Formation of Indian National Congress — Latest Development

The recent Assembly elections in Tamil Nadu and West Bengal have drawn attention to the ongoing power struggle between the Centre and state governments, with DMK chief and Tamil Nadu Chief Minister M K Stalin dubbing the elections as a battle between “Team Delhi” and “Team Tamil Nadu”. This narrative is reminiscent of the historical tensions between the Centre and states, which have been a persistent theme in modern Indian history. The Right to Information Act 2005 has been a crucial tool in holding governments accountable, but the current electoral landscape raises questions about the balance of power between the Centre and states.

Historical Context

The history of Centre-state relations in India is complex and has evolved over time. The Government of India Act 1935 laid the foundation for the country's federal structure, but the Constitution of India further defined the relationship between the Centre and states. The Seventh Schedule of the Constitution outlines the division of powers between the Centre and states, with the Centre having authority over matters such as defence, foreign policy, and interstate commerce. However, the 42nd Amendment Act 1976 and the 101st Constitutional Amendment have altered the balance of power, with the Centre gaining more authority over states.

• ▸The Inter-State Council was established in 1990 to facilitate cooperation between states and the Centre.
• ▸The National Development Council was set up in 1952 to promote economic development and cooperation between states and the Centre.
• ▸The Finance Commission plays a crucial role in allocating resources between the Centre and states.

Current Developments

The current electoral landscape, with regional parties such as the DMK and Trinamool Congress (TMC) asserting their influence, raises questions about the future of Centre-state relations. The GST Council, established under the 101st Constitutional Amendment, has been a significant step towards cooperative federalism, but its effectiveness is still being tested. The 15th Finance Commission has also played a crucial role in allocating resources between the Centre and states.

Implications and Way Forward

The outcome of the recent Assembly elections will have significant implications for the balance of power between the Centre and states. A victory for regional parties such as the DMK and TMC could embolden other states to assert their autonomy, potentially leading to a more federalized system. However, this could also lead to increased tensions between the Centre and states, particularly if the Centre perceives a threat to its authority. The National Commission to Review the Working of the Constitution has recommended reforms to strengthen federalism and promote cooperative federalism.

• ▸The National Institute of Public Finance and Policy has suggested reforms to improve the functioning of the GST Council.
• ▸The Centre for Policy Research has recommended strengthening the Inter-State Council to promote cooperation between states and the Centre.
• ▸The Institute of Social Sciences has suggested promoting decentralization and empowering local governments to strengthen federalism.