Governance System and Federal Features of the India Union

Federalism is one of the key parts of the structure of the Constitution. Parliamentary constitutional amendments cannot alter this basic structure without judicial review by the Supreme Court. The constitution defines the federal features of the Indian Union and the relationship between the Union government of India and the State governments. The constitution stipulates the legislative, executive, and administrative powers between the central government and the various states of India. The legislative powers are further categorised under a Union list, State list, and Concurrent list. Each list represents the powers conferred upon the Union government, the State governments, and those shared between the Union and States. As the nation develops to offer improved quality of life to its citizens, the importance of federalism in India remains pivotal for the democratic institutions to perform their roles effectively.

What is the Federal Structure?

The country’s federal structure stipulates the system of governance for the entire national territory. While States, smaller regions, and cities are responsible for the administration of regional or local matters/concerns, the nation’s broader overarching governance is the national government’s responsibility. 

Today, the Indian nation has a three-tiered governance system. The central government represents the union of India, and the State governments represent the respective states (the two-tier government as originally provided by the Constitution). The third tier of government was added in the form of Village (& Taluk Panchayats) and Municipalities (& Municipal Corporations) to provide better governance to the aspirations of the citizens. This move further reinforced the importance of federalism in India. 

Federal features of the Indian Union:

The constitution mandates the following key federal features of the India Union

• A written form of the Constitution
• Supremacy of the Constitution
• Division of powers
• Independent Judiciary
• Bicameral Legislature (Lok Sabha and Rajya Sabha)
• Dual Government polity (Central government and State governments) 

The Federal Structure and its Issues & Challenges:

India has developed significantly on several fronts since its independence. Amongst others, India:

• Is on the verge of becoming the 3rd largest economy very soon
• Indian citizens enjoy a much better quality of life, although the benefits are yet to reach a desirable national spread
• Has a voice and recognition globally
• Is an active participant in the UN and multilateral bodies, giving direction to key matters like sustainability, climate change, and security

National development, economic progress, and global recognition have been possible due to visionary governments working together in the spirit of cooperative federalism. The unitary features of the constitution empower the Union Government to lead in several key areas, with the states actively participating and benefiting from policies formulated. Although the importance of federalism in India is apparent in these accomplishments, there do remain challenges to this arrangement.

a) Varied economic development: Industrial and agricultural development varies from state to state. Some states are at the forefront of attractive investments, generating good revenue and employment for their youth. Central support to states is based on population, development performance, and fund utilisation criteria.

b) Diversity in languages: The states were formed based on the languages spoken by residents. The 8th Schedule of the Constitution has 22 official languages. English remains a link language and the medium of instruction for higher studies and research in STEM courses.

c) Centralised Planning and Financial allocation: Centralised planning through Planning Commission and now NITI Aayog means the Centre has a major say in the financial budget for states. Besides, even after the historic tax reform through GST and visible impact on tax collection, states feel apprehensive about their dwindling revenue generation. 

The commitment to cooperative federalism and its emphasis may vary depending on which party wins the people’s mandate to govern. This can lead to questions being raised on the strength of the federal structure of the union.  However, reforms in finance, taxation, communication, agriculture, industrial development, and the enabling legislative frameworks have seen healthy debates and differing viewpoints before leading to consensus for implementation. Such instances only underscore the importance of federalism in India. We now see healthy competition between States to attract investments, innovation, and citizen-friendly e-governance initiatives. 

Conclusion:

In many ways, India has a unique governance system that has worked well. The Unitary features of the constitution that accord overarching role empowers the Union Government to lead in many matters of legislation and amendment. The federal features of the union and division of powers have meant that states enjoy adequate powers to frame policies and programs that reflect their regional/local focus. 

As governments come and go, each focusing on policies and programs, it does result in genuine concerns about cooperative federalism. Experts believe the constitution has adequate safeguards to prevent dilution of the spirit of federalism that anchors the unique three-tiered governance arrangement.