Interstate Council

Table of Content

Why in the News?

Recently, the Tamil Nadu Chief Minister wrote to the Prime Minister, asking that at least three meetings of the Inter-State Council should be held every year to strengthen the spirit of cooperative federalism.

Key Points:

Genesis:

The Sarkaria Commission on Centre-State Relations (1983–87) made a strong case for the establishment of a permanent Inter-State Council under Article 263 of the Constitution
In 1990, it came into existence through a Presidential Order

Inter-State Council:

An Inter-State Council is constituted under Article 263 by the President of India
Purpose: To promote effective coordination between the states and between Centre and states
Meetings: The Council may meet at least thrice in a year. Its meetings are held in camera and all questions are decided by consensus
Composition:
- The Prime Minister is the chairman of the Council, whose members include the Chief Ministers of all states and UTs with legislative assemblies, and Administrators of other UTs. Six Ministers of Cabinet rank in the Centre’s Council of Ministers, nominated by the Prime Minister, are also its members
Organisational Structure: The Council is assisted by a secretariat called the Inter-State Council Secretariat headed by a secretary to the Government of India
Standing Committee: It was set up in 1996 and consists of:
- Union Home Minister as the Chairman
- Five Union Cabinet Ministers
- Nine Chief Ministers

Functions of Inter-State Council:

To enquire into and advising upon disputes which may arise between states
To investigate and discuss subjects in which the states or the Centre and the states have a common interest
To make recommendations upon any such subject, and particularly for the better coordination of policy and action on it
It enquires and advises upon interstate disputes which is complementary to the Supreme Court’s jurisdiction under Article 131 to decide a legal controversy between the governments
The Council can deal with any controversy whether legal or non-legal, but its function is advisory unlike that of the court which gives a binding decision

Challenges:

As of now, the harsh reality is that the Inter-State Council has had just 12 meetings since it was set up in 1990
There was a gap of a decade between the 10th meeting in 2006 and the 11th meeting in 2016, and the council met again in November 2017

Zonal Councils:

The Zonal Councils are the statutory bodies, established by States Reorganisation Act of 1956
Aim: To promote cooperation and coordination between states, union territories and the Centre
Five Zonal Councils & Headquarters:
- Northern: New Delhi
- Central: Prayagraj
- Eastern: Kolkata
- Western: Mumbai
- Southern: Chennai
Composition:
- Central Home minister
- Chief ministers of all the States in the zone
- Two other ministers from each state in the zone
- Administrator of each union territory in the zone

Cooperative Federalism:

Cooperative federalism implies the Centre and states share a horizontal relationship, where they “cooperate” in the larger public interest
It’s visualised as an important tool to enable states’ participation in the formulation and implementation of national policies

Competitive Federalism:

Competitive federalism can refer to the relationship between the Central and state governments (vertical) or between state governments (horizontal)
This idea gained significance in India post the 1990s economic reforms. In a free-market economy, the endowments of states, available resource base and their comparative advantages all foster a spirit of competition
States need to compete among themselves and also with the Centre for benefits

Way Forward:

There is an institutional gap in the Indian union right now—and it needs to be filled before interstate frictions get out of control
If the Inter-State Council is to emerge as the key institution to manage interstate frictions, it first needs to have a regular meeting schedule
The council also has to have a permanent secretariat which will ensure that the periodic meetings are more fruitful