Committees and Commissions on Centre-State Relations in India: Key Recommendations and Impact on Indian Federalism

The relationship between the Centre and States in India has been the focus of numerous commissions and committees, each tasked with recommending reforms to improve cooperation and autonomy. Key bodies such as the Administrative Reforms Commission, Rajamannar Committee, Sarkaria Commission, and Punchhi Commission have provided significant insights and suggestions on enhancing Centre-State relations, addressing legislative and financial matters, and refining the roles of Governors and local governments.

Overview of Committees and Commissions on Centre-State Relations in India

Administrative Reforms Commission

Establishment: The Administrative Reforms Commission (ARC) was established by the Government of India in 1966 to review the public administration system of India and recommend reforms. 

• The ARC submitted its report on Centre-State Relations in 1969. 

• Recommendations: The report made several recommendations aimed at improving the relationship between the Central Government and the States.

Key Recommendations of the ARC on Centre-State Relations

• Establishment of an Inter-State Council: The ARC recommended the establishment of an Inter-State Council to provide a platform for consultation and coordination between the Centre and the States.
• Delegation of Powers to States: The ARC recommended that the Central Government should delegate more powers to the States to enable them to function more effectively.
• Augmenting Financial Resources of States: The ARC recommended that the financial resources of the States should be augmented through increased devolution of tax revenues and grants-in-aid.
• Review of Central Control over States: The ARC recommended that the Central Government should review its control over the States to ensure that it is not excessive and does not hinder the States’ autonomy.
• Strengthening of Local Governments: The ARC recommended that local governments should be strengthened to enable them to play a more effective role in the development process.

Impact of the ARC’s recommendations

• The ARC’s recommendations on Centre-State Relations have been influential in shaping the relationship between the Centre and the States in India. 
• Many of the recommendations have been implemented, and they have contributed to a more cooperative and harmonious relationship between the two levels of government.
  • The ARC’s recommendations have had a significant impact on Centre-State Relations in India. Some of the key impacts include:
• Establishment of Inter-State Council: The Inter-State Council was established in 1990 and has provided a valuable forum for consultation and coordination between the Centre and the States.
• Increased Devolution of Taxes: The devolution of tax revenues to the States has increased significantly since the ARC report. 
• This has provided States with greater financial resources to meet their development needs.
• Greater Flexibility for States: The Centre has adopted a more flexible approach to its dealings with the States, allowing them greater autonomy in formulating and implementing their policies.
• Empowerment of Local Governments: The ARC’s recommendations on strengthening local governments have led to a greater emphasis on decentralisation and devolution of power to local bodies.
• Improved Coordination and Cooperation: The relationship between the Centre and the States has become more cooperative and harmonious, leading to better coordination and cooperation on issues of mutual interest.

Rajamannar Committee

Establishment: The Rajamannar Committee, officially known as the Centre-State Relations Inquiry Committee, was a three-member committee established by the Government of Tamil Nadu in 1969 to examine the relationship between the Central Government and the States in India. 

• The committee was chaired by Dr. P. V. Rajamannar, a former Chief Justice of the Madras High Court.
• The committee’s report, submitted in 1971, made several recommendations aimed at enhancing the autonomy and powers of the States.

These Recommendations Included

• Establishment of an Inter-State Council: The committee recommended the establishment of an Inter-State Council to provide a platform for consultation and coordination between the Centre and the States.
• Delegation of Powers to States: The committee recommended that the Central Government should delegate more powers to the States, particularly in areas such as education, health, and social welfare.
  • The residuary powers should be allocated to the states
• Augmenting Financial Resources of States: The committee recommended that the financial resources of the States should be augmented through increased devolution of tax revenues and grants-in-aid.
  • It also recommended that Finance Commission should be made a permanent body
• Review of Central Control over States: The committee recommended that the Central Government should review its control over the States to ensure that it is not excessive and does not hinder the States’ autonomy.
  • Articles 356, 357 and 365 (dealing with President’s Rule) should be totally omitted
  • The provision that the state ministry holds office during the pleasure of the governor should be omitted
• Abolition of All-India Services: The committee recommended the abolition of All-India Services (IAS, IPS, and IFS) to reduce the Central Government’s control over State administration.
• Replacement of Planning Commission: The committee recommended the replacement of the Planning Commission with a statutory body to ensure greater involvement of the States in the planning process.

Sarkaria Commission 

The Sarkaria Commission was established by the Government of India in 1983 to examine and review the working of the existing arrangements between the Union and the States and suggest changes within the framework of the Constitution of India. 

• The Commission submitted its final report in 1988. 
• It contained 247 specific recommendations.

Key Recommendations of the Sarkaria Commission on Inter-State Relations

• Governor’s Role and Appointment:

• • • Selection: Consult the Vice President and Lok Sabha Speaker while appointing Governors.
    • Tenure: Fix a five-year term, ensuring they’re not liable to transfer or removal during that period.
    • Powers: Curtail discretionary powers under Article 356 (dismissing state governments) and make it a transparent, accountable process with checks and balances.
    • Refrain from Interfering: Governors should avoid unnecessary interference in state administration and function as impartial guides.

• Legislative Relations:

• • Concurrent List: Clearly define the division of legislative powers between the centre and states in the Concurrent List (subjects with overlapping jurisdiction).
  • Prior Consultation: Ensure prior consultation with states before introducing central legislation impacting state subjects.
  • Financial Impact: Assess and compensate states for any financial burden arising from centrally imposed schemes.

• Administrative Relations:

• • Central Intervention: Limit the centre’s power to deploy para-military forces in states without their consent.
  • Central Agencies: Clearly define the roles and responsibilities of central agencies operating in states to avoid overlap and friction.
  • Inter-State Councils: Strengthen Inter-State Council and Zonal Councils as platforms for resolving disputes and fostering cooperation.

• Financial Relations:

• • Finance Commission: Enhance the role of the Finance Commission in determining devolution of financial resources to states.
  • Central Grants: Make central grants less discretionary and more formula-based, ensuring transparency and equity.
  • Debt Management: Coordinate and streamline states’ borrowing powers to avoid unsustainable debt burdens.

• Additional Recommendations:

• • • All India Services: Review the recruitment and allocation of All India Service officers to ensure states have a say in their deployment.
    • Language Policy: Promote wider use of regional languages in official communication and court proceedings.
    • Constitutional Amendments: Create a mechanism for easier amendments to the Constitution, particularly concerning Centre-State relations.

• Strengthening of Inter-State Council:

• • • The Commission recommended that the Inter-State Council should be strengthened to provide a more effective platform for consultation and coordination between the Centre and the States.

• Addressing Inter-State Disputes:

• • • The National Development Council should be reconstituted and renamed as the National Economic and Development Council. 
    • It should act as a forum for consultation and coordination between the centre and the states on economic and development matters.

• Protecting States’ Rights:

• • The Commission recommended that the Central Government should respect the rights of the States as enshrined in the Constitution.

Impact of the Sarkaria Commission’s recommendations

• Influence on Centre-State Relations: The Sarkaria Commission’s recommendations on Inter-State Relations have been influential in shaping the relationship between the Centre and the States in India.
• The Sarkaria Commission’s recommendations have had a significant impact on Inter-State Relations in India. Some of the key impacts include:
  • Strengthened Inter-State Council: The Inter-State Council has been strengthened and has played a more active role in facilitating dialogue and coordination between the Centre and the States.
• Improved Role of Governors: The role of Governors has been redefined, and they have become more actively involved in the administration of their respective States.
• Reduced Central Control: The Central Government has adopted a more flexible approach to its dealings with the States, allowing them greater autonomy in managing their affairs.
• Efforts to Address Inter-State Disputes: There has been a greater focus on addressing inter-State disputes through dialogue and negotiation.
• Greater Respect for States’ Rights: The Central Government has shown greater respect for the rights of the States as enshrined in the Constitution.

Punchhi Commission

Formation: The Punchhi Commission, formed by the Union Government in April 2007 and chaired by former Chief Justice of India Madan Mohan Punchhi, conducted a comprehensive examination of the existing Union-State arrangements. 

• Scope of the Review: This review encompassed legislative and administrative relations, court rulings on powers and responsibilities, the role of Governors, emergency provisions, and more. 
  • The Commission submitted its detailed seven-volume report to the government in March 2010.
• Following this, the Inter-State Council’s Standing Committee considered the Punchhi panel’s suggestions during meetings in April 2017, November 2017, and May 2018.

Key Recommendations of the Punchhi Commission include

• National Integration Council: Proposed the creation of a superior entity, the ‘National Integration Council,’ to address internal security matters, similar to the Homeland Security Department in the United States.
• Amendment to Article 355 and Article 356: Recommended amendments to Article 355 and Article 356 of the Constitution, focusing on safeguarding States’ interests and preventing the misuse of Central powers. 
• Article 355 pertains to the Centre’s duty to protect States from external aggression, while Article 356 addresses the imposition of the President’s rule in case of State machinery failure.
• Subjects in the Concurrent List: Advocated for States to be consulted through the Inter-State Council before introducing bills related to matters in the concurrent list, promoting cooperative federalism.
• The concurrent list includes subjects on which both State and Centre governments can legislate.
• Appointment and Removal of Governors: Recommended that Governors abstain from active politics for at least two years before their appointment.
• Emphasised the involvement of the State’s Chief Minister in the Governor’s appointment process.
• Proposed the formation of a committee, including the Prime Minister, Home Minister, Lok Sabha Speaker, and the relevant Chief Minister, to handle Governor appointments.
• Suggested a fixed five-year term for Governors and outlined a process for removal via a State Legislature resolution.
• Union’s Power of Making Treaties:
  • Advocated for regulating the union’s treaty-making power concerning matters in the State list, ensuring States have increased representation in their internal affairs.
• Appointment of Chief Ministers:
  • Called for clear guidelines to limit the Governor’s discretionary powers in the appointment of chief ministers.
  • Considered a pre-poll alliance as a single political party.
  • Outlined a precedence order for forming the State government based on the largest pre-poll alliance, single largest party with support, post-poll alliances with a few parties joining the government, and post-poll alliances with outside support from independents.

Conclusion

The recommendations from these commissions have shaped the evolution of Centre-State relations in India, fostering a more collaborative and balanced approach to governance. 

• By addressing key issues such as financial devolution, legislative powers, and the role of Governors, these reforms have contributed to a more harmonious and efficient federal structure, ensuring that both the Centre and the States can function effectively to meet the needs of the citizens.

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