Identify the contested areas in Centre-State relations in India.

Identify the contested areas in Centre-State relations in India. (2015, 15 Marks)

India is what Alfred Stepan calls a “holding-together” federation: the Union has the stronger hand, but state governments answer to their own electorates. The result is contest in all three constitutional spheres. The grievances listed by the Sarkaria (1988) and Punchhi (2010) Commissions are largely still live.

Legislative sphere

  • Tilted lists. Residuary power sits with the Union (Art. 248), and the 42nd Amendment moved education and forests, among other subjects, to the Concurrent List for good. Live case: NEET. Assent to Tamil Nadu’s exemption bill was withheld, and the state filed an Art. 131 suit in November 2025.
  • Overriding powers. Parliament can enter the State List through Arts 249, 250, 252 and 253 (the treaty power), and central law prevails under Art. 254. The 2020 farm laws, which touched agriculture, were repealed after protest.
  • Assent to bills (Arts 200–201). State of Tamil Nadu v. Governor of Tamil Nadu (April 2025) set timelines for assent. The Presidential Reference opinion of 20 November 2025 then held that courts cannot fix timelines and that there is no “deemed assent”.

Administrative and political sphere

  • The Governor. The Governor holds office at the Union’s pleasure and exercises discretion over floor tests. Subhash Desai (2023) held the Maharashtra Governor’s 2022 floor-test call unjustified.
  • Article 356. About 134 uses, including the mass dismissals of 1977 and 1980. S. R. Bommai (1994) curbed misuse; Manipur was under President’s Rule in 2025–26.
  • All India Services. The Union controls discipline over officers serving the states. The 2021 draft amendment to the IAS cadre rules on central deputation drew cross-party objection and was not notified in that form.
  • Central forces and agencies. The Union can deploy forces without a state’s request (Entry 2A, Art. 355). The CBI needs state consent, and eleven states have withdrawn general consent. The ED needs none.

Financial sphere

  • Vertical imbalance. The 16th Finance Commission held devolution at 41%, although eighteen states had asked for 50%. Cesses and surcharges have shrunk the divisible pool to about 81% of gross tax revenue, so the states’ effective share is nearer 32–33%.
  • Horizontal criteria. The southern states object that fiscal and demographic success is penalised. The Commission’s new 10% “contribution to GDP” criterion answers them only partly.
  • GST and borrowing. States have surrendered most tax autonomy. Kerala’s challenge to the borrowing ceiling set under Art. 293 is pending before a Constitution Bench.
  • Conditional transfers. Centrally sponsored schemes (Art. 282) come with matching shares that pre-commit state budgets.

Territory and representation

  • Article 3. Jammu and Kashmir became Union Territories in 2019; statehood is still unrestored.
  • Delimitation. Southern resistance defeated the 131st Amendment Bill (April 2026).

Conclusion

Contest is normal in any federation. What is unhealthy in India is that these contests last for decades, because the Inter-State Council (Art. 263) has not met since 2016, and so they move into court under Art. 131. A standing forum for consultation, as both Commissions urged, would let many of them be settled by negotiation.