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Lakshmanswamy Mudaliar and P.C. Chandra Reddy. | 26. B. Sivaraman and S.R. Sen were two other members of the | Commission. |
27. The other four Members of the Commission were Dhirendra | Singh (Former Secretary to the Government of India), Vinod | Kumar Duggal (Former Secretary to the Government of |
National Judicial Academy, Bhopal and National Law School | of India, Bangalore) and Dr. Amaresh Bagchi (Emeritus | Professor, National Institute of Public Finance and Policy, |
New Delhi). With the passing away of Dr. Bagchi in | February 2008, Vijay Shanker (Former Director, Central | Bureau of Investigation, Government of India) was |
appointed in his place as a Member of the Commission in | October 2008. | 28. Annual Report 2018–19, Ministry of Home Affairs, |
15 Inter-State Relations | T | he successful functioning of the Indian federal system |
depends not only on the harmonious relations and close | cooperation between the Centre and the states but also | between the states inter se. Hence, the Constitution makes the |
following provisions with regard to inter-state comity: | 1. Adjudication of inter-state water disputes. | 2. Coordination through inter-state councils. |
3. Mutual recognition of public acts, records and judicial | proceedings. | 4. Freedom of inter-state trade, commerce and intercourse. |
INTER-STATE WATER DISPUTES | Article 262 of the Constitution provides for the adjudication of inter- | state water disputes. It makes two provisions: |
(i) Parliament may by law provide for the adjudication of any dispute | or complaint with respect to the use, distribution and control of | waters of any inter-state river and river valley. |
(ii) Parliament may also provide that neither the Supreme Court nor | any other court is to exercise jurisdiction in respect of any such | dispute or complaint. |
Under this provision, the Parliament has enacted two laws [the | River Boards Act (1956) and the Inter-State Water Disputes Act | (1956)]. The River Boards Act provides for the establishment of river |
boards for the regulation and development of inter-state river and | river valleys. A river board is established by the Central government | on the request of the state governments concerned to advise them. |
The Inter-State Water Disputes Act empowers the Central | government to set up an ad hoc tribunal for the adjudication of a | dispute between two or more states in relation to the waters of an |
inter-state river or river valley. The decision of the tribunal would be | final and binding on the parties to the dispute. Neither the Supreme | Court nor any other court is to have jurisdiction in respect of any |
water dispute which may be referred to such a tribunal under this | Act. | The need for an extra judicial machinery to settle inter-state water |
disputes is as follows: “The Supreme Court would indeed have | jurisdiction to decide any dispute between states in connection with | water supplies, if legal rights or interests are concerned; but the |
experience of most countries has shown that rules of law based | upon the analogy of private proprietary interests in water do not | afford a satisfactory basis for settling disputes between the states |
where the interests of the public at large in the proper use of water | supplies are involved.”1 | So far (2019), the Central government has set up nine inter-state |
water dispute tribunals. The name of the tribunals, the years in which | they were constituted and the states involved in the dispute are | mentioned in Table 15.1. |
SI. Name Set-up in States Involved | No. | 1. Krishna Water 1969 Maharashtra, |
Disputes Tribunal-I Karnataka and | Andhra Pradesh | 2. Godavari Water 1969 Maharashtra, |
Disputes Tribunal Karnataka, Andhra | Pradesh, Madhya | Pradesh and |
Odisha | 3. Narmada Water 1969 Rajasthan, Gujarat, | Disputes Tribunal Madhya Pradesh |
and Maharashtra | 4. Ravi and Beas 1986 Punjab, Haryana | Water Disputes and Rajasthan |
Tribunal | 5. Cauvery Water 1990 Karnataka, Kerala, | Disputes Tribunal Tamil Nadu and |
Puducherry | 6. Krishna Water 2004 Maharashtra, | Disputes Tribunal-II Karnataka and |
Andhra Pradesh | 7. Vansadhara Water 2010 Odisha and Andhra | Disputes Tribunal Pradesh |
8. Mahadayi Water 2010 Goa, Karnataka | Disputes Tribunal and Maharashtra | 9. Mahanadi Water 2018 Odisha and |
INTER-STATE COUNCILS | Article 263 contemplates the establishment of an Inter-State Council | to effect coordination between the states and between Centre and |
states. Thus, the President can establish such a council if at any | time it appears to him that the public interest would be served by its | establishment. He can define the nature of duties to be performed by |
such a council and its organisation and procedure. | Even though the president is empowered to define the duties of | an inter-state council, Article 263 specifies the duties that can be |
assigned to it in the following manner: | (a) enquiring into and advising upon disputes which may arise | between states; |
(b) investigating and discussing subjects in which the states or the | Centre and the states have a common interest; and | (c) making recommendations upon any such subject, and |
particularly for the better co-ordination of policy and action on it. | “The council’s function to enquire and advice upon inter-state | disputes 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.”2 | Under the above provisions of Article 263, the president has | established the following councils to make recommendations for the |
better coordination of policy and action in the related subjects: | • Central Council of Health and Family Welfare. | • Central Council of Local Government3 |
• Four Regional Councils for Sales Tax for the Northern, Eastern, | Western and Southern Zones.4 | Establishment of Inter-State Council |
The Sarkaria Commission on Centre-State Relations (1983–88) | made a strong case for the establishment of a permanent Inter-State | Council under Article 263 of the Constitution. It recommended that in |
order to differentiate the Inter-State Council from other bodies | established under the same Article 263, it must be called as the | Inter-Governmental Council. The Commission recommended that |
the Council should be charged with the duties laid down in clauses | (b) and (c) of Article 263 (see above). | In pursuance of the above recommendations of the Sarkaria |
Commission, the Janata Dal Government headed by V. P. Singh | established the Inter-State Council in 1990.5 It consists of the | following members: |
(i) Prime minister as the Chairman | (ii) Chief ministers of all the states | (iii) Chief ministers of union territories having legislative assemblies |
(iv) Administrators of union territories not having legislative | assemblies | (v) Governors of States under President’s rule |
(vi) Six Central cabinet ministers, including the home minister, to be | nominated by the Prime Minister. | Five Ministers of Cabinet rank / Minister of State (independent |
charge) nominated by the Chairman of the Council (i.e., Prime | Minister) are permanent invitees to the Council. | The council is a recommendatory body on issues relating to inter- |
state, Centre-state and Centre-union territories relations. It aims at | promoting coordination between them by examining, discussing and | deliberating on such issues. Its duties, in detail, are as follows: |
• investigating and discussing such subjects in which the states | or the centre have a common interest; | • making recommendations upon any such subject for the better |
coordination of policy and action on it; and | • deliberating upon such other matters of general interest to the | states as may be referred to it by the chairman. |
The Council may meet at least thrice in a year. Its meetings are | held in camera and all questions are decided by consensus. | There is also a Standing Committee of the Council. It was set up |
in 1996 for continuous consultation and processing of matters for the | consideration of the Council. It consists of the following members: | (i) Union Home Minister as the Chairman |
(ii) Five Union Cabinet Ministers | (iii) Nine Chief Ministers | The Council is assisted by a secretariat called the Inter-State |
Council Secretariat. This secretariat was set-up in 1991 and is | headed by a secretary to the Government of India. Since 2011, it is | also functioning as the secretariat of the Zonal Councils. |
PUBLIC ACTS, RECORDS AND JUDICIAL | PROCEEDINGS | Under the Constitution, the jurisdiction of each state is confined to its |
own territory. Hence, it is possible that the acts and records of one | state may not be recognised in another state. To remove any such | difficulty, the Constitution contains the “Full Faith and Credit” clause |
which lays down the following: | (i) Full faith and credit is to be given throughout the territory of India | to public acts, records and judicial proceedings of the Centre |
and every state. The expression ‘public acts’ includes both | legislative and executive acts of the government. The | expression ‘public record’ includes any official book, register or |
record made by a public servant in the discharge of his official | duties. | (ii) The manner in which and the conditions under which such acts, |
records and proceedings are to be proved and their effect | determined would be as provided by the laws of Parliament. This | means that the general rule mentioned above is subject to the |
power of Parliament to lay down the mode of proof as well as | the effect of such acts, records and proceedings of one state in | another state. |
(iii) Final judgements and orders of civil courts in any part of India | are capable of execution anywhere within India (without the | necessity of a fresh suit upon the judgement). The rule applies |
only to civil judgements and not to criminal judgements. In other | words, it does not require the courts of a state to enforce the | penal laws of another state. |
INTER-STATE TRADE AND COMMERCE | Articles 301 to 307 in Part XIII of the Constitution deal with the trade, | commerce and intercourse within the territory of India. |
Article 301 declares that trade, commerce and intercourse | throughout the territory of India shall be free. The object of this | provision is to break down the border barriers between the states |
and to create one unit with a view to encourage the free flow of | trade, commerce and intercourse in the country. The freedom under | this provision is not confined to interstate trade, commerce and |
intercourse but also extends to intra-state trade, commerce and | intercourse. Thus, Article 301 will be violated whether restrictions are | imposed at the frontier of any state or at any prior or subsequent |
stage. | The freedom guaranteed by Article 301 is a freedom from all | restrictions, except those which are provided for in the other |
provisions (Articles 302 to 305) of Part XIII of the Constitution itself. | These are explained below: | (i) Parliament can impose restrictions on the freedom of trad |
commerce and intercourse between the states or within a sta | in public interest.6 But, the Parliament cannot give preference | one state over another or discriminate between the stat |
except in the case of scarcity of goods in any part of India. | (ii) The legislature of a state can impose reasonable restrictions | the freedom of trade, commerce and intercourse with that sta |
or within that state in public interest. But, a bill for this purpo | can be introduced in the legislature only with the previo | sanction of the president. Further, the state legislature cann |
give preference to one state over another or discrimina | between the states. | (iii) The legislature of a state can impose on goods imported fro |
other states or the union territories any tax to which simi | goods manufactured in that state are subject. This provisi | prohibits the imposition of discriminatory taxes by the state. |
(iv) The freedom (under Article 301) is subject to the nationalisati | laws (i.e., laws providing for monopolies in favour of the Cent | or the states). Thus, the Parliament or the state legislature c |
any trade, business, industry or service, whether to t | exclusion, complete or partial, of citizens or otherwise. | The Parliament can appoint an appropriate authority for carrying |
out the purposes of the above provisions relating to the freedom of | trade, commerce and intercourse and restrictions on it. The | Parliament can also confer on that authority the necessary powers |
ZONAL COUNCILS | The Zonal Councils are the statutory (and not the constitutional) | bodies. They are established by an Act of the Parliament, that is, |
States Reorganisation Act of 1956. The act divided the country into | five zones (Northern, Central, Eastern, Western and Southern) and | provided a zonal council for each zone. |
While forming these zones, several factors have been taken into | account which include: the natural divisions of the country, the river | systems and means of communication, the cultural and linguistic |
affinity and the requirements of economic development, security and | law and order. | Each zonal council consists of the following members: (a) home |
minister of Central government. (b) chief ministers of all the States in | the zone. (c) Two other ministers from each state in the zone. (d) | Administrator of each union territory in the zone. |
Besides, the following persons can be associated with the zonal | council as advisors (i.e., without the right to vote in the meetings): | (i) a person nominated by the Planning Commission; (ii) chief |
secretary of the government of each state in the zone; and (iii) | development commissioner of each state in the zone. | The home minister of Central government is the common |
chairman of the five zonal councils. Each chief minister acts as a | vice-chairman of the council by rotation, holding office for a period of | one year at a time. |
The zonal councils aim at promoting cooperation and coordination | between states, union territories and the Centre. They discuss and | make recommendations regarding matters like economic and social |
planning, linguistic minorities, border disputes, interstate transport, | and so on. They are only deliberative and advisory bodies. | The objectives (or the functions) of the zonal councils, in detail, |
are as follows: | • To achieve an emotional integration of the country. | • To help in arresting the growth of acute state-consciousness, |
regionalism, lingu-ism and particularistic trends. | • To help in removing the after-effects of separation in some | cases so that the process of reorganisation, integration and |
• To enable the Centre and states to cooperate with each other in | social and economic matters and exchange ideas and | experience in order to evolve uniform policies. |
• To cooperate with each other in the successful and speedy | execution of major development projects. | • To secure some kind of political equilibrium between different |
regions of the country. | North-Eastern Council In addition to the above Zonal Councils, a | North-Eastern Council was created by a separate Act of Parliament– |
the North-Eastern Council Act of 1971.8 Its members include Assam, | Manipur, Mizoram, Arunchal Pradesh, Nagaland, Meghalaya, Tripura | and Sikkim.9 Its functions are similar to those of the zonal councils, |
but with few additions. It has to formulate a unified and coordinated | regional plan covering matters of common importance. It has to | review from time to time the measures taken by the member states |
for the maintenance of security and public order in the region. | Table 15.2 Zonal Councils at a Glance | Name Members Headquarters |
1. Northern Himachal Pradesh, Haryana, New Delhi | Zonal Council Punjab, Rajasthan, Delhi, | Chandigarh, Jammu and Kashmir |
and Ladakh | 2. Central Uttar Pradesh, Uttarakhand, Allahabad | Zonal Council Chhattisgarh, and Madhya Pradesh |
3. Eastern Bihar, Jharkhand, West Bengal and Kolkata | Zonal Council Odisha | 4. Western Gujarat, Maharastra, Goa, Dadra Mumbai |
Zonal Council and Nagar Haveli and Daman and | Diu | 5. Southern Andhra Pradesh, Telangana, Chennai |
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