Context:
A committee led by former Supreme Court judge Justice Kurian Joseph submitted a report to the Tamil Nadu government on Union–State relations, highlighting concerns about growing centralisation of power in India and advocating a reset of federal relations comparable to the scale of the 1991 economic reforms.
Key Highlights:
Concerns Over Increasing Centralisation
- The report argues that India’s federal structure is weakening due to increasing concentration of powers in the Union government.
- It cites constitutional amendments and policy changes that have gradually strengthened the Centre.
- According to the report, such centralisation undermines the federal democratic framework envisioned by the Constitution.
Instances of Alleged Central Overreach
The report identifies several developments perceived as centralising tendencies:
- Reorganisation of Jammu and Kashmir in 2019, converting a state into two Union Territories.
- Growing influence of the Union government in sectors traditionally managed by states, such as:
- Education
- Health
- Concerns regarding the role of Governors, who are sometimes viewed as instruments of central political influence in states.
- The proposed delimitation of Lok Sabha constituencies may affect the balance of representation between northern and southern states.
Fiscal Federalism Issues
- The Goods and Services Tax (GST) framework has significantly altered India’s fiscal federal architecture.
- The report suggests that the system has increased the financial dependence of states on the Union government.
Call for Federal Reforms
- The committee recommends restructuring Union–State relations to ensure balanced power distribution.
- It advocates reforms similar in transformative scale to the economic liberalisation reforms of 1991.
Relevant Prelims Points:
- Federalism in India
- India follows a quasi-federal system with a strong centre.
- Powers are divided through:
- Union List
- State List
- Concurrent List (Seventh Schedule).
- Role of Governors
- Appointed by the President of India under Article 155.
- Act as constitutional heads of states.
- Have discretionary powers in certain circumstances such as inviting parties to form government.
- Delimitation
- Refers to redrawing boundaries of parliamentary and assembly constituencies based on population changes.
- Conducted by the Delimitation Commission.
- Constitutional Amendment
- Amendments are made under Article 368 of the Constitution.
- Some amendments require ratification by at least half of the states.
Relevant Mains Points:
Importance of Federalism in India
- Federalism accommodates India’s vast diversity in language, culture, and regional interests.
- Enables decentralised governance and better policy implementation at local levels.
- Encourages competitive and cooperative federalism.
Concerns Over Centralisation
- Expansion of central legislative authority and administrative control.
- Financial dependence of states due to centralised revenue structures.
- Increasing political friction between the Union and states.
Implications for Governance
- Excessive centralisation may limit policy innovation by states.
- It can create political tensions and governance inefficiencies in a diverse country.
Way Forward
- Strengthen cooperative federal institutions like the Inter-State Council.
- Ensure greater fiscal autonomy for states.
- Clarify the constitutional role of Governors to prevent political misuse.
- Promote balanced decentralisation to states and local governments.
UPSC Relevance:
- GS Paper 2: Polity – Federalism, Centre–State relations, constitutional governance
- GS Paper 1: Post-Independence India – evolution of federal structure