Inter-State Relations
In a federal structure like India, maintaining cooperation, coordination, and balance between states is vital to national integrity. The Constitution of India, while primarily focusing on Centre-State relations, also contains provisions for inter-state relations, aimed at promoting harmony and resolving disputes among states.
These relations cover various dimensions—legislative, administrative, financial, and dispute resolution mechanisms—ensuring that no state acts in isolation or against the interests of others.
Inter-State Water Disputes in India
Constitutional Provision: Article 262
- Article 262 of the Indian Constitution provides a mechanism for adjudicating disputes relating to inter-state rivers and river valleys. It contains two key clauses:
- Adjudication by Law:
- Parliament may by law provide for the adjudication of any dispute or complaint related to the use, distribution, or control of waters in inter-state rivers or river valleys.
- Exclusion of Judiciary:
- Parliament may also provide that neither the Supreme Court nor any other court shall have jurisdiction over such disputes.
Key Legislations Enacted Under Article 262
- The River Boards Act, 1956
- Provides for setting up of River Boards by the Central Government on request from state governments.
- Role: To advise state governments on the regulation and development of inter-state rivers and river valleys.
- The Inter-State River Water Disputes Act, 1956
- IRWD Act is applicable only to interstate rivers/river valleys.
- It empowers the Central Government to establish ad hoc tribunals for adjudicating disputes between two or more states in relation to the waters of an inter-state river or river valley.
- The decision of the tribunal is final and binding on the parties involved.
- Courts, including the Supreme Court, are barred from interfering in such disputes once a tribunal is formed.
Article 262 in Constitution of India
Adjudication of disputes relating to waters, of inter-State rivers or river valleys
Disputes relating to Waters
(1)Parliament may by law provide for the adjudication of any dispute or complaint with respect to the use, distribution or control of the waters of, or in, any inter-State river or river valley.
(2)Notwithstanding anything in this Constitution, Parliament may by law provide that neither the Supreme Court nor any other court shall exercise jurisdiction in respect of any such dispute or complaint as is referred to in clause (1).
Notable Inter-State Water Dispute Tribunals
Tribunal | Year of Constitution | States Involved |
|---|
Krishna Water Disputes Tribunal | 1969, 2004 (reconstituted) | Maharashtra, Karnataka, Andhra Pradesh |
Godavari Water Disputes Tribunal | 1969 | Maharashtra, Andhra Pradesh, Karnataka, Madhya Pradesh, Odisha |
Cauvery Water Disputes Tribunal | 1990 | Tamil Nadu, Karnataka, Kerala, Puducherry |
Narmada Water Disputes Tribunal | 1969 | Madhya Pradesh, Maharashtra, Gujarat, Rajasthan |
Ravi-Beas Water Disputes Tribunal | 1986 | Punjab, Haryana, Rajasthan |
Mahadayi (Mandovi) Water Disputes Tribunal | 2010 | Karnataka, Goa, Maharashtra |
Vansadhara Water Disputes Tribunal | 2010 | Odisha and Andhra Pradesh |
Mahanadi Water Disputes Tribunal | 2018 | Odisha and Chhattisgarh |
Inter-State Councils in India
Constitutional Provision: Article 263
- Article 263 of the Indian Constitution provides for the establishment of an Inter-State Council by the President to promote coordination among states and between the Centre and states, especially in matters of common interest or inter-state disputes.
- When Can the President Establish a Council?
- If the President feels that public interest would be served, he/she can constitute an Inter-State Council and define its:
- Duties
- Organisation
- Procedure
- Constitutionally Specified Duties (Article 263)
- Even though the President defines the specific duties,Article 263 specifies the duties that can be assigned to it in the following manner:
- inquiring into and advising upon disputes which may have arisen between States;
- investigating and discussing subjects in which some or all of the Slates, or the Union and one or more of the States, have a common interest; or
- making recommendations upon any such subject and, in particular, recommendations for the better co-ordination of policy and action with respect to that subject.
Based on these powers, the President has constituted the following subject-specific coordination councils:
- Central Council of Health and Family Welfare
- It is an apex advisory body set up under Article 263 of the Constitution to provide support and advice to the Department of Health, Ministry of Health and Family Welfare on policy formulation and to consider and recommend broad lines of policy in regard to matters concerning health.
- The first meeting of the CCHFW was held in 1988.
- Central Council of Local Government
- Facilitates coordination on urban development, sanitation, housing, and municipal administration.
- Advises on policy issues concerning local bodies and governance.
- Four Regional Councils for Sales Tax
- Created for the Northern, Eastern, Western, and Southern Zones
Article 263 in Constitution of India
Provisions with respect to an inter-State Council
Co-ordination between StatesIf at any time it appears to the President that the public interests would be served by the establishment of a Council charged with the duty of–
(a)inquiring into and advising upon disputes which may have arisen between States;(b)investigating and discussing subjects in which some or all of the Slates, or the Union and one or more of the States, have a common interest; or(c)making recommendations upon any such subject and, in particular, recommendations for the better co-ordination of policy and action with respect to that subject,it shall be lawful for the President by order to establish such a Council, and to define the nature of the duties to be performed by it and its organisation and procedure.
Inter-State Council vs Supreme Court (Article 131)
Inter-State Council (Article 263) | Supreme Court (Article 131) |
|---|
Can look into legal and non-legal disputes | Can decide only legal disputes |
Role is advisory | Decision is binding |
Flexible and dynamic forum | Judicial and formal adjudication |
Inter-State Council
Background: Sarkaria Commission Recommendation
- The Commission on Centre-State Relations under the Chairmanship of Justice R. S. Sarkaria in its report in January 1988 recommended that:
- A permanent Inter-State Council called the Inter-Governmental Council (IGC) should be set up under Article 263.
- The IGC should be charged with the duties set out in clauses (b) and (c) of Article 263, other than socio-economic planning and development.”
- Making recommendations for better coordination of policy and action.
- Deliberating on matters of general interest to the states.
Formation of the Council
- In 1990, following the Sarkaria Commission’s recommendation, the Janata Dal Government led by V.P. Singh established the Inter-State Council by Presidential order.
- Composition
- Chairman: Prime Minister of India
- Members:
- Chief Ministers of all states
- Chief Ministers of UTs with legislative assemblies
- Administrators of UTs without assemblies
- Governors of states under President’s Rule
- Six Central Cabinet Ministers (including the Home Minister) nominated by the PM
- Permanent Invitees:
- Five Ministers of Cabinet rank or Ministers of State (independent charge) nominated by the PM
- Nature & Role
- Advisory/Recommendatory Body (non-binding)
- Focuses on Centre–State, State–State, and Centre–UT relations
- Promotes coordination by discussion, investigation, and recommendations
- Functions
- Investigate and discuss subjects of common interest to Centre and States
- Making recommendations upon any such subject for the better coordination of policy and action on it;
- Deliberating upon such other matters of general interest to the states as may be referred to it by the chairman
- Meeting Protocol
- Meets at least thrice a year
- In-camera meetings (closed-door)
- Decisions by consensus, not voting
- Standing Committee
- In the second meeting of the Inter-State Council held on 15.10.1996, the Council decided to set up a Standing Committee for continuous consultation and processing of matters for consideration of the Council. Accordingly, a Standing Committee was set up under the Chairmanship of the Home Minister in 1996.
- The Standing Committee has been reconstituted from time to time with the approval of the Chairman of the Council.
- Composition :
- Chairman: Union Home Minister
- Members:
- Five Union Cabinet Ministers
- Nine Chief Ministers
- Purpose: Continuous consultation and processing of issues for ISC meetings
- Secretariat of the Council
- Established in 1991
- Headed by a Secretary to the Government of India
- Since 2011, also serves as secretariat to Zonal Councils
Public Acts, Records and Judicial Proceedings
- Constitutional Basis:
- Article 261 of the Indian Constitution provides a constitutional guarantee that public acts, records, and judicial proceedings of the Union and States shall be recognised and respected throughout the territory of India.
Key Provisions:
- Recognition Across States:
- 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. T
- Public Acts: Includes both legislative and executive acts of the Centre and States.
- Public Records: Includes official books, registers, and records maintained by public servants.
- Judicial Proceedings: Covers court rulings and procedures.
- Power of Parliament:
- Parliament is empowered to make laws that determine:
- How such acts and records are to be proved
- What effect they will have in other states
- Execution of Civil Judgements:
- Final judgments or orders passed by civil courts in any state are executable across India without requiring a fresh suit.
- This provision does not apply to criminal judgements (i.e., penal laws of one state need not be enforced by another state).
Article 261 in Constitution of India
Public acts, records and judicial proceedings
(1)Full faith and credit shall be given throughout the territory of India to public acts, records and judicial proceedings of the Union and of every State.
(2)The manner in which and the conditions under which the acts, records and proceedings referred to in clause (1) shall be proved and the effect thereof determined shall be as provided by law made by Parliament.
(3)Final judgments or orders delivered or passed by civil courts in any part of the territory of India shall be capable of execution any where within that territory according to law.
Inter-State Trade and Commerce in India (Articles 301–307)
Articles 301 to 307 in Part XIII of the Constitution deal with trade, commerce and intercourse within the territory of India. The objective is to ensure economic unity and freedom of trade across the country.
Article 301: Freedom of Trade, Commerce and Intercourse
- “Trade, commerce and intercourse throughout the territory of India shall be free.”
- It applies to both inter-State and intra-State trade.
- This provision aims to remove internal trade barriers and ensure the free flow of goods and services across India.
- The freedom guaranteed under Article 301 is essentially a freedom from all restrictions, except those specifically permitted under Articles 302 to 305 of Part XIII of the Constitution.
Exceptions and Restrictions (Articles 302–305)
- Parliament is empowered to impose restrictions on the freedom of trade, commerce, and intercourse between states or within a state, if it is in the public interest. However, Parliament cannot give preference to one state over another or discriminate between states, except when dealing with situations of scarcity of goods in any part of India.
- A state legislature may impose reasonable restrictions on the freedom of trade, commerce, and intercourse within or with that state, if it is in the public interest. However:
- A bill for this purpose can be introduced only with the prior approval of the President.
- The state legislature cannot give preference to one state over another, nor can it discriminate between states.
- A state legislature may impose taxes on goods imported from other states or Union Territories, but only if similar goods produced within the state are subject to the same tax. This ensures that states cannot impose discriminatory taxes on goods coming from outside.
- The freedom guaranteed under Article 301 is also subject to nationalisation laws. This means that Parliament or a state legislature can enact laws allowing the government (Union or State) to carry on any trade, business, industry, or service—either wholly or partly to the exclusion of citizens. In other words, the Constitution permits the creation of monopolies in favour of the government.
- Parliament is empowered to appoint an appropriate authority to ensure the implementation of the provisions relating to the freedom of trade, commerce, and intercourse and the restrictions on it. Parliament may also confer upon such an authority the necessary powers and duties to carry out this function. However, no such authority has been appointed till now.
Article 301 in Constitution of India
Freedom of trade, commerce and intercourse
Subject to the other provisions of this Part, trade, commerce and intercourse throughout the territory of India shall be free.
Article 302 in Constitution of India
Power of Parliament to impose restrictions on trade, commerce and intercourse
Parliament may by law impose such restrictions on the freedom of trade, commerce or intercourse between one State and another or within any part of the territory of India as may be required in the public interest.
Article 303 in Constitution of India
Restrictions on the legislative powers of the Union and of the States with regard to trade and commerce
(1)Notwithstanding anything in article 302, neither Parliament nor the Legislature of a State shall have power to make any law giving, or authorising the giving of, any preference to one State over another, or making, or authorising the making of, any discrimination between one State and another, by virtue of any entry relating to trade and commerce in any of the Lists in the Seventh Schedule.(2)Nothing in clause (1) shall prevent Parliament from making any law giving, or authorising the giving of, any preference or making, or authorising the making of, any discrimination if it is declared by such law that it is necessary to do so for the purpose of dealing with a situation arising from scarcity of goods in any part of the territory of India.Article 304 in Constitution of India
Restrictions on trade, commerce and intercourse among States
Notwithstanding anything in article 301 or article 303, the Legislature of a State may by law–
(a)impose on goods imported from other Statesor the Union territories any tax to which similar goods manufactured or produced in that State are subject, so, however, as not to discriminate between goods so imported and goods so manufactured or produced; and(b)impose such reasonable restrictions on the freedom of trade, commerce or intercourse with or within that State as may be required in the public interest:Provided that no Bill or amendment for the purposes of clause (b) shall be introduced or moved in the Legislature of a State without the previous sanction of the President.
Article 305 in Constitution of India
Saving of existing laws and laws providing for State monopolies
Nothing in articles 301 and 303 shall affect the provisions of any existing law except in so far as the President may by order otherwise direct; and nothing in article 301 shall affect the operation of any law made before the commencement of the Constitution (Fourth Amendment) Act, 1955 , in so far as it relates to, or prevent Parliament or the Legislature of a State from making any law relating to, any such matter as is referred to in sub-clause (ii) of clause ( 6 ) of article 19 .
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Article 306 in Constitution of India
Rep. by the Constitution (Seventh Amendment) Act, 1956
Article 307 in Constitution of India
Appointment of authority for carrying out the purposes of articles 301 to 304
Parliament may by law appoint such authority as it considers appropriate for carrying out the purposes of articles 301, 302, 303 and 304, and confer on the authority so appointed such powers and such duties as it thinks necessary.
FAQs
Q1. What is the Inter-State Council and under which Article is it formed?
Ans. The Inter-State Council is a recommendatory body formed under Article 263 to discuss and coordinate policies between the Centre and the states, and among the states themselves.
Q2. What is the role of Article 261?
Ans. Article 261 ensures that public acts, records, and judicial proceedings of one state are given full faith and credit in other states across India.
Q3. Which body resolves inter-state water disputes?
Ans. The Parliament, under Article 262, may establish tribunals to adjudicate inter-state river water disputes. Examples include the Cauvery and Krishna Water Disputes Tribunals.
Q4. Is trade and commerce between states free in India?
Ans. Yes. Under Article 301, trade, commerce, and intercourse are free throughout India, subject to reasonable restrictions under Articles 302 to 305.
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