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How far do you think cooperation, competition and confrontation have shaped the nature of federation in India? Cite some recent examples to validate your answer.

Federation is an agreement between two types of government sharing power and controlling their respective spheres. Based on the relationship between central and state government, the concept of federalism is divided into Cooperative, Competitive and confrontation federalism.

Cooperative Federalism: Centre and state share a horizontal relationship where they cooperate in larger interest. They Cooperate on matters specified in the schedule VII of the constitution. Examples:

1. Readiness for GST: When both centre and state have cooperated by calling off their power of taxation in respective spheres.

2. The success of All India service is an example of Cooperative Federalism.

3. The composition of NITI Aayog’s Governing Council comprises Chief Ministers of states and Administrators or Lieutenant Governors of Union Territories. 


Competitive Federalism: The relationship between central and state government is vertical and between the State government is horizontal. Example:

1. NITI Aayog endeavours to promote competitive federalism by facilitating improved performance of States/UTs.

2. Performance based grant recommended by 15th Finance Commission.

3. Holding Investor Summit like Vibrant Gujarat, Resurgent Rajasthan.

 

Confrontational Federalism: There have been instances where the Centre exercised unreasonable control or interfered with the affairs of the states, or the State is in direct conflict with the law passed by the Centre. Example:

1. Politicisation of the post of Governor: Declaration of President rule recently in Maharashtra, Arunachal Pradesh and Uttarakhand.

2. State passed a resolution against Farm law and approached the Supreme court against the Citizenship amendment act.

3. Centre denied to compensate the state in case of drop in GST Collection, which is breaches of trust.


The legal framework in the Constitution of India and its exercise by the central and state governments indicates that while cooperative federalism has not been realised completely, it is not a myth either. State governments must be incentivised to cooperate and be involved in policy-making, governance and dispute-resolution to achieve amicable outcomes. 



EXTRA points

Cooperative Federalism:

1. The Centre also re-formulated programmes like the Rural Employment Scheme (MGNREGA) that states implement at their discretion. The Central Government collaborated with the states to utilise resources and create infrastructure, similar to Amravati, the capital of Andhra Pradesh.

2. Interstate council under Article 263: It has been constituted in 2016, & 2017 after the gap of 13 years, which looked into following matters:

a). The planning of Mega projects like Interlinking of rivers was discussed. 

b). Discussed devolution of powers and autonomy to Panchayati raj institutions, fiscal relations between Centre and states as governed by the recommendation of the Finance Commission and road ahead to free inter-state trade to create an integrated domestic market.

Competitive Federalism:

1. Aspirational District Programme: ADP programme takes the principle of competitive federalism, where rankings are provided to the chosen districts on the basis of their performance in the targeted areas. Rankings are publicly available and this further will push the districts to improve their performance.

2. Though not implemented yet, most states have enacted laws that reserve jobs for locals in the private sector, the state of Madhya Pradesh passed a law that reserved government jobs for locals. 


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