Federalism is a system of government where power is divided between a central authority and constituent units. In India, power is divided between the central government, state governments, and local governments. Key aspects of Indian federalism include a three-tier structure of governance, distribution of legislative powers between union and state lists, and the creation of linguistic states to better represent cultural diversity. However, local governments still face difficulties like irregular village assemblies and lack of resource/power transfers from states.

1. Federalism (Civ-2)
Definition:- It is a system of govt. in which power is divided between a central authority and various constituent
units of the country.
Usually Federation has 2 Levels of Government…
• One is the Government for the entire country that is usually responsible for a few subjects of common
national interest.
• The others are Governments at the level of provinces/states that look after much of day to day
administrating of their states.
• Both enjoy their power independent of the other.
Federations are contrasted with Unitary govts.
• Under unitary system, either there is only one level of govt.or the sub units are subordinate to the
Central govt. (a form of govt.in which power is held by one central authority)
• The central govt.can pass on orders to the provincial or the local govt.
• In a Federal system, the central govt.cannot order the state govt.to do something.
• State Government has powers of its own for which it is not answerable to the central govt.
• Both these govts.are separately answerable to the people
Key Features of Federalism…
• There are two/more levels (tiers)of Govt.
• Different tiers of govt.govern the same citizens, but each level has its own Power or jurisdiction.(the
area over which someone has legal authority)
• The jurisdiction of the respective levels or tiers of govt.are specified in the constitution. (constitutionally
guaranteed)
• The fundamental provisions of constitution cannot be unilaterally changed by one level of the govt.
• Courts have the power to interpret the constitution and the powers of different levels of govt. (Supreme
court acts as an umpire if disputes arises between different levels.)
• Sources of revenue for each level of govt.are clearly specified to ensure its financial autonomy.
• It has dual objectives:-
• To safeguard /promote the unity of the country.
• To accommodate regional diversity.
Two Crucial Aspects of An Ideal Federalism
1. Mutual trust
2. Agreement to live together
The exact balance of power between the central and the state govt.varies from one federation to
another. There are two kinds of routes through which federations have been formed.
They are coming together federations and holding together federations.

2. Difference between CT & HT Federations
• Coming together – Independent states coming together on their own to form the bigger one.
• Increase security by pooling(combine/join) sovereignty and retaining (hold back/remain)identity.
• All constituent states have equal power.
• Eg: USA, Switzerland, Australia
• Holding together – Large country decides to divide its power between constituent states and centre.
• Centre is more powerful vis-à-vis the states.
• Constituent units of federation have unequal powers.
• Eg: India, Spain, Belgium
How did India emerge as a Federal State
• India had emerged as an independent nation after a painful and bloody country.
• Soon after independence, several princely states became a part of the country.
• The constitution declared India as a union of states.
• Although it did not use the word federalism, the Indian union is based on the principles of federalism.
• The constitution originally provided for a two-tier system of govt.
• Union govt./Central govt.representing the Union of India and State govt.
• Later, a three tier of ‘Panchayati Raj’ or local govt.was added.
What has made India a Federal Country?
1. Constitution has declared India as a Union of States.
2. Three tier Federalism-Union, State and Panchayat.
3. All states in the Indian Union do not have identical powers. Eg. Jammu & Kashmir and Union territories.
4. Changes in power sharing has to be passed by two thirds majority in the parliament.
5. In case of any dispute regarding division of power, the apex court will take decision.
6. Three fold distribution of legislative powers under Union list, State list and Concurrent list.

3. Union List - Includes subjects of National importance.
Union govt. alone can make laws.
Defence, Banking, Currency, Foreign affairs and communication.
State List - Contains subjects of local and State importance.
State Govt. alone can make laws.
Police, trade, commerce, agriculture and irrigation.
Concurrent List - Has subjects of common interest both to Centre and State.
Both the Centre and State can frame laws.
Education, Forest, Trade Unions, Marriage, Adoption and succession.
Residuary Powers…
• Are subjects which do not fall under any of these three lists.
• Union government alone has the power to make laws. Eg. Computer software.
Jammu & Kashmir and Some Union Territories
• J&K has its own constitution
• Many provisions of the Indian Constitution are not applicable to this state without the approval of the
State assembly.
• Indians who are not permanent residents of this state cannot buy land or house here.
• There are some units of the Indian Union which enjoy very little power. There are areas which are too
small to become an independent state but which could not be merged with any of the existing states.
• Eg: Chandigarh, Lakshadweep or capital city of Delhi. These territories do not have the powers of a state.
The central govt.has special powers in running these areas.
How does India practice power sharing?
• By creating linguistic states, which has made administration easier.-New states have been created since
1947.
• No language has been given the status of national language by the Constitution.

4. • Restructuring of power sharing between Centre and State. Rise of regional political parties and coalition
government has led to a new culture of power sharing.
• Three fold distribution of legislative powers.
Linguistic State...
• Many new states have been formed, boundaries have been changed, people of common language have
been brought together, states created on the basis of culture, ethnicity and geography has made the
country united and administration made easy.
• Example NAGALAND, UTTARAKHAND AND JARKHAND.
Language Policy
• No language has been given the status of National language.
• Central government can’t impose Hindi on non-Hindi speaking states.
• 22 languages have been recognised as scheduled languages.
• According to the Constitution, the use of English for official purposes was to stop in 1965.
• Many non-Hindi peaking States demanded that the use of English to continue. (TN-violent form)
• Later Centre agrees to use English along with Hindi. By this flexibility is shown.
Centre - State relation...
• Restructuring the Centre-State relations is one more way in which federalism has been strengthened in
practice.
• Central Government cannot undermine(weaken) the powers of state or dismiss them.
• Coalition Government - power sharing is more effective today. (A govt.formed by the coming together of
at least two political parties. Usually partners in a coalition alliance and adopt a common programme.)
What undermines the spirit of Federalism?
• Centre misusing the Constitution to dismiss the State Government that was controlled by rival parties.
• Coalition Governments led to a new culture of power sharing and respect for the autonomy of State
Governments.
What brought about the real success of Federalism in India?
• Nature of democratic politics.
• Respect for democratic politics.
• Desire for living together.
Decentralisation…
• When power is taken away from Central and State Governments and given to Local Governments.
Why?
1. Vastness of States in size and population.
2. Internally diverse.
3. Need for power sharing.
Decentralisation
• States in India are as large as independent countries of Europe.
• In terms of population, UP is bigger than Russia, MH is about as big as Germany.
• Many of these states are internally very diverse.
• Thus a need for power sharing within these states.
• Federal power sharing in India needs another tier of govt.below the state govts. This is the rationale for
decentralisation of power. Thus resulted a third-tier of govt.called local govt.
Basic idea behind Decentralisation…
• Solving large number of problems and issues at local level.

5. • People have better knowledge of problems in localities.
• Better ideas on where to spend money and how to manage things efficiently.
• Peoples participation in decision making.
• To realize one important principle of democracy - Local Self Government.
1992 Act… brought in effective Decentralisation.
Steps taken for this by the Constitution are :
1. It is mandatory to hold regular elections to local government bodies.
2. Reservation of seats for SC,ST and OBCs.
3. 1/3 SEATS RESERVED FOR WOMEN.
4. An independent institution called State Election Commission conducts elections.
5. State government share some power and revenue with local govt. bodies.
Panchayati Raj-Local Self Govt.(Rural)
• Village level - Gram Panchayat->formed by Gram Sabha->Headed by Sarpanch
• Block level – Panchyat Samiti->elected by Panchayat->BDO
• District level – Zilla Parishad->Formed by elected members and have members of Lok Sabha and MLA of
the district->Zilla Chairperson
Local Self Govt.(Urban)
• Towns – Municipalities->Municipal Chairperson is the head
• Big Cities – Municipal Corporations->Mayor is the head
Panchayatiraj – Local Self Government(Rural)
Local Government(Urban)
Po

6. Conclusion & Difficulties faced by Local Governments...
• This new system of local govt.is the largest experiment in democracy conducted anywhere in the world.
There are now about 36 lakh elected representatives in the panchayats and municipalities etc.all over
the country. This number is bigger than the population of many countries in the world. Constitutional
status for local govt.has helped to deepen democracy in our country. It has also increased women’s
representation and voice in our democracy.
• Gram Sabhas are not held REGULARLY.
• Most of the State Governments are not transferring powers/resources to the local govt.

7. Conclusion & Difficulties faced by Local Governments...
• This new system of local govt.is the largest experiment in democracy conducted anywhere in the world.
There are now about 36 lakh elected representatives in the panchayats and municipalities etc.all over
the country. This number is bigger than the population of many countries in the world. Constitutional
status for local govt.has helped to deepen democracy in our country. It has also increased women’s
representation and voice in our democracy.
• Gram Sabhas are not held REGULARLY.
• Most of the State Governments are not transferring powers/resources to the local govt.