DSM 251: Indian Political System

Unit 2: Federalism

Table of Contents

1. Nature of Federalism in India

Federalism in India is a unique system that does not strictly follow the traditional model of federalism seen in the United States. Instead, it is often described as a "Federation with a strong centralizing tendency" or a "Quasi-federal" system.

Key Characteristics

Unitary Features (Central Bias)

Despite being federal, the Indian Constitution contains several unitary features that empower the Center over the States:

"The Indian Constitution is federal in form but unitary in spirit." — K.C. Wheare

2. Union-State Relations

The relationship between the Center and the States is categorized into three main areas to ensure smooth governance and cooperation.

A. Legislative Relations (Articles 245–255)

Parliament has the power to make laws for the whole country, while State legislatures make laws for their respective states. In case of a conflict in the Concurrent List, the Central law usually prevails.

B. Administrative Relations (Articles 256–263)

States are expected to exercise their executive power in a way that ensures compliance with Central laws. The Center can issue directions to States on specific matters, such as the maintenance of communication means of national importance.

C. Financial Relations (Articles 264–293)

This is the most critical area of conflict. The Center has more lucrative sources of revenue (like Income Tax and Customs), while States have heavy expenditure responsibilities (like Health and Education). The Finance Commission is appointed every five years to recommend the distribution of taxes between the Center and the States.

3. Sarkaria Commission

Set up in 1983 under Justice R.S. Sarkaria, this commission was tasked with reviewing the working of the existing arrangements between the Union and the States.

Major Recommendations

4. Punchhi Commission

Appointed in 2007 under Justice Madan Mohan Punchhi, it was the second commission on Center-State relations, focusing on changes that occurred since the Sarkaria Commission.

Key Recommendations

5. Exam Focus: Tips and FAQs

Exam Tips

  • Define 'Quasi-federal': Use this term and cite K.C. Wheare to show advanced knowledge of the nature of Indian federalism.
  • List Comparison: Be ready to explain the difference between the Union, State, and Concurrent lists.
  • Commissions: Remember the years (Sarkaria-1983, Punchhi-2007) as they are often asked in objective questions.
Common Mistake: Do not say India is a "true federation" like the USA. Always mention the "Unitary Bias" or the "strong center".

Frequently Asked Questions

Q: What is Article 356?
A: It allows the President to take over the administration of a state (President's Rule) if the state government cannot function according to the Constitution.

Q: Why is the Finance Commission important?
A: It ensures vertical and horizontal equity in tax distribution, helping bridge the gap between Central revenue and State expenditure.

Mnemonics for Federal Features

D-U-A-L: Division of powers, Unique written constitution, Arbiter (Independent Judiciary), Legislative supremacy (of Constitution).


End of Unit 2 Notes | Prepared for DSM 251 | Knowlet