Maarg Manthan · Topic 22.10

Trends in Centre-State Relations (Sarkaria Commission, Punchhi Commission)

Indian Polity › Centre-State Relations · Topic 22.10

Centre-State tensions after 1967 prompted the First ARC, the Rajamannar Committee, the Anandpur Sahib Resolution and the West Bengal Memorandum, and the Sarkaria (1988) and Punchhi (2010) Commissions, which favoured cooperative federalism with a strong Centre.

6 min read · UPSC Prelims · Polity · Centre-State Relations

At a Glance

What it is Developments, tensions and reform commissions
Before 1967 Smooth relations under one-party rule
Sarkaria 1983-88; 247 recommendations
Punchhi 2007-2010; over 310 recommendations
Exam link UPSC Prelims, Polity: Centre-State Relations

Where Does It Fit?

This is the last topic of the category on Centre-State Relations. Till 1967 relations were by and large smooth due to one-party rule at the Centre and in most states. In the 1967 elections, the Congress was defeated in nine states, and its position at the Centre weakened, heralding a new era in Centre-state relations.

Tension Areas

Non-Congress governments in the states opposed increasing centralisation and demanded state autonomy and more powers and financial resources. The tension areas include: the mode of appointment and dismissal of Governors; their discriminatory and partisan role; imposition of President’s Rule for partisan interests; deployment of Central forces in the states to maintain law and order; reservation of state bills for the President’s consideration; discrimination in financial allocations; the role of the Planning Commission in approving state projects (until replaced by NITI Aayog in 2015); management of All-India Services; use of electronic media for political purposes; appointment of enquiry commissions against Chief Ministers; sharing of finances; Central encroachment on the State List; implementation of Centrally sponsored schemes; and the modus operandi of Central agencies like the CBI and ED.

Early Reform Efforts

Body	Year	Key proposals
First Administrative Reforms Commission (Morarji Desai, then K. Hanumanthayya)	1969 report	22 recommendations: Inter-State Council under Article 263, long-experienced non-partisan Governors, maximum delegation to states, more finances to states; not acted upon
Rajamannar Committee (Tamil Nadu)	1969-1971	Inter-State Council, permanent Finance Commission, disband Planning Commission, omit Articles 356, 357 and 365, omit ministers holding office during Governor’s pleasure, transfer some subjects to the State List, residuary to the states, abolish All-India Services; ignored
Anandpur Sahib Resolution (Akali Dal)	1973	Centre limited to defence, foreign affairs, communications and currency; residuary powers to states
West Bengal Memorandum	1977	Replace union with federal; Centre limited to defence, foreign affairs, currency, communications and economic coordination; repeal Articles 356, 357 and 360; 75% of Central revenue to states; abolish All-India Services; not accepted

Sarkaria Commission (1983-88)

The three-member Commission under R.S. Sarkaria, a retired Supreme Court judge, was appointed in 1983 and reported in 1988. It did not favour structural changes and regarded the existing constitutional arrangements as basically sound, emphasising the need for functional or operational changes. It said federalism is more a functional arrangement for cooperative action than a static institutional concept. It rejected curtailing the Centre’s powers, saying a strong Centre is essential to safeguard national unity, but did not equate a strong Centre with centralisation: over-centralisation leads to blood pressure at the Centre and anaemia at the periphery. It made 247 recommendations, including a permanent Inter-Governmental Council under Article 263; sparing use of Article 356 as a last resort; strengthening All-India Services; residuary powers of taxation staying with Parliament while other residuary powers go to the Concurrent List; communicating reasons when the President withholds assent to state bills; renaming the NDC as National Economic and Development Council; reviving the Zonal Councils; consultation of states before laws on Concurrent subjects; consultation of the Chief Minister in appointing a Governor; the Governor not dismissing a ministry that has a majority; the Governor’s five-year term not being disturbed without compelling reasons; and the Centre being able to deploy armed forces without state consent, though consultation is desirable. The Centre implemented 180 of the 247 recommendations, the most important being the Inter-State Council in 1990.

Punchhi Commission (2007-2010)

The second Commission on Centre-State Relations, under Madan Mohan Punchhi, former Chief Justice of India, was set up in 2007 and submitted its seven-volume, 1,456-page report in 2010. It concluded that cooperative federalism will be the key to sustaining India’s unity and development, and made over 310 recommendations. Important ones: broad agreement between the Union and states before legislating on Concurrent List matters; the Union to be restrained in asserting supremacy over state matters and to occupy only concurrent subjects necessary for uniformity in the national interest; a six-month time frame for the President on reserved state bills and for the Governor to decide on assent or reservation; Governors to be chosen on Sarkaria’s criteria, with a fixed five-year tenure and removal by a procedure similar to impeachment of the President; Governors to cease acting as university chancellors; guidelines for choosing the Chief Minister in a hung assembly, in order of preference (pre-poll alliance with the largest number, the largest single party with support, post-poll coalition with all partners in government, and post-poll alliance with some parties inside and others supporting from outside); the Chief Minister to prove majority on the floor within a time limit; Article 356 to be strictly a last resort, with the Bommai guidelines incorporated and a framework for localised emergency; strengthening the Inter-State Council; Zonal Councils to meet twice a year; equal representation of states in the Rajya Sabha; new All-India Services in health, education, engineering and judiciary; constitutional definition of devolution to local bodies; cost sharing in Central legislation requiring state implementation; revision of mineral royalty every three years; and an Inter-State Trade and Commerce Commission under Article 307. The recommendations were considered by the Standing Committee of the Inter-State Council in 2017 and 2018 and circulated to the states for comments.

Why Is This Topic Important?

Comparison of commissions Sarkaria versus Punchhi is a favourite
Tension areas Used widely in Mains
Current relevance Federalism debates

What Came Next?

The next category covers Local Government: Panchayats and Municipalities, beginning with the 73rd Amendment.

Key People and Terms

Sarkaria Commission First Commission on Centre-State relations
Punchhi Commission Second Commission
Anandpur Sahib Resolution Akali Dal demand for autonomy
Rajamannar Committee Tamil Nadu committee on autonomy
Localised emergency Punchhi’s proposal for limited intervention

Exam Corner

Points to Remember

Sarkaria: 1983-88, 247 recommendations, 180 implemented.
Punchhi: 2007-2010, over 310 recommendations.
Inter-State Council: 1990.
1967 marks the turning point.

Do Not Confuse With

Sarkaria and Punchhi First and second commissions
Rajamannar and Sarkaria State committee versus Central commission
Anandpur Sahib and West Bengal Memorandum Akali Dal 1973 versus Left Front 1977

Memory Hook

1967 shook the Centre; Sarkaria kept it strong, Punchhi made it cooperative.

Mains Angle

Questions on this topic usually ask for the main recommendations. Use these points to add depth.

Strong Centre but not centralisation Sarkaria view
Cooperative federalism Punchhi key
Governor and Article 356 Recurring theme
Autonomy demands Rajamannar, Anandpur Sahib, West Bengal

A Question You May Face

An original practice question, not a past paper question.

“Examine the recommendations of the Sarkaria and Punchhi Commissions on Centre-State relations.”

How to Answer

Introduction 1967 and tensions.
Sarkaria Key points.
Punchhi Key points.
Conclusion Cooperative federalism.

GS Relevance

Prelims: Indian Polity, commissions. GS Paper 2: Centre-State relations.

Frequently Asked Questions

What was the Sarkaria Commission?

The Sarkaria Commission, headed by R.S. Sarkaria, a retired Supreme Court judge, was appointed in 1983 to review Centre-state relations and reported in 1988 with 247 recommendations. It favoured a strong Centre without over-centralisation and preferred functional rather than structural changes.

What was the most important Sarkaria recommendation implemented?

The Central government implemented 180 of the 247 recommendations. The most important was the establishment of the Inter-State Council in 1990 under Article 263 of the Constitution. This body still meets to discuss Centre-state issues.

What was the Punchhi Commission?

The second Commission on Centre-State relations was set up in 2007 under former Chief Justice Madan Mohan Punchhi and reported in 2010 with over 310 recommendations. It held that cooperative federalism is the key to India’s unity and development. It drew on earlier reports.

What did the Rajamannar Committee recommend?

It recommended an Inter-State Council, a permanent Finance Commission, disbanding the Planning Commission, omitting Articles 356, 357 and 365, transferring subjects to the State List, residuary powers to states and abolishing All-India Services. The Centre ignored it.

What changed in Centre-state relations after 1967?

Till 1967 relations were smooth under one-party rule. After the Congress lost nine states in 1967, non-Congress state governments opposed centralisation and demanded more autonomy, powers and financial resources, leading to tensions and several reform proposals.

PYQ Practice — Statement Analysis

1 The Sarkaria Commission submitted its report in 1988.

True

247 recommendations.

2 The Punchhi Commission was appointed in 1983.

False

In 2007.

3 The Inter-State Council was set up on the recommendation of the Sarkaria Commission.