CA Topic

T.N. Govt. Forms Panel to Recommend Measures on State Autonomy

April 16, 2025 en

Brief Context

Context The Tamil Nadu Chief Minister has set up a high-level committee to recommend measures on state autonomy with a view to protect state governments rights and improve working relations with the union government. About the Committee It is a three member committee headed by former Supreme Court judge Justice Kurian Joseph. The committee is expected to submit its interim report by January 2026 and the final report within two years.

Source Content

Syllabus: GS2/Polity and Governance

Context

The Tamil Nadu Chief Minister has set up a high-level committee to recommend measures on state autonomy with a view to protect state governments’ rights and improve working relations with the union government.

About the Committee

It is a three member committee headed by former Supreme Court judge Justice Kurian Joseph.
The committee is expected to submit its interim report by January 2026 and the final report within two years.
The mandate of the committee includes:
- to review the Constitutional provisions, laws, rules and policies with respect to Centre-State relations;
- to recommend ways to restore subjects moved from the State List to the Concurrent List;
- to propose measures for States to overcome administrative challenges;
- to suggest reforms to ensure maximum autonomy for States without compromising the unity and integrity of the nation;
- and to consider the recommendations of the Rajamannar Committee and subsequent commissions formed by the Union government on the Centre-State relations.

Federalism and Its Key Features

Federalism is a system of government in which the power is divided between a central authority and various constituent units of the country.
There are two or more levels (or tiers) of government.
Different tiers of government govern the same citizens, but each tier has its own jurisdiction in specific matters of legislation, taxation and administration.
The jurisdictions of the respective levels or tiers of government are specified in the constitution.
The fundamental provisions of the constitution cannot be unilaterally changed by one level of government. Such changes require the consent of both the levels of government.
Courts have the power to interpret the constitution and the powers of different levels of government.
Sources of revenue for each level of government are clearly specified to ensure its financial autonomy.

Key Features of Indian Federalism

Constitutional Division of Powers: The Constitution divides subjects between the Union and the States through the Union List, State List, and Concurrent List (Seventh Schedule).
Strong Centre: The central government has more powers, especially in times of emergency.
- The Union List contains more and significant subjects (like defense, foreign affairs).
Single Constitution & Citizenship: India has a single constitution and single citizenship, unlike the USA.
Independent Judiciary: The Supreme Court acts as the guardian of the Constitution and arbitrator in Centre-State disputes.
Interstate Councils & Finance Commission: Bodies like the Inter-State Council and Finance Commission promote cooperative federalism.

Challenges to Indian Federalism

Rising Regional Sensitivity and Sub-Nationalism: Increasing regional identity and sensitivity among states challenge national unity.
- Political ideologies focused on regional interests may benefit specific areas but weaken the overall federal spirit.
Financial Dependency of States: States are financially dependent on the Centre due to lack of fiscal autonomy.
- This dependency results in operational constraints and deepens the federal crisis.
Inequality and Political Bias: States often express grievances over unfulfilled regional demands.
- Disparities in representation based on population and territory lead to inequality.
- This leads to both inter-state inequality and a perception of neglect by the Centre.
Indestructible Union, Destructible States: Unlike the U.S. model, Indian states do not have a permanent status.
- The Union can alter, merge, or bifurcate states unilaterally.
- This power of the Centre weakens the federal nature by making states structurally vulnerable.
Religious Conflicts: Religious tensions lead to institutional conflicts and disrupt the unity.
- These challenges highlight the difficulty of maintaining harmony in a diverse nation.
Demand for new States: The continuous increase demands for the new states create a threat in the smooth operation of federalism.

Recommendations by Committees

Sarkaria Commission (1983): To examine and review the working of the existing arrangements between the Centre and the States.
- Key Recommendations: Strengthen the role of the Inter-State Council (Article 263) as a permanent, regular body.
  - Use Article 356 (President’s Rule) sparingly and only as a last resort.
  - More financial autonomy to states; a greater share in central taxes.
National Commission to Review the Working of the Constitution (NCRWC) – 2000 (Headed by: Justice M.N. Venkatachaliah)
- Key Recommendations: Strengthen fiscal federalism with greater devolution of funds to states.
  - Set up an Inter-State Trade Commission to regulate trade disputes.
  - Improve Centre-State consultation mechanisms before passing legislation affecting states.
Punchhi Commission (2007): To revisit Centre-State relations in the context of changes since the Sarkaria Commission.
- Key Recommendations: Limit misuse of Article 356; it should be used only in exceptional situations.
  - The Governor’s role should be non-partisan; the removal process should be more transparent.
  - Creation of a Supreme Court-authorized Inter-State Trade and Commerce Commission.
  - States should have more autonomy in subjects listed under Concurrent List.
NITI Aayog Reforms (Post-Planning Commission):
- Promote Cooperative Federalism through regular consultations with states.
- More say for states in economic planning.
- Reorienting Centrally Sponsored Schemes based on state-specific needs.

Source: TH