Q. Assess the intricate distinctions between Cooperative and Competitive federalism in India. How are both models being leveraged to achieve a holistic and harmonious trajectory of national development? (10 M, 150 Words)

Answer:

How to approach the question

  • Introduction
    • Write about the Indian model of federalism briefly 
  • Body 
    • Write about the distinctions between Cooperative and Competitive federalism in India
    • Write how both models being leveraged to achieve a holistic and harmonious trajectory of national development
  • Conclusion 
    • Give appropriate conclusion in this regard  

 

Introduction      

Federalism allows for the accommodation of diversity and regional autonomy within a larger political unit. In India, it is a characteristic feature of the constitutional framework, encompassing the division of powers between the Union and the states. Over the years, India has seen the dual concepts of ‘Cooperative Federalism’ and ‘Competitive Federalism’ shaping its federal structure.

Body 

Distinctions between Cooperative and Competitive federalism in India

Basis of Comparison Cooperative Federalism Competitive Federalism
Definition A model where the Centre and states collaborate, emphasizing mutual cooperation and shared responsibilities. A model where states compete with each other, promoting self-reliance, efficiency, and development benchmarks.
Nature Collaborative, synergistic, aiming for collective welfare. Competitive, pushing states to excel and outshine peers in varied sectors.
Key Proponent Originally propagated during Jawaharlal Nehru’s tenure. Became popular especially after 1991 reforms, with a focus on state-led development.
Focus Promoting harmonious relations, consensus-based decision-making. Performance-based recognition, enhancing administrative efficiency and state-level entrepreneurship.
Instruments Constitutional bodies like Inter-State Council and Finance Commission that ensure resource distribution. Initiatives like NITI Aayog’s state rankings, driving states to enhance performance in health, education, etc.
Policy Formulation Involves collective decisions like National Education Policy, where every state’s feedback was integral. States like Telangana and Andhra Pradesh formulating unique policies to attract FDI, showcasing federal dynamism.
Dispute Resolution Dialogues and mutual consensus, as witnessed in the Cauvery Water Dispute resolution. Competition-based metrics, e.g., “Swachh Survekshan”, where states strive to rank higher in cleanliness.
Constitutional Backing Embedded within the Constitution, promoting joint initiatives and decision-making. Though not explicit, India’s federal spirit encourages states to optimise resources and policies for betterment.
Economic Implication Seeks uniformity in economic strategies, aiding businesses with common rules like GST. Catalyses economic growth by making states proactive, as seen when Gujarat and Maharashtra woo international investors with unique incentives.
Example The unified Goods and Services Tax (GST) system, which simplified India’s tax structure. NITI Aayog’s “Aspirational Districts Program”, fostering competition among districts for improved outcomes.

 

Both models being leveraged to achieve a holistic and harmonious trajectory of national development in the following ways 

Cooperative Federalism 

  • Inclusive Policy Design: Emphasising collective decision-making, cooperative federalism ensures policies are more inclusive and holistic. Eg: National Education Policy (NEP) 2020 under which Centre and the States will work together to increase the public investment in the Education sector to reach 6% of GDP at the earliest.
  • Shared Health Initiatives: The National Health Mission (NHM) where by pooling in resources and expertise, the Central and state governments collectively work to strengthen the health infrastructure. Eg: Pulse Polio Programme which led to India receiving polio-free certification by the World Health Organisation (WHO) in 2014, is a testament to this cooperative approach.
  • Joint Infrastructure Projects: Collaborative efforts lead to ambitious infrastructure projects that benefit multiple states. The Golden Quadrilateral Highway Network, connecting major metropolitan cities, is a cooperative venture wherein states collaborated with the Centre for smooth land acquisition and timely project execution.
  • Collaboration in Disaster Management: The collaboration between the Center and states during natural disasters like the Kerala floods in 2018 or the cyclones in Odisha ensuring rapid response, resource mobilisation, and rehabilitation efforts showcases the strength of cooperative federalism.
  • Unified Agricultural Reforms: With the aim of creating a single national agricultural market, cooperative initiatives like the eNAM (Electronic National Agricultural Market) were rolled out, enabling farmers to sell their produce anywhere in India.

Competitive Federalism 

  • Aspirational Districts Program: Launched by NITI Aayog, this initiative ranks districts based on their performance in health, education, and other sectors. This fosters healthy competition among districts, pushing them to improve their metrics and developmental outcomes.
  • Tailored Development Models: Competitive federalism allows states to craft development models based on their socio-economic fabric. Eg: while states like Maharashtra focus on boosting urban industrial growth, states like Himachal Pradesh might prioritise eco-tourism and organic farming.
  • Ease of Doing Business Rankings: Inspired by global indices, India’s states are annually ranked based on their business-friendly policies by Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry. This competition has propelled states like Andhra Pradesh, Uttar Pradesh and Telangana to introduce reforms, streamline processes, and encourage entrepreneurship.
  • Investment Summits: States like Gujarat (with its Vibrant Gujarat Summit) and West Bengal (Bengal Global Business Summit) host investment summits to woo national and international investors, showcasing their state’s potential and highlighting unique incentives.
  • Healthy Rivalry: Competition often leads to a race to the top. When Haryana sped up its land digitization process, neighbouring Punjab was quick to follow, ensuring both states improved their land record management systems.

Conclusion

Cooperative and competitive federalism, while seeming contradictory, together fortify India’s federal structure. By fostering collaboration and healthy competition, they ensure the optimal utilisation of India’s diverse resources and potentials. As India marches forward, striking a balance between these two is crucial for harmonious and holistic development.

 

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