Federal System

Introduction

Governments across the world are classified into unitary and federal systems based on the relationship between the national government and regional governments. In a unitary system, all powers are centralized in the national government, whereas in a federal system, power is constitutionally divided between different levels of government.

 Classification of Governments

Governments are classified into unitary and federal systems based on the relationship between the national and regional governments.

1. Unitary Government

• Power is concentrated in the national government.
• Regional governments (if they exist) derive their authority from the central government.
• Examples: Britain, France, Japan, China, Italy, Belgium, Norway, Sweden, Spain.

 2. Federal Government

• Powers are constitutionally divided between the national and regional governments.
• Both levels operate independently within their jurisdiction.
• Examples: USA, Switzerland, Australia, Canada, Russia, Brazil, Argentina.

  Origin of the Term ‘Federation’

• Derived from the Latin word ‘foedus’, meaning ‘treaty’ or ‘agreement’.
• A federation is a political system formed through an agreement among multiple units.

Names of Federal Units in Different Countries

Country	Federal Units
USA	States
Switzerland	Cantons
Canada	Provinces
Russia	Republics

Comparison: Federal vs. Unitary Government

Feature	Federal Government	Unitary Government
1. Structure	Dual government (National + Regional governments)	Single government (National government, which may create regional governments)
2. Constitution	Written Constitution	Constitution may be written (France) or unwritten (Britain)
3. Division of Powers	Power is divided between the national and regional governments	No division of power; all powers lie with the national government
4. Supremacy of Constitution	Constitution is supreme	Constitution may be supreme (Japan) or not supreme (Britain)
5. Flexibility of Constitution	Rigid Constitution (Amendments require special procedures)	May be rigid (France) or flexible (Britain)
6. Judiciary	Independent Judiciary to interpret and uphold the Constitution	Judiciary may or may not be independent
7. Legislature	Bicameral Legislature (Two Houses, representing both levels of government)	May be bicameral (Britain) or unicameral (China)

Formation of Federations

• By Integration – Smaller, weaker states unite to form a larger, stronger federation (e.g., USA).
• By Disintegration – A large unitary state grants autonomy to its provinces (e.g., Canada).

 Examples of Federations

• USA – First and oldest federation (1787); started with 13 states, now has 50 states.
• Canada – Federation since 1867, originally 4 provinces, now 10 provinces.

 Federalism in India

• India follows a federal system, but the Constitution does not use the term ‘federation’.
• Article 1 states that India is a ‘Union of States’.

 Why ‘Union of States’? (Dr. B.R. Ambedkar’s Explanation)

•   India’s federation is not formed by an agreement among states (unlike the USA).
•    States cannot secede from the Union, making it indestructible.

Indian Federalism: Canadian Model vs. American Model

• India follows the Canadian model, which establishes a strong central government.
• Similarities with Canada:
  1. Formed by disintegration of a large unitary state.
  2. Uses the term ‘Union’ instead of ‘Federation’.
  3. Central government has more powers than states.

Federal Features of the Indian Constitution

1. Dual Polity

• India has a dual polity with the Union Government at the Centre and State Governments at the periphery.
• Centre handles national issues (e.g., defence, foreign affairs, currency).
• States handle regional/local matters (e.g., agriculture, health, public order).

 2. Written Constitution

• India has the world’s lengthiest written Constitution.
• Originally: 395 Articles, 22 Parts, 8 Schedules.
• Present (2025): About 448 Articles, 25 Parts, 12 Schedules.
• Clearly defines the structure, powers, and functions of the Centre and states.

 3. Division of Powers

• Powers divided between Centre and States under Seventh Schedule:
  • Union List – 98 subjects (originally 97) (e.g., Defence, Railways, Foreign Affairs).
  • State List – 59 subjects (originally 66) (e.g., Police, Agriculture, Health).
  • Concurrent List – 52 subjects (originally 47) (e.g., Education, Forests, Marriage).
• In case of conflict, Central law prevails.
• Residuary powers belong to the Centre.

 4. Supremacy of the Constitution

• The Constitution is the highest law of the land.
• All laws must conform to the Constitution.
• The Supreme Court and High Courts can strike down unconstitutional laws through judicial review.

 5. Rigid Constitution

• Amendments affecting federal structure require:
  • Special Majority in Parliament.
  • Approval of half of the State Legislatures.
• Ensures balance between Centre and States.

 6. Independent Judiciary

• Supreme Court ensures:
  1. Constitutional Supremacy (Judicial Review).
  2. Resolution of Centre-State Disputes.
• Judges have security of tenure and fixed service conditions for independence.

 7. Bicameralism

• Parliament = Lok Sabha (Lower House) + Rajya Sabha (Upper House).
• Rajya Sabha represents states and protects federal interests.
• Ensures balance between Union and States.

Unitary Features of the Indian Constitution

1. Strong Centre

• Union List > State List (more subjects, more critical matters).
• Concurrent List – Centre has overriding powers.
• Residuary powers rest with the Centre (unlike the US, where they belong to states).

 2. States Not Indestructible

• Parliament can alter a state’s area, boundary, or name by a simple majority.
• Unlike the US, where states are indestructible.

 3. Single Constitution

• No separate State Constitutions, except Jammu & Kashmir (before Article 370 abrogation).
• Both Centre and States operate under one Constitution.

 4. Flexibility of the Constitution

• Amendments can be made by Parliament alone in most cases.
• States cannot initiate constitutional amendments (unlike the US).

5. No Equality of State Representation

• Rajya Sabha representation based on population (1-31 members per state).
• US Senate: Equal representation (2 members per state).

 6. Emergency Provisions

• During National, State, or Financial Emergency, Centre takes over state functions.
• Converts federal structure into a unitary one without a formal amendment.

 7. Single Citizenship

• Only Indian Citizenship (like Canada).
• No state-level citizenship (unlike US, Switzerland, Australia).

 8. Integrated Judiciary

• India: Single judiciary enforces both Central and State laws.
• US: Separate federal and state judiciaries.

 9. All-India Services (IAS, IPS, IFS)

• Officers are recruited, trained, and controlled by the Centre.
• Violates state autonomy in public administration.

 10. Integrated Audit Machinery

• CAG audits both Central and State accounts.
• CAG appointed/removed by the President without state consultation.

 11. Parliament’s Authority Over State List

• Rajya Sabha can pass a resolution allowing Parliament to legislate on State List matters.
• No need for an emergency declaration.

 12. Appointment of Governor

• Governor = Centre’s agent in states.
• Appointed & removable by the President.
• Unlike the US, where states elect their governors.

13. Integrated Election Machinery

• The Election Commission conducts both Central and State elections.
• The US has separate election bodies for federal and state elections.

 14. Veto Over State Bills

• Governors can reserve state bills for the President’s assent.
• The President has absolute veto (can reject bills even on the second instance).
• No such provision in the US or Australia.

Critical Evaluation of the Federal System in India

Federal vs. Unitary Nature of the Indian Constitution

• Deviates from traditional federal systems (e.g., US, Switzerland, Australia).
• More unitary features, leading to debate on federal character.

 Views of Constitutional Experts

Scholar	View on Indian Federalism
K.C. Wheare	Quasi-federal: “Unitary state with subsidiary federal features”
K. Santhanam	Unitary bias due to: (1) Centre’s financial dominance (2) Planning Commission’s control
Paul Appleby	“Extremely federal”
Morris Jones	“Bargaining federalism”
Ivor Jennings	“Federation with a strong centralising tendency”
Alexandrowicz	“India is sui generis (unique case)”
Granville Austin	“Cooperative federalism” – States are not mere administrative agencies of the Centre.

B.R. Ambedkar on Indian Federalism

• Dual polity where Centre and States derive power from the Constitution.
• Not a loose league of states nor mere administrative agencies of Centre.
• Flexible federalism: Can act federal or unitary as needed.
• States are co-equal in legislative and executive authority.

Supreme Court’s View – S.R. Bommai Case (1994)

• The Indian Constitution is federal (Federalism is a Basic Structure).
• States have independent constitutional existence.
• Emergency provisions do not destroy federalism; they are exceptions, not the rule.

Key Features Reflecting Federal Spirit

1. Inter-State Disputes
   • Maharashtra-Karnataka (Belgaum issue).
   • Karnataka-Tamil Nadu (Cauvery Water dispute).
2. Rise of Regional Parties
   • Example: DMK, TDP, BJD, TRS, etc.
3. Formation of New States
   • Examples: Mizoram (1987), Jharkhand (2000), Uttarakhand (2000), Telangana (2014).
4. State Demands for More Financial Grants
   • Greater fiscal autonomy.
5. Assertion of State Autonomy
   • Resistance to central interference.
6. Judicial Restrictions on Article 356 (President’s Rule in States)
   • The Supreme Court imposed procedural limits to prevent misuse.