Co-operative Federalism

Though a federal Constitution involves the independence of the units within their respective territorial units, it is not possible for them to remain in complete isolation from each other, and the very exercise of internal sovereignty by the units require its recognition by and co-ordination of the other units of the federation.

Recent Developments

Supreme Court Verdict on Constitutional Morality (Delhi based LG power related case)

  • The Supreme Court on July 4 clearly stated that Delhi LG has no independent decision-making power and he cannot act as an obstructionist.
  • The supreme court overturned the decision of Delhi High Court (Aug, 2016) in which the court ruled that Delhi continues to be a Union Territory even after the Constitution (69th Amendment) Act, 1991 inserting Article 239AA making special provisions with respect to Delhi and therefore it stated for all purposes the government requires LG’s concurrence.
  • The meaning of ‘aid and advice’ employed in Article 239AA (4) has to be construed to mean that the L-G of the NCT of Delhi is bound by the aid and advice of the Council of Ministers, and this position holds true so long as the L-G does not exercise power under the proviso to clause (4) of Article 239 AA.
  • The proviso to Article 239AA (4), which gives powers to the LG to refer an issue to the President if he disagrees with the decision of the elected government, must be operated and applied in a manner which facilitates and does not obstruct governance.

Reinvigoration of Inter State Council

  • The southern States have been complaining that the terms of reference of the Fifteenth Finance Commission are, in effect, punishment for their better economic performance. That is why there is a need of hour to breathe life into the moribund Inter-State Council.
  • Inter State Council 2.0: The ISC is the only multilateral Centre-State forum that operates directly within the framework of the Constitution (Article 263 (b) and (c)) where topics like the GST and contemporary issues like disaster management, terrorism and internal security can be taken up. Even though the ISC’s mandate is very broad, its aspiration has generally been limited to discussing affirmative action, welfare subjects and administrative efficiency and coordination. This demands the new or reformed version of Interstate council.

Supreme Court defines Constitutional Morality

  • Democratic Spirit: Constitution has to be interpreted in such a manner to enhance its democratic spirit. The paradigm of representative participation by engagement of citizenry should not be annihilated by interpretation.
  • Will of the Collective: In a democratic republic, collective is the supreme and the elected representatives reflects the will of the collective.
  • Concentration of Power: Spirit of constitutional morality negates the concentration of power in the hands of a few.
  • Supremacy of the Cabinet: Parliamentary form of government is based on principle of collective responsibility of the cabinet. If a well deliberated legitimate decision of the Council of Ministers is not given effect to due to an attitude to differ on the part of the Lieutenant Governor, then the concept of collective responsibility would stand negated.
  • Collaborative Federal Architecture: The Union and the State Governments must embrace a collaborative federal architecture by displaying harmonious co­existence and interdependence so as to avoid any possible constitutional discord.
  • Federal Balance: The Constitution has mandated a federal balance wherein independence of a certain required degree is assured to the State Governments.
  • As opposed to centralism, a balanced federal structure mandates that the Union does not usurp all powers and the States enjoy freedom without any unsolicited interference from the Central Government with respect to matters which exclusively fall within their domain.

Co-operative Federalism

Co-operative federalism, in general terms, is a concept wherein the federal government, state government, and local government interact co-operatively and share their responsibilities in the governance. It is also considered as a new form of federalism. This new concept is influenced by the factors which are given as follows:

  • The emergence of the concept of welfare state, which is strongly based on the public opinion, has made the local units more dependent on the national governments for adequate resources.
  • National decisions take precedence over the points of Centre-State division of powers when a war is urgently necessary for national survival.

It is necessary for the governments in a federation to coordinate among themselves with cooperation to promote the public welfare, which is the motto of majority governments nowadays.

The spirit of co-operative federalism in India is observed by following

  1. Distribution of Powers,
  2. Supremacy of the Constitution,
  3. A Written Constitution,
  4. Rigidity and
  5. Authority of Courts.

Practice of Cooperative Federalism in India

The Indian Constitution has several provisions and features have been deliberately designed to promote the concept of Centre-State cooperation (Cooperative Federalism).

  • Article 252(1) provides for delegation of powers by two or more states to Parliament so as to enable it to legislate with respect to a matter in the State List in relation to such states.
  • The Indian Constitution provides for a scheme of tax sharing between the Centre and the State.
  • Apart from the scheme of tax sharing, there is another way of transfer of revenue from the Centre to the State and that is the system of grants-in-aid. Article 282 provides for the making any grants by the Union for any public purpose.
  • If the Rajya Sabha declares, by resolution supported by not less than two-thirds of the members present, and it is necessary or expedient in the national interest so to do, Parliament may be by law provide for the creation of one or more All India Services (including an All-India Judicial Service) and regulate recruitment and conditions of service of it.
  • Article 261(1) lays down that full faith and credit should be given throughout the territory of India to public acts, records and judicial proceedings of the Union and of every State. This is to give them a nation-wide application.
  • Article 263 provides that the President may be by order appoint an Inter-State Council if it appears to him that the public interests would be served by the establishment of a Council.
  • Zonal Council have been introduced in India by the State Re-organisation Act, 1956. These Zonal Councils were created to promote the mechanism of intergovernmental consultation and coordination in socio-economic fields.
  • NITI Aayog which was set up mainly to promote the co-operative federalism and giving the State more freedom to design the developmental plans. The Governing Council’s maiden meeting which was conducted in the first week of February 2015 demanded greater freedom for the States to frame their developmental plans.

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