This Article is written by Tanishka Rana, a Third-Year Law Student of Delhi Metropolitan Education

Federalism

In common words, federalism means a system of government where the powers have been divided between the center and the state or provinces. Generally, a federal country has two levels of government ie. Union or central level and State level. At the central level the government has jurisdiction or authority over the whole country while at the state level, a different government is responsible and has jurisdiction related to matters of that respective state.

The federalism concept has its origin in the United States, where it was established by the US Constitution and implemented in 1789. The US federal system was a compromise between the confederal and unitary models of government. The US federal model was developed by thinkers like James Madison and Alexander Hamilton and was later adopted by many other countries and one of them is INDIA.[1]

Federal System – Two Types of Federations[2]

In a federal country, two levels have their respective power and are independent. There are two kinds of federations:

1. Holding Together Federation – In this type, powers are shared between various constituent parts to accommodate the diversity in the whole entity. Here, powers are generally tilted towards the central authority ie. The central government has more powers than the state government. Example: India, Spain, Belgium.

2. Coming Together Federation – In this type, independent states come together to form a larger unit. Here, states enjoy more autonomy as compared to the holding together kind of federation. Example: USA, Australia, Switzerland.

FEDERALISM IN INDIA

India follows the federalism concept and has adopted this from Canada. India does not rigidly follow the federalism concept but has some modifications to it. The powers of the central government are wider or broader than the state government which is why it is said that the federal system in India is more tilted toward the central level of government.

India is also called a Quasi-federal nation as it follows the concept of both a federal and a unitary system. Article 1 of the Indian Constitution[3] States, ‘India, that is Bharat, shall be a union of states’. The word federation is not mentioned in the constitution. Federalism was first introduced in India during modern India by the Government of India Act of 1919 which separated powers between the center and the provincial legislatures.[4].

The hallmark of the Federal System of India

§ Governments at two levels

There are governments at both levels which are union center or state.

· Division of powers between the Centre and States

There are three lists given in the Seventh Schedule of the Constitution under Article 246 which gives the subjects over each level jurisdiction:[5]

o Union List- The central government has jurisdiction over this. Some of the important subjects are Defense, International Relations, Ports, Railways Highways, etc.

o State List- The state government has jurisdiction over this. Some of the important subjects are Public order, Police, Public health and sanitation, Betting, gambling, etc.

o Concurrent List central and state governments have jurisdiction over this matter. If both governments have conflict related to the applicability of their respective law then center law will be applicable that is why India is called a quasi-federal nation. Some of the important subjects are Education, Forest, Trade unions, Marriage, Adoption etc.

· Supremacy of the constitution

In India constitution is supreme and no one is supreme above the law. The basic structure of the constitution is indestructible and can not be amended as laid out by the judiciary in the Kesavananda Bharati case.[6]. The constitution in India is the supreme law.

· Independent judiciary

In India, we have an independent and integrated judiciary mentioned in the constitution. The lower and district courts are at the lowest levels, the high courts are at the state levels, and the topmost position is the Supreme Court of India. The Supreme Court is the highest level court and all courts are subordinate to the Supreme Court. The Supreme Court of India acts as a guardian of the Indian Constitution and can adjudicate disputes between the center and states or between state and state. It ensures a balance of power through its interpretation of the Constitution.

Challenges to Federalism in India

There have been many challenges in Indian federalism over the years due to its dynamic nature and interplay between the central and state governments. Central dominance, regional disparities, and political factors are the challenges that create tension in the functioning of the federal structure. Indian federalism is dynamic and evolves while balancing unity with diversity and cooperation between the central and state governments while managing regional aspirations.

Central Dominance

The central government has more power than the state government and thus the central government has more dominance over the state government. For example during emergencies or financial control etc.

▫ Financial Control: The central government controls major sources of revenue (e.g., income tax, corporate tax, and GST) more than the state government which creates a vertical fiscal imbalance. States have less source of revenue than the center and have to rely or depend on central government through mechanisms like the Finance Commission, centrally sponsored schemes, and grants.

▫ Emergency Provisions: During the time of emergency, the central government has the right to intervene in the state matter under Article 352[7] or through the imposition of President’s Rule (Article 356)[8]. This can cause dominance and suppression of the state government.

▫ Legislative Power: The center has jurisdiction over the Union list and both state and union governments have jurisdiction over the concurrent list but state laws can be overruled by parliamentary laws.

Regional Disparities

India is 7th largest country in the world with a lot of diversity in terms of religion, culture, and age. Gender, language, etc. There are 28 states and 8 Union territories where the economic development, infrastructure, and human development indicators are different from place to place leading to regional disparities.

▫ Economic Inequality: States like Maharashtra, Gujarat, and Tamil Nadu, are economically advanced, while others, such as Bihar, Uttar Pradesh, and some northeastern states, lag. The less developed states need more financial support so that they can also develop their region which can help to create unity and remove regional disparities. In contrast, wealthier states already have resources to develop and are not dependent on centers for funds. These disparities create tensions

▫ Backward Region Grants Fund: There have been special schemes to address these disparities that the central government has created like the Backward Region Grants Fund, but imbalances in development and resource distribution remain a significant issue in the federal system.

Political Factors

It plays an important role in influencing the federal dynamics between the center and the states. The political alignment or not with the ruling party at the center and the state governments can affect the nature of cooperation.

▫ Aligned Governments: When the same political party governs both the center and a state, there is generally smoother cooperation, in policy implementation or coordination on various national schemes. However, this can also lead to central overreach or a negative impact, as this can undermine the spirit of federalism with state governments adopting policies without sufficient input or regard for regional considerations.

▫ Non-Aligned Governments: When different political parties govern the center and a state, tension between them often arises. States ruled by opposition parties may face challenges in receiving central funds, policy support, or approvals. This has sometimes led to accusations that the center uses its power to influence or destabilize opposition-ruled states by withholding funds, imposing the President’s Rule, or leveraging central agencies for political purposes.

▫ Coalition Politics: There has been the rise of coalition governments at the center, particularly in the 1990s and early 2000s, which is more like a negotiated form of federalism where regional parties wield considerable influence. However, the resurgence of strong central governments since the mid-2010s has renewed concerns about central dominance in a political landscape once marked by strong regional voices.

Managing Regional Aspirations

In India, many regions demanded special status based on culture, linguistic, ethnic, tradition, etc. In the constitution, States like Nagaland, Mizoram, and Sikkim have been granted special provisions so that they can manage their affairs differently, reflecting the recognition of India’s diversity. The challenge has been ensuring that such regional aspirations are met within the framework of the Indian Union, without undermining national unity. For illustration, movements for autonomy in Tamil Nadu, Punjab, and Kashmir have been handled differently over time, balancing the need for regional accommodation with the imperative of national integrity.

CONCLUSION

Federalism in India is a unique model of governance which is referred as Quasi-federal or cooperative federalism. In the Indian constitution, the powers of union and state government are divided through well-defined legislative lists, make sure about functional autonomy while maintaining the supremacy of the central authority in crucial areas, particularly during times of crisis or national importance. As India develops, its federal system is expected to remain dynamic, balancing decentralization with national unity to effectively meet sociopolitical needs.

References

[1] The editor of Britannica_Fedralism_ https://www.britannica.com/topic/federalism accessed on 10/9/2024

[2] The editor of Byjus_ Federalism in India- Federal feature of Indian constitution ( UPSC India polity notes)_ https://byjus.com/free-ias-prep/federalism/ accessed on 10/9/24

[3] Constitution of india_Article 1: Name and territory of the union_ https://www.constitutionofindia.net/articles/article-1-name-and-territory-of-the-union/ accessed on 10/9/24

[4] The editor of Byjus_ Federalism in India- Federal feature of Indian constitution ( UPSC India polity notes) '. Accessed on 10/9/24https://byjus.com/free-ias-prep/federalism/#:~:text=India%20is%20a%20federal%20system,be%20a%20union%20of%20states'. Accessed on 10/9/24

[5] The editor of Byjus_7th Schedule of Indian constitution-Article 246 https://byjus.com/free-ias-prep/7th-schedule-indian-constitution/#:~:text=Union%20List%2C%20State%20List%2C%20Concurrent%20List%20%E2%80%93%20Introduction,power%20between%20Union%20and%20States. accessed on 10/9/24

[6] Debalina Roy KESAVANANDA BHARATI vs STATE OF KERALA Case Summary 1973 SC – Basic Structure Doctrine Law planet_ https://lawplanet.in/kesavananda-bharati-vs-state-of-kerala-case-summary/ accessed on 10/9/24

[7] The editor of Dhrishti IAS_ Emergency provisions_ https://www.drishtiias.com/to-the-points/Paper2/emergency-provisions/print_manually#:~:text=Under%20Article%20352%2C%20the%20president,external%20aggression%20or%20armed%20rebellion.&text=When%20a%20national%20emergency%20is,known%20as%20'External%20Emergency'. Accessed on 10/9/24

[8] The editor of Byjus Article 356 President rule https://byjus.com/free-ias-prep/article-356/ accessed on 10/9/24