Federalism — Student Notes
1. Meaning of Federalism
Federalism is a system in which governmental power is divided between the national/Union government and regional governments such as States.
The important idea is that each level has its own area of authority and is not simply subordinate to the other.
Main objectives
Federalism tries to achieve two things at the same time:
- Maintain national unity
- Respect regional diversity
For federalism to work successfully, different levels of government need:
- agreement on how powers will be shared, and
- mutual trust that each level will respect the arrangement.
2. Federal vs Unitary Government
| Federal Government | Unitary Government |
|---|---|
| Power is constitutionally divided between levels of government. | Power is mainly concentrated in the central government. |
| Regional governments have constitutionally protected powers. | Regional units are generally subordinate to the centre. |
| The centre normally cannot simply order a State government to act in its own area of authority. | The central government can direct subordinate units. |
| Courts can settle disputes between different levels. | Such constitutional division of power is not the basic feature. |
Example: India is based on federal principles, while Sri Lanka is described in the chapter as essentially unitary.
3. Two Types of Federations
A. Coming-together federation
Previously independent States voluntarily join together to form a larger federation.
Examples: USA, Switzerland and Australia.
Usually:
- constituent States have relatively equal powers;
- States remain strong in relation to the federal government.
B. Holding-together federation
A large country divides power between the national government and its constituent units.
Examples: India, Spain and Belgium.
Usually:
- the central government is comparatively stronger;
- different States/units may have unequal powers;
- some units may receive special provisions.
Exam shortcut:
USA → Coming together
India → Holding together
4. Key Features of Federalism
A genuine federal system generally has these features:
- Two or more levels of government
- Each level governs the same citizens but has its own jurisdiction.
- The division of powers is constitutionally defined.
- One level cannot unilaterally change the basic federal arrangement.
- An independent judiciary interprets the Constitution and settles disputes.
- Each level has defined financial/revenue sources so that it can function with financial autonomy.
Key term: Jurisdiction
Jurisdiction means the area or subjects over which a government has legal authority.
5. Why India is a Federal Country
The Constitution describes India as a “Union of States.” Although the word federation is not used in this description, the Indian system follows the basic principles of federalism.
Originally, India had two levels:
- Union Government
- State Governments
Later, a third level was added:
- Local Governments — Panchayats and Municipalities.
6. Division of Legislative Powers
The Constitution divides subjects between the Union and States through three lists.
Union List
Deals with matters requiring a common national policy.
Examples:
- Defence
- Foreign affairs
- Banking
- Communications
- Currency
Union Government alone makes laws on these subjects.
State List
Deals mainly with State and local matters.
Examples:
- Police
- Agriculture
- Irrigation
- Trade and commerce
State Governments normally make laws on these subjects.
Concurrent List
Contains subjects of common interest to both levels.
Examples:
- Education
- Forests
- Trade unions
- Marriage
- Adoption
- Succession
Both Union and State Governments can make laws. If their laws conflict, the Union law prevails.
Residuary Subjects
Subjects not included in any of the three lists come under the Union Government’s legislative authority.
Easy memory trick
Union → National matters
State → State/local matters
Concurrent → Common matters
Residuary → Union
7. Unequal Powers within Indian Federalism
India follows a holding-together model, so all States do not necessarily have identical powers.
Some States receive special constitutional provisions because of their particular historical and social circumstances.
The chapter gives examples including Assam, Nagaland, Arunachal Pradesh and Mizoram, particularly regarding protection of indigenous land, culture and certain employment-related provisions.
Union Territories
Some territories, such as Chandigarh, Lakshadweep and Delhi, do not have the same status and powers as States. The Union Government has special powers in administering them.
8. Protection of Federalism
The division of powers between Union and States cannot be changed easily.
A constitutional amendment affecting this arrangement requires:
- approval by both Houses of Parliament with at least a two-thirds majority, and
- ratification by the legislatures of at least half of the States.
The judiciary also plays an important role in resolving disputes concerning the division of powers. Both Union and State Governments have taxation powers to raise resources for their responsibilities.
9. How Federalism Works in Practice
The chapter stresses that constitutional rules alone cannot guarantee successful federalism. Democratic politics and respect for diversity are also essential.
Three important developments strengthened Indian federalism:
A. Linguistic States
After Independence, many States were reorganised.
A major principle was language: States were created or reorganised so that people sharing a language could have a common State administration.
Some States were created for other reasons such as:
- culture,
- ethnicity,
- geography.
Examples mentioned include Nagaland, Uttarakhand and Jharkhand.
Why was this important?
Initially, some national leaders feared that linguistic States would weaken India.
But experience showed the opposite: linguistic reorganisation helped accommodate diversity and strengthen national unity, while also making administration easier.
Important conclusion:
Recognising regional identities can strengthen, rather than necessarily threaten, national unity.
10. Language Policy
India did not declare any single language as its national language.
- Hindi was recognised as an official language.
- Other languages received constitutional recognition.
- States can have their own official languages.
- English continued to be used for official purposes along with Hindi after opposition from non-Hindi-speaking regions.
The chapter presents this flexibility as an important reason India avoided the kind of language conflict experienced by Sri Lanka.
Key idea
Accommodation of linguistic diversity → stronger federalism and national unity.
11. Centre–State Relations
For a long period, the same political party controlled the Union and many State Governments. This sometimes weakened the autonomy of State Governments.
The situation changed significantly after 1990 because of:
- the growth of regional political parties;
- the emergence of coalition governments at the Centre;
- greater need for national parties to work with regional parties.
This produced a stronger culture of power-sharing and respect for State autonomy. A major Supreme Court judgment also made arbitrary dismissal of State Governments more difficult.
Coalition Government
A government formed when two or more political parties join together, usually around a common programme.
12. Decentralisation
India is too large and diverse to be effectively governed only through Union and State Governments.
Therefore, power was also transferred to governments closer to the people.
Decentralisation means transferring power from higher levels of government to local governments.
Why decentralise?
Local people:
- understand local problems better;
- can identify local priorities;
- can participate directly in decisions;
- can help make administration more responsive.
Thus, decentralisation strengthens local self-government and democratic participation.
13. Third Tier of Government
India’s local-government system consists broadly of:
Rural areas — Panchayati Raj
Gram Panchayat → Panchayat Samiti/Block → Zilla Parishad
Urban areas
Municipality → Municipal Corporation for larger cities.
14. The 1992 Constitutional Amendment
A major step towards effective decentralisation came in 1992.
Important provisions included:
- Regular elections to local bodies became constitutionally mandatory.
- Seats were reserved for SCs, STs and OBCs.
- At least one-third of positions were reserved for women.
- State Election Commissions were established to conduct local elections.
- State Governments were required to share some powers and revenue with local bodies.
Gram Sabha
The Gram Sabha consists of all voters in a village.
It supervises the Gram Panchayat and discusses matters such as its budget and performance.
15. Successes and Problems of Decentralisation
Achievements
- Local democracy has expanded greatly.
- Large numbers of people now participate as elected representatives.
- Women’s political representation has increased.
- Local government has received constitutional protection.
Remaining problems
- Gram Sabhas are not always held regularly.
- Many State Governments have not transferred enough powers.
- Local bodies often lack adequate financial resources.
Therefore, genuine local self-government is still an unfinished goal.
Chapter at a Glance
Federalism
↓
Power shared among different levels
↓
Union + State + Local Governments
↓
Constitutional division of powers
↓
Union / State / Concurrent Lists
↓
Federalism strengthened through
Linguistic States + Language Accommodation + Regional Parties + Coalition Politics
↓
Decentralisation
↓
Panchayats + Municipalities
↓
Greater local participation and democracy
Important Points
- Federalism = division of power between different levels of government.
- Federalism aims to preserve unity while accommodating diversity.
- Coming-together: USA, Switzerland, Australia.
- Holding-together: India, Spain, Belgium.
- India is described constitutionally as a Union of States.
- India has Union, State and Concurrent Lists, plus residuary powers.
- Union law prevails when Union and State laws conflict on a Concurrent subject.
- Linguistic reorganisation helped strengthen Indian unity.
- Accommodation in language policy supported federalism.
- Regional parties and coalition politics after 1990 strengthened Centre–State power sharing.
- Decentralisation created a stronger third tier of government.
- The 1992 constitutional amendment strengthened local governments.
- Gram Sabha includes all voters in a village.
- The biggest continuing challenge is giving local governments enough powers and resources.
Summary:
Indian federalism works by constitutionally sharing power across Union, State and local levels while using democratic accommodation to manage India’s enormous diversity.