture, irrigation, trade and commerce within the state. State legislatures legislate.
• Concurrent List: subjects of common interest, e.g. education, forests, trade unions, marriage, adoption, succession. Both legislate; in a conflict, the union law prevails.
• Residuary subjects (on no list, e.g. computer software): the union legislates.

Unequal units: some states, such as Assam, Nagaland, Arunachal Pradesh and Mizoram, have special provisions (Article 371) protecting indigenous land rights and local culture. Union territories (e.g. Chandigarh, Lakshadweep) are too small to be states and could not be merged; the centre has special powers in running them.

Safeguards

• Changing the basic division of powers needs a two-thirds majority in both Houses of Parliament and ratification by at least half of the state legislatures.
• The High Courts and the Supreme Court settle disputes over the division of powers.
• Both levels can levy taxes to raise resources.

Linguistic states. Boundaries were redrawn so that people speaking the same language lived in one state: Andhra State (1953), the States Reorganisation Act (1956), Maharashtra and Gujarat (1960). Some states were formed on other grounds, culture, ethnicity or geography: Nagaland (1963), Uttarakhand and Jharkhand (2000). Leaders had feared disintegration; instead the country became more united and administration easier.

Language policy. No national language. Hindi is the official language of the union but the mother tongue of less than half of Indians. 22 Scheduled Languages (Hindi and 21 others); candidates in central government examinations may write in any of them. States have their own official languages. English was to be phased out in 1965; after protests in non-Hindi-speaking states (strongest in Madras State, now Tamil Nadu), the centre agreed to continue English with Hindi. Hindi is promoted, not imposed: a contrast with Sri Lanka's 1956 Act.

Centre-state relations. For a long time the same party ruled at the centre and in most states, so states rarely acted as autonomous units; some rival state governments were dismissed by misuse of constitutional powers. From the 1990s, regional parties grew and coalition governments at the centre had to include them, so the centre learnt to bargain with and respect the states. A Supreme Court judgment made arbitrary dismissal of state governments difficult.

Decentralisation: passing some powers and resources of the union and state governments down to local bodies. Why: many problems are best solved where they arise, by people who live with them; it also lets citizens take part directly.

Before 1992: local bodies were under the direct control of state governments; elections were irregular; they had little power or money.

The 1992 amendments (constitutional status for panchayats and municipalities):

1. Regular elections to local bodies are constitutionally mandatory.
2. Seats and executive heads reserved for SCs, STs and OBCs.
3. At least one-third of all positions reserved for women.
4. A State Election Commission in each state conducts these elections.
5. State governments must share some powers and revenue with local bodies (the extent varies by state).

Rural local government (panchayati raj)

• Gram panchayat: ward members (panch) and a president (sarpanch), directly elected; the decision-making body of the village. It works under the gram sabha (all voters of the village), which meets a few times a year to approve the budget and review the panchayat's work.
• Panchayat samiti (block or mandal): formed by grouping several gram panchayats; its members are elected.
• Zilla parishad (district): most members elected; local Lok Sabha MPs and MLAs also sit on it, along with some officials; its chairperson is the political head.

Urban local government: municipalities in towns (head: municipal chairperson); municipal corporations in big cities (head: mayor); both run by elected councils.

Assessment: regular elections have created a very large tier of elected representatives, and women and weaker sections have gained a voice. But gram sabhas are often not held regularly, and many states have not transferred enough powers and resources.