73rd Amendment Act, 1992, and the Panchayati Raj System (Articles 243–243O)
Indian Polity › Local Government: Panchayats and Municipalities · Topic 23.1
The 73rd Amendment Act, 1992 added Part IX (Articles 243 to 243O) and the Eleventh Schedule, giving constitutional status to the three-tier Panchayati Raj system from 24 April 1993, with regular elections, reservations, State Election and Finance Commissions.
5 min read · UPSC Prelims · Polity · Local Government: Panchayats and Municipalities
At a Glance
- What it is The constitutional status given to rural local self-government
- Articles Part IX, Articles 243 to 243O; Eleventh Schedule (29 items)
- In force 24 April 1993
- Directive link Article 40
- Exam link UPSC Prelims, Polity: Local Government: Panchayats and Municipalities
Where Does It Fit?
This is the first topic of the category on Local Government. Panchayati Raj signifies rural local self-government, established in all states by the Acts of state legislatures to build democracy at the grass-roots level. It was constitutionalised through the 73rd Constitutional Amendment Act of 1992. Local government is a state subject: entry 5 of the State List.
Evolution Before 1992
| Body | Year | Main idea |
|---|---|---|
| Balwantrai Mehta Committee | 1957 | Democratic decentralisation: three tiers (gram panchayat, panchayat samiti, zila parishad) linked by indirect election; samiti executive, parishad advisory |
| Ashok Mehta Committee | 1977-78 | Two-tier system (zila parishad and mandal panchayat); 132 recommendations; constitutional recognition |
| G.V.K. Rao Committee | 1985 | Zila Parishad pivotal; district as unit of planning; “grass without roots” |
| L.M. Singhvi Committee | 1986 | Constitutional recognition; Gram Sabha as direct democracy; judicial tribunals for election matters |
| Thungon Committee | 1988 | Constitutional recognition; three tiers; five-year tenure; State Finance Commission |
| Gadgil Committee | 1988 | Basis for the constitutional amendment bill |
Path to Constitutionalisation
Rajasthan was the first state to establish Panchayati Raj, inaugurated by the Prime Minister on 2 October 1959 at Nagaur, followed by Andhra Pradesh. States differed on tiers: Rajasthan three-tier, Tamil Nadu two-tier and West Bengal four-tier. The Rajiv Gandhi government introduced the 64th Amendment Bill in 1989, passed by the Lok Sabha but not the Rajya Sabha. The V.P. Singh government introduced a fresh bill in 1990, which lapsed. The Narasimha Rao government introduced a modified bill in September 1991, which emerged as the 73rd Amendment Act, passed by Parliament in December 1992, ratified by 17 state assemblies and assented to on 20 April 1993, coming into force on 24 April 1993.
Significance and Salient Features
The Act added a new Part IX, The Panchayats, with Articles 243 to 243O, and the Eleventh Schedule with 29 functional items (Article 243G). It gave practical shape to Article 40, the Directive Principle that the State shall organise village panchayats. It brought panchayati raj institutions under the justiciable part of the Constitution, so neither the formation of panchayats nor regular elections depends on the will of the state government any more. Its provisions are compulsory or voluntary: the compulsory ones must be included in state laws, the voluntary ones are at the discretion of states. It converts representative democracy into participatory democracy at the grass roots.
The salient features include: the Gram Sabha as the foundation; a three-tier system (village, intermediate and district), though a state with a population not exceeding 20 lakh may not have the intermediate level; direct election of all members, with chairpersons at the intermediate and district levels elected indirectly; reservation of seats for SCs, STs and not less than one-third for women; a five-year term, with fresh elections within six months of dissolution; disqualification rules; a State Election Commission; devolution of powers and the 29 Eleventh Schedule matters; finances and a State Finance Commission every five years; audit of accounts; application to Union territories; exemption of Nagaland, Meghalaya, Mizoram, Fifth and Sixth Schedule areas, the hill areas of Manipur and Darjeeling; and a bar on courts interfering in electoral matters.
Compulsory and Voluntary Provisions
| Compulsory | Voluntary |
|---|---|
| Gram Sabha; three tiers; direct election of all seats; indirect election of chairpersons at intermediate and district levels; voting rights of chairpersons; minimum age 21; reservations for SCs, STs and one-third for women; five-year tenure and fresh election within six months of supersession; State Election Commission; State Finance Commission every five years | Powers of the Gram Sabha; manner of election of the village chairperson; representation of chairpersons and MPs/MLAs in higher tiers; reservation for backward classes; autonomy and devolution of the 29 functions; financial powers to tax, assign taxes, grants-in-aid and funds |
The Eleventh Schedule
It lists 29 items such as agriculture, land improvement, minor irrigation, animal husbandry, fisheries, social forestry, small-scale industries, khadi and village industries, rural housing, drinking water, fuel and fodder, roads, rural electrification, non-conventional energy, poverty alleviation, education, technical training, adult education, libraries, cultural activities, markets and fairs, health and sanitation, family welfare, women and child development, social welfare, welfare of the weaker sections, the public distribution system and maintenance of community assets. The Second Administrative Reforms Commission found the performance of panchayats unsatisfactory because states did not devolve the 3Fs (functions, funds and functionaries), bureaucrats controlled the panchayats, funds were tied to schemes, panchayats depended heavily on government grants and rarely used their taxing powers, the Gram Sabha was weak and parallel bodies were created.
Why Is This Topic Important?
- Core topic Appears in Prelims every year
- Committees Names and years are asked
- Compulsory and voluntary lists Statement-based
What Came Next?
The next topic covers the Gram Sabha under Article 243A.
Key People and Terms
- Panchayati Raj Rural local self-government
- Part IX The Panchayats
- Eleventh Schedule 29 functional items
- 3Fs Functions, funds and functionaries
- PESA Extension Act of 1996
Exam Corner
Points to Remember
- 73rd Amendment: 1992; in force 24 April 1993.
- Part IX, Articles 243 to 243O.
- 29 items in the Eleventh Schedule.
- First state: Rajasthan (Nagaur, 1959).
Do Not Confuse With
- 73rd and 74th Amendments Panchayats versus municipalities
- Balwantrai Mehta and Ashok Mehta Three-tier 1957 versus two-tier 1978
- Compulsory and voluntary provisions Must versus may
Memory Hook
Twenty-nine functions, three tiers, Part IX: Panchayati Raj became constitutional in 1993.
Mains Angle
Questions on this topic usually ask about the effectiveness of the 73rd Amendment. Use these points to add depth.
- Constitutional status Elections no longer at the state’s will
- Participatory democracy Gram Sabha
- Devolution gap 3Fs not devolved
- Finance Heavy dependence on grants
A Question You May Face
An original practice question, not a past paper question.
“Discuss the salient features of the 73rd Constitutional Amendment Act and the reasons for the poor performance of Panchayati Raj Institutions.”
How to Answer
- Introduction Evolution.
- Features Compulsory and voluntary.
- Performance Reasons.
- Conclusion Reforms.
GS Relevance
Frequently Asked Questions
What did the 73rd Amendment Act do?
The 73rd Constitutional Amendment Act of 1992 added Part IX and the Eleventh Schedule, giving constitutional status to Panchayati Raj institutions. It came into force on 24 April 1993 and made regular elections and the three-tier structure a constitutional obligation on states.
Which committee recommended the three-tier system?
The Balwantrai Mehta Committee of 1957 recommended a three-tier system of gram panchayat, panchayat samiti and zila parishad, linked by indirect elections, to implement democratic decentralisation, which came to be known as Panchayati Raj. The National Development Council accepted it in 1958.
Which was the first state to adopt Panchayati Raj?
Rajasthan was the first state to establish Panchayati Raj, inaugurated by the Prime Minister on 2 October 1959 in Nagaur district. Andhra Pradesh adopted the system in the same year, and most states followed. Rajasthan adopted a three-tier pattern.
What is the Eleventh Schedule?
The Eleventh Schedule lists 29 functional items for panchayats, including agriculture, minor irrigation, drinking water, rural housing, roads, education, health, women and child development and the public distribution system, under Article 243G. It was added by the 73rd Amendment Act.
Where does the Act not apply?
The Act does not apply to Nagaland, Meghalaya and Mizoram, the scheduled and tribal areas, the hill areas of Manipur with district councils, and Darjeeling district, though Parliament can extend it to scheduled areas, as it did through PESA 1996.
PYQ Practice — Statement Analysis
1 The 73rd Amendment added Part IX-A.
Part IX; IX-A is municipalities.
2 The Balwantrai Mehta Committee was appointed in 1957.
It suggested three tiers.
3 The Eleventh Schedule has 18 items.
29 items; 18 is the Twelfth Schedule.
4 Panchayat elections can now be postponed at the state government’s will.
Constitutional obligation.
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