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cannot by its own will alter the boundary of this partition. Nor can
the judiciary”.15
In Bommai case16 (1994), the Supreme Court laid down that the
Constitution is federal and characterised federalism as its ‘basic
feature’. It observed: “The fact that under the scheme of our
Constitution, greater power is conferred upon the Centre vis-a-vis
the states does not mean that the states are mere appendages of
the Centre. The states have an independent constitutional
existence. They are not satellites or agents of the Centre. Within the
sphere allotted to them, the states are supreme. The fact that
during emergency and in certain other eventualities their powers
are overridden or invaded by the Centre is not destructive of the
essential federal feature of the Constitution. They are exceptions
and the exceptions are not a rule. Let it be said that the federalism
in the Indian Constitution is not a matter of administrative
convenience, but one of principle–the outcome of our own process
and a recognition of the ground realities”.
In fact, the federalism in India represents a compromise between
the following two conflicting considerations17 :
(i) normal division of powers under which states enjoy autonom
within their own spheres; and
(ii) need for national integrity and a strong Union government unde
exceptional circumstances.
The following trends in the working of Indian political system
reflects its federal spirit: (i) Territorial disputes between states, for
example, between Maharashtra and Karnataka over Belgaum; (ii)
Disputes between states over sharing of river water, for example,
between Karnataka and Tamil Nadu over Cauvery Water; (iii) The
emergence of regional parties and their coming to power in states
like Andhra Pradesh, Tamil Nadu, etc.; (iv) The creation of new
states to fulfil the regional aspirations, for example, Mizoram or
Jharkhand; (v) Demand of the states for more financial grants from
the Centre to meet their developmental needs; (vi) Assertion of
autonomy by the states and their resistance to the interference from
the Centre; (vii) Supreme Court’s imposition of several procedural
limitations on the use of Article 356 (President’s Rule in the States)
by the Centre.18
NOTES AND REFERENCES
1. Constituent Assembly Debates, Volume VII, P. 43.
2. The American Constitution originally consisted only 7
Articles, the Australian 128 and the Canadian 147.
3. The various amendments carried out since 1951 have
deleted about 20 Articles and one Part (VII) and added
about 95 Articles, four Parts (IVA, IXA, IXB and XIVA) and
four Schedules (9,10,11 and 12).
4. A majority of 2/3 of the members of each House present
and voting and a majority of the total membership of each
House.
5. Till 2019, the erstwhile state of Jammu and Kashmir
enjoyed a special status by virtue of Article 370 of the
Constitution of India.
6. K.C. Wheare: Federal Government, 1951, P. 28.
6a. In 2015, the Planning Commission was replaced by a
new body called NITI Aayog (National Institution for
Transforming India).
7. K. Santhanam: Union-State Relations in India, 1960, PP.
50–70.
8. Paul Appleby: Public Administration in India, 1953, P. 51.
9. Morris Jones: The Government and Politics in India,
1960, P. 14.
10. Ivor Jennings: Some Characteristics of the Indian
Constitution, 1953, P. 1.
11. C.H. Alexandrowicz: Constitutional Development in India,
1957, PP. 157–70.
12. Granville Austin: The Indian Constitution–Cornerstone of
a Nation, Oxford, 1966, PP. 186–88.
13. Constituent Assembly Debates, Vol. VIII, P. 33.
14. Ibid, Vol.VII, PP. 33–34.
15. Dr. B.R. Ambedkar’s speech in the Constituent Assembly
on 25.11.1949 reproduced in The Constitution and the
Constituent Assembly; Lok Sabha Secretariat, 1990, P.
176.
16. S.R. Bommai v. Union of India (1994).
17. Subash C. Kashyap: Our Parliament, National Book
Trust, 1999 Edition, P. 40.
14 Centre-State Relations
T
he Constitution of India, being federal in structure, divides all
powers (legislative, executive and financial) between the
Centre and the states. However, there is no division of judicial
power as the Constitution has established an integrated judicial
system to enforce both the Central laws as well as state laws.
Though the Centre and the states are supreme in their respective
fields, the maximum harmony and coordination between them is
essential for the effective operation of the federal system. Hence, the
Constitution contains elaborate provisions to regulate the various
dimensions of the relations between the Centre and the states.
The Centre-state relations can be studied under three heads:
• Legislative relations.
• Administrative relations.
LEGISLATIVE RELATIONS
Articles 245 to 255 in Part XI of the Constitution deal with the
legislative relations between the Centre and the states. Besides these,
there are some other articles dealing with the same subject.
Like any other Federal Constitution, the Indian Constitution also
divides the legislative powers between the Centre and the states with
respect to both the territory and the subjects of legislation. Further, the
Constitution provides for the parliamentary legislation in the state field
under five extraordinary situations as well as the centre’s control over
state legislation in certain cases. Thus, there are four aspects in the
Centre-states legislative relations, viz.,
• Territorial extent of Central and state legislation;
• Distribution of legislative subjects;
• Parliamentary legislation in the state field; and
• Centre’s control over state legislation.
1. Territorial Extent of Central and State Legislation
The Constitution defines the territorial limits of the legislative powers
vested in the Centre and the states in the following way:
(i) The Parliament can make laws for the whole or any part of the
territory of India. The territory of India includes the states, the
union territories, and any other area for the time being included in
the territory of India.
(ii) A state legislature can make laws for the whole or any part of the
state. The laws made by a state legislature are not applicable
outside the state, except when there is a sufficient nexus between
the state and the object.
(iii) The Parliament alone can make ‘extraterritorial legislation’. Thus,
the laws of the Parliament are also applicable to the Indian
citizens and their property in any part of the world.
However, the Constitution places certain restrictions on the plenary
territorial jurisdiction of the Parliament. In other words, the laws of
Parliament are not applicable in the following areas:
(i) The President can make regulations for the peace, progress and
good government of the five Union Territories– the Andaman and
Nicobar Islands, Lakshadweep, Dadra and Nagar Haveli, Daman
and Diu and Ladakh. A regulation so made has the same force
and effect as an act of Parliament. It may also repeal or amend
any act of Parliament in relation to these union territories.
(ii) The governor is empowered to direct that an act of Parliament
does not apply to a scheduled area in the state or apply with
specified modifications and exceptions.
(iii) The Governor of Assam may likewise direct that an act of
Parliament does not apply to a tribal area (autonomous district) in
the state or apply with specified modifications and exceptions.
The President enjoys the same power with respect to tribal areas
(autonomous districts) in Meghalaya, Tripura and Mizoram.
2. Distribution of Legislative Subjects
The Constitution provides for a three-fold distribution of legislative
subjects between the Centre and the states, viz., List-I (the Union
List), List-II (the State List) and List-III (the Concurrent List) in the
Seventh Schedule:
(i) The Parliament has exclusive powers to make laws with respect
to any of the matters enumerated in the Union List. This list has at
present 98 subjects (originally 971 subjects) like defence,
banking, foreign affairs, currency, atomic energy, insurance,
communication, inter-state trade and commerce, census, audit
and so on.
(ii) The state legislature has “in normal circumstances” exclusive
powers to make laws with respect to any of the matters
enumerated in the State List. This has at present 59 subjects
(originally 662 subjects) like public order, police, public health and
sanitation, agriculture, prisons, local government, fisheries,
markets, theaters, gambling and so on.
(iii) Both, the Parliament and state legislature can make laws with
respect to any of the matters enumerated in the Concurrent List.
This list has at present 52 subjects (originally 473 subjects) like
criminal law and procedure, civil procedure, marriage and divorce,
population control and family planning, electricity, labour welfare,
economic and social planning, drugs, newspapers, books and
printing press, and others. The 42nd Amendment Act of 1976
transferred five subjects to Concurrent List from State List, that is,
(a) education, (b) forests, (c) weights and measures, (d)
protection of wild animals and birds, and (e) administration of
justice; constitution and organisation of all courts except the
Supreme Court and the high courts.
(iv) Parliament has power to make laws with respect to any matter for
any part of the territory of India not included in a state even
though that matter is one which is enumerated in the State List.
This provision has reference to the Union Territories or the
Acquired Territories (if any).
(v) The 101st Amendment Act of 2016 has made a special provision
with respect to goods and services tax. Accordingly, the
Parliament and the state legislature have power to make laws
with respect to goods and services tax imposed by the Union or
by the State. Further, the parliament has exclusive power to make
laws with respect to goods and services tax where the supply of
goods or services or both takes place in the course of inter-state
trade or commerce.
(vi) The power to make laws with respect to residuary subjects (i.e.,
the matters which are not enumerated in any of the three lists) is
vested in the Parliament. This residuary power of legislation
includes the power to levy residuary taxes.
From the above scheme, it is clear that the matters of national
importance and the matters which require uniformity of legislation
nationwide are included in the Union List. The matters of regional and
local importance and the matters which permit diversity of interest are
specified in the State List. The matters on which uniformity of
legislation throughout the country is desirable but not essential are
enumerated in the concurrent list. Thus, it permits diversity along with
uniformity.
In US, only the powers of the Federal Government are enumerated
in the Constitution and the residuary powers are left to the states. The
Australian Constitution followed the American pattern of single
enumeration of powers. In Canada, on the other hand, there is a
double enumeration– Federal and Provincial, and the residuary
powers are vested in the Centre.
The Government of India Act of 1935 provided for a three-fold
enumeration, viz., federal, provincial and concurrent. The present
Constitution follows the scheme of this act but with one difference, that
is, under this act, the residuary powers were given neither to the
federal legislature nor to the provincial legislature but to the governor-
general of India. In this respect, India follows the Canadian precedent.
The Constitution expressly secures the predominance of the Union
List over the State List and the Concurrent List and that of the
between the Union List and the State List, the former should prevail. In
case of overlapping between the Union List and the Concurrent List, it
is again the former which should prevail. Where there is a conflict
between the Concurrent List and the State List, it is the former that
should prevail.
In case of a conflict between the Central law and the state law on a
subject enumerated in the Concurrent List, the Central law prevails
over the state law. But, there is an exception. If the state law has been
reserved for the consideration of the president and has received his
assent, then the state law prevails in that state. But, it would still be
competent for the Parliament to override such a law by subsequently
making a law on the same matter.
3. Parliamentary Legislation in the State Field
The above scheme of distribution of legislative powers between the
Centre and the states is to be maintained in normal times. But, in
abnormal times, the scheme of distribution is either modified or
suspended. In other words, the Constitution empowers the Parliament
to make laws on any matter enumerated in the State List under the
following five extraordinary circumstances:
When Rajya Sabha Passes a Resolution
If the Rajya Sabha declares that it is necessary in the national interest
that Parliament should make laws with respect to goods and services
tax3a or a matter in the State List, then the Parliament becomes
competent to make laws on that matter. Such a resolution must be
supported by two-thirds of the members present and voting. The
resolution remains in force for one year; it can be renewed any
number of times but not exceeding one year at a time. The laws cease
to have effect on the expiration of six months after the resolution has
ceased to be in force.
This provision does not restrict the power of a state legislature to
make laws on the same matter. But, in case of inconsistency between
a state law and a parliamentary law, the latter is to prevail.
During a National Emergency
The Parliament acquires the power to legislate with respect to goods
and services tax3b or matters in the State List, while a proclamation of
national emergency is in operation. The laws become inoperative on
the expiration of six months after the emergency has ceased to
operate.
Here also, the power of a state legislature to make laws on the
same matter is not restricted. But, in case of repugnancy between a
state law and a parliamentary law, the latter is to prevail.
When States Make a Request
When the legislatures of two or more states pass resolutions
requesting the Parliament to enact laws on a matter in the State List,
then the Parliament can make laws for regulating that matter. A law so
enacted applies only to those states which have passed the
resolutions. However, any other state may adopt it afterwards by
passing a resolution to that effect in its legislature. Such a law can be
amended or repealed only by the Parliament and not by the
legislatures of the concerned states.
The effect of passing a resolution under the above provision is that
the Parliament becomes entitled to legislate with respect to a matter
for which it has no power to make a law. On the other hand, the state
legislature ceases to have the power to make a law with respect to
that matter. The resolution operates as abdication or surrender of the
power of the state legislature with respect to that matter and it is
placed entirely in the hands of Parliament which alone can then
legislate with respect to it.
Some examples of laws passed under the above provision are
Prize Competition Act, 1955; Wild Life (Protection) Act, 1972; Water
(Prevention and Control of Pollution) Act, 1974; Urban Land (Ceiling
and Regulation) Act, 1976; and Transplantation of Human Organs Act,
1994.
To Implement International Agreements
The Parliament can make laws on any matter in the State List for
implementing the international treaties, agreements or conventions.
This provision enables the Central government to fulfil its international
obligations and commitments.
Some examples of laws enacted under the above provision are
United Nations (Privileges and Immunities) Act, 1947; Geneva
Convention Act, 1960; Anti-Hijacking Act, 1982 and legislations
relating to environment and TRIPS.
When the President’s rule is imposed in a state, the Parliament
becomes empowered to make laws with respect to any matter in the
State List in relation to that state. A law made so by the Parliament
continues to be operative even after the president’s rule. This means
that the period for which such a law remains in force is not
coterminous with the duration of the President’s rule. But, such a law
can be repealed or altered or re-enacted by the state legislature.
4. Centre’s Control Over State Legislation
Besides the Parliament’s power to legislate directly on the state
subjects under the exceptional situations, the Constitution empowers
the Centre to exercise control over the state’s legislative matters in the
following ways:
(i) The governor can reserve certain types of bills passed by the
state legislature for the consideration of the President. The
president enjoys absolute veto over them.
(ii) Bills on certain matters enumerated in the State List can be
introduced in the state legislature only with the previous sanction
of the president. (For example, the bills imposing restrictions on
the freedom of trade and commerce).
(iii) The Centre can direct the states to reserve money bills and other
financial bills passed by the state legislature for the President’s
consideration during a financial emergency.
From the above, it is clear that the Constitution has assigned a
position of superiority to the Centre in the legislative sphere. In this