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Federal Structure

A federal structure is a system of government where power is divided between a central authority and constituent units. It is significant for promoting regional autonomy and unity. The United States is a notable example.

Federal structure denotes a constitutional arrangement in which sovereign authority is constitutionally split between a central (or union) government and constituent political units such as states or provinces. By allocating distinct legislative, executive, and judicial competencies, it seeks to reconcile the twin imperatives of national unity and regional autonomy—a balance first codified in the United States Constitution of 1787 and later emulated by many multi‑ethnic polities, including India.

Origins / Historical Background

The British Parliament’s Government of India Act of 1935 introduced a quasi‑federal scheme that created a bicameral legislature and allotted limited powers to provincial assemblies, laying the groundwork for later constitutional design. After independence, the Constituent Assembly convened on 9 December 1946, debated federalism for 284 days, and ultimately adopted the Constitution of India on 26 January 1950, embedding a federal framework within a unitary‑leaning text. Dr. B. R. Ambedkar, chair of the Drafting Committee, argued that a “strong centre with a federal spirit” was essential for a country of over 300 million people at the time of adoption.

How It Works / Mechanism

Articles 245–255 of the Indian Constitution delineate legislative competence, allocating subjects to the Union List (List I) of 97 items, the State List (List II) of 66 items, and the Concurrent List (List III) of 47 items; for example, defense and foreign affairs reside exclusively with the Union, while police and public health fall under state jurisdiction. Executive authority mirrors this division: the Union executive is headed by President Droupadi Murmu (since 25 July 2022) and Prime Minister Narendra Modi (since 26 May 2014), whereas each state’s executive is led by a Governor appointed by the President and a Chief Minister such as M. K. Stalin of Tamil Nadu (since 7 May 2021). Judicial oversight is vested in the Supreme Court under Article 131, which adjudicates disputes between the Union and states, while High Courts exercise concurrent jurisdiction over state matters.

Key Provisions

Article 246 clarifies the distribution of legislative powers, and Article 280 establishes the Finance Commission, first constituted in 1957 under the chairmanship of Dr. C. D. Deshmukh, to recommend fiscal devolution every five years; the 15th Finance Commission, chaired by N. K. Singh, submitted its report in 2022. Article 263 created the Inter‑State Council, inaugurated on 29 December 1970 by President V. V. Giri, to facilitate dialogue among governments; the council meets at least twice a year and issues advisory resolutions on matters of common interest. The 101st Constitutional Amendment of 2020 introduced the Goods and Services Tax (GST) Council, a joint decision‑making body comprising the Union Finance Minister and all state finance ministers, which has convened monthly since its first meeting on 13 November 2017.

India's Journey

The early decades witnessed frequent invocation of Article 356—President’s Rule—most notably during the 1975 Emergency declared by Prime Minister Indira Gandhi, prompting the Supreme Court’s landmark S. R. Bommai v. Union of India judgment on 11 March 1994 that curtailed arbitrary dismissal of state governments. Fiscal federalism matured through successive Finance Commissions; the 14th Commission (2015) raised the states’ share of central taxes from 32 % to 42 %, a recommendation implemented from 1 April 2020, thereby augmenting sub‑national revenues by an estimated ₹1.5 trillion annually.

International Comparison

The United States operates under a federal system defined by the Constitution’s Articles I–III and the Tenth Amendment of 1791, which reserves to the states all powers not expressly delegated to the federal government; today, the Union exercises authority over 18 % of the nation’s GDP, while states manage the remaining 82 %. Germany’s Basic Law of 1949 establishes sixteen Länder with concurrent legislative powers, represented in the Bundesrat—a federal council where each state’s voting weight reflects its population, ranging from three votes for Bremen to six for North Rhine‑Westphalia; the Länderfinanzausgleich, introduced in 1952, equalises fiscal capacities across the federation.

Significance

Federal structure enables India’s accommodation of its 22 officially recognised languages, 28 states, and eight union territories, thereby providing institutional channels for diverse regional aspirations to influence national policy. The cooperative mechanisms of the GST Council, which has overseen the collection of over ₹12 lakh crore in indirect taxes

    Federal Structure — UPSC Concept | TheKnowledgeOrbits