The
recently concluded meeting of the Inter-State Council (ISC) agreed
on two far reaching decisions. Home minister L K Advani, defence minister
George Fernandes, HRD minister Murali Manohar Joshi, Chief Ministers
of most states and Union Territory administrators, attended this meeting.
The ISC discussed on 59 recommendations of the Sarkaria commission.
These included the role of governors, the legislative relations, inter-governmental
council, mines and minerals, All-India Services, mass media and languages.
One of the far-reaching decisions arrived at by the ISC pertains
to the appointment of the governor for the States and the code of
conduct for a governor after demitting office. The ISC decided that
after demitting office a governor would be barred from returning to
active politics even though he/she will be entitled to a second term.
However, a governor could become vice-president or President. It is
argued that the right to contest an election is not a fundamental
right and hence barring a Governor from returning to active politics
is not a breach of fundamental rights. In this connection, the law
minister Arun Jaitley has clarified that in the Representation of
People Act it is laid down that conditions such as age, being of sound
mind etc can bar a candidate from contesting an election, without
infringing on the fundamental right. This is a far reaching decision
as this would help in eliminating the ulterior motives of a governor
in case he/she wanted to return to active politics after completing
the term. This is also in line with the practice that after demitting
office, the President retires from active politics.
The ISC meeting also decided that it is mandatory for the Centre
to consult the concerned state Chief Minister before appointing a
Governor to the state. A constitutional amendment would be brought
before the Parliament to bind the Centre in consulting the state chief
minister in the selection of a governor. Also, it would be wiser to
spell out the qualifications for a governor in this amendment otherwise
the selection or preference of a person for the gubernatorial post
based on the condition of amicability (between the Chief Minister
and the Governor) alone could dilute the importance of the post.
The Commission of Inquiry Act deals with the procedures to set up
an Inquiry Commission against an erring state government. The Sarkaria
commission had suggested a few safeguards to prevent the Centre from
misusing the Commission of Inquiry Act, 1952. The safeguards laid
down that before such an inquiry is instituted, it should be accepted
by the ISC and a resolution supporting it be passed by both Houses
of Parliament. The Centre expressed its apprehensions that if these
safeguards suggested by the Sarkaria commission were to be implemented,
it would be impossible to set up a commission of Inquiry against any
state government. The Centre termed these safeguards as impractical.
On the other hand, most state governments have welcomed these safeguards
and these have been endorsed by the Inter-State Council's standing
committee. The NDA government at the Centre may be hesitating to implement
the safeguards as it is outnumbered both in the ISC and in the Rajya
Sabha. If the Centre believes that the ISC and the Rajya Sabha would
be partisan in its attitude towards an Inquiry Commission against
a non-NDA state government, as and when the need arises to set up
one such Commission of Inquiry, it is a mere prejudice. The Centre
would do well in strengthening the Federal democracy by accepting
to abide by the safeguards recommended by the Sarkaria Commission.
Other than the above matters that pertain to the Centre-State relation,
the ISC also took some very important decisions. Some of them are
listed here.
(1) Recently, our Prime Minister exhorted the states on the imperative
to generate their resources on their own instead of all the time looking
towards the Centre to rescue them and also insisted that the States
should pass their own legislation to effectively combat extremism
and terrorism in their territory.
Taxation powers, which were so far in the Union list, would now be
shifted to the Concurrent list. This is done keeping in mind the need
for states to mobilise more resources. In fact, the Sarkaria Commission
recommended only the transfer of all residuary powers of legislation
other than taxation matters, to the concurrent list. However, the
Centre took a bold step in transferring even the taxation power to
the Concurrent list, much to the delight of the sate governments.
The Centre deserves appreciation for this progressive step. It also
conveys a point that when the Prime Minister asks for the states to
raise their own resources, he means it and now that he had enabled
the states to do that, it is now for the states to show their prowess
in handling their economic affairs.
(2) Another important gain for the states is that for all the legislation
in respect of subjects on the Concurrent list, there should be "active
consultation" with the state government, except in emergent cases.
(3) States would now be allowed to impose local or municipal taxes
on industrial or commercial properties owned by the Centre. Soon there
will be a comprehensive legislation passed, including a provision
for a dispute redressal mechanism.
Several state governments have been demanding an upward revision
of royalty on minerals, especially coal. For instance, Tamilnadu and
Bihar have been demanding an upward revision of royalty on coal mines.
The Inter-State Council meeting noted that the report from the high
powered committee looking into this matter is awaited as the committee
had concluded its deliberations. Thereafter, the cabinet committee
on economic affairs would decide on the report.
The ISC meeting had decided that its standing committee would explore
the possibility of allowing the regional language TV channels emanating
from most of the states to carry welfare activities implemented by
the state governments in different fields of development, education
or health care.
The Prime Minister and the Home Minister also assured the ISC that
the opposition parties and the state governments would be taken into
confidence in its effort to arrive at a consensus on Prevention of
Terrorism Ordinance (POTO) before it is brought before the Parliament.
Overall, the recently concluded ISC was one of the progressive and
productive meetings held in the recent past. There is no doubt that
the decisions taken in the recently concluded ISC meeting would make
the Centre and the States to work together and more importantly in
a cordial manner. The nation needs liberalisation not only in trade
and commerce, but also in all our conservative approaches, be it in
legal affairs, in education system or in our external and internal
affairs.
