Inter-State Council – Explained Pointwise

Table of Content

Introduction Background Composition Functions & Duties of ISC Standing Committee of ISC Other bodies to promote inter-state relations Significance of ISC Limitations of ISC Way forward

Introduction:

• The Inter-State Council (ISC) is a constitutional body designed to foster coordination and cooperation between the Union and the State governments in India.
• ISC is a vital forum in India’s political structure, established to facilitate discussions and cooperation between the Central government and the State governments. 
• It serves as a key mechanism to promote and support the principle of cooperative federalism in the country.
• The Council may meet at least thrice in a year.

Background:

• The provision for an ISC is enshrined in Article 263 of the Constitution, which empowers the President to establish such a council if it is in the public interest. 
• Despite this provision existing since 1950, the council was not formed for four decades. It was finally established in 1990 by the Janata Dal government led by V. P. Singh through a presidential order, following the key recommendations of the Sarkaria Commission (1988). 

Composition:

• Chairman: The Prime Minister
• Members:
  • Chief Ministers of all states and union territories that have a legislative assembly.
  • Administrators of union territories without a legislative assembly
  • 6 Ministers of Cabinet rank in the Union Council of Ministers to be nominated by the Prime Minister.
• Permanent Invitees: 13 Union Ministers are permanent invitees to the council.

Functions & Duties of ISC:

1. Coordination: The ISC aims to foster coordination between the states and the central government in matters of policy making and implementation. 
2. Investigation & Discussion: Examine and deliberate on subjects in which some or all of the states, or the Union and one or more states, have a common interest.
3. Inquire and Advise: Investigate and advise upon disputes that may have arisen between states.
4. Resolve Disputes: The council also assists in resolving disputes between states or between states and the central government. 
5. Make Recommendations: Offer recommendations for the better coordination of policy and action on any such subject, which is its primary role in fostering cooperative federalism.

Standing Committee of ISC:

• To ensure continuous dialogue, the council also has a Standing Committee. It was established in 1996. 
• The Standing Committee has been reconstituted from time to time with the approval of the Chairman of the Council. It was last reconstituted in November 2024. 
• Composition of Standing Committee:
  • Union Home Minister as the Chairman
  • 5 Union Cabinet Ministers
  • 9 Chief Ministers 
• Its role is to facilitate continuous consultation and process issues related to centre-state relations before they are taken up by the full council.
• The standing committee also monitors the implementation of the decisions taken on the recommendations of the council and considers any other matter referred to it by the chairman or the council. 
• The Council is assisted by a secretariat called the Inter-State Council Secretariat. This secretariat was set-up in 1991 and is headed by a secretary to the Government of India. Since 2011, it is also functioning as the secretariat of the Zonal Councils. 

Other bodies to promote inter-state relations:

Zonal Councils

Zonal Councils are Statutory Bodies. They were established under Part III of the States Reorganisation Act, 1956.  Zonal Councils are the regional counterparts to the national-level ISC. They were created to address issues specific to different regions of the country. There are 5 Zonal Councils, each covering a specific geographical region of India – North, South, East, West & Central Zonal Councils.  Composition: Common Chairman: The Union Home Minister chairs all five (non-North-Eastern) Zonal Councils.  Vice-Chairman: The Chief Ministers of the states in the zone act as Vice-Chairman by rotation, usually for one year. Members: Chief Minister and two other ministers from each state in the zone, plus administrators of UTs. Advisors: One person nominated by the NITI Aayog and the Chief Secretaries of each state (they participate but cannot vote). Main objectives Emotional Integration: To stop the growth of acute “state-consciousness,” regionalism, and linguism. Boundary & Border Disputes: Solving local issues like small border adjustments or forest land disputes between neighbors. Infrastructure Coordination: Planning regional transport, power grids, and water sharing. Security: Coordinating anti-Naxal operations or coastal security (depending on the zone).

North East Zonal Council

The North Eastern Council was created later, under the North Eastern Council Act of 1972, to address the unique challenges and development needs of the northeastern region. Composition: Chairman: The Union Home Minister serves as the ex-officio Chairman. Vice-Chairman: The Minister of Development of North Eastern Region (DoNER) is the ex-officio Vice-Chairman. Members: The council comprises the Governors and Chief Ministers of all the eight Northeastern states.  Unlike the advisory role of the Zonal Councils, the NEC is a statutory body for regional planning and development.  It focuses on: Formulating unified and coordinated regional plans for the Northeast. Addressing the specific economic and social development needs of the region.

Significance of ISC:

1. Promoting Cooperative Federalism: The ISC is the ultimate platform for Cooperative Federalism. It moves away from a “top-down” approach (where the Center dictates) to a “horizontal” approach (where the Center and States negotiate). It allows Chief Ministers to voice regional concerns directly to the Prime Minister and Cabinet. 
2. Structured Dialogue: It provides a permanent, institutionalized platform for the Centre and States to sit together, exchange views, and understand each other’s perspectives on various issues, moving beyond informal or ad-hoc discussions. 
3. Building Consensus: It helps build a national consensus on policies that affect both the Union and the States. By facilitating open dialogue, it aims to resolve differences through discussion rather than confrontation. 
4. Investigating Disputes: Under Article 263, one of its core functions is to investigate and advise on disputes between states. This provides a platform for inter-state dispute resolution before they escalate into legal or political battles. 
5. Political Disputes: While the judiciary handles legal disputes, the ISC addresses the political dimensions of Centre-State and Inter-State conflicts, offering recommendations to resolve them amicably. 
6. Platform for Regional Issues: Chief Ministers can use this forum to raise issues specific to their regions, bringing them to the attention of the entire national leadership. 
7. Implementation of Recommendations: It has been instrumental in examining and implementing the recommendations of key commissions on Centre-State relations, such as the Sarkaria Commission and the Punchhi Commission.
8. Expert Consultation via the Standing Committee: The Standing Committee of the ISC provides a continuous mechanism for consultation. It processes complex matters (like the Punchhi Commission reports on Center-State relations) before they reach the full Council. This ensures that when the full Council finally meets, the discussions are backed by rigorous data and prior departmental scrutiny. 

Limitations of ISC:

1. Infrequent and Irregular Meetings: The Sarkaria Commission, which recommended the council’s formation, suggested it should meet at least three times a year . However, since its establishment in 1990, the council has met only 11 times, with the last meeting taking place in 2016. This long gap undermines the council’s purpose as a continuous forum for dialogue.
2. Advisory and Non-Binding Nature: The ISC’s recommendations are purely advisory and not binding on the central government. This lack of enforceability means that even if the council deliberates and makes suggestions, the Centre is under no constitutional or legal obligation to implement them. 
3. Centre’s Dominance in Agenda Setting: The functioning of the ISC is heavily skewed in favor of the central government. The council meets only when the Prime Minister (the Chairperson) decides to convene it, not when the states demand a meeting. The agenda is also set by the Centre, which limits the scope of discussion and prevents states from bringing up issues that the central government might find uncomfortable.
4. Ineffectiveness in Resolving Core Disputes: Despite being established to inquire into and advise upon disputes, the ISC has largely failed to resolve major inter-state conflicts. Long-standing issues like border disputes (e.g., between Karnataka-Maharashtra, Assam-Meghalaya) and river water disputes remain unresolved, often escalating into violence or ending up in the judiciary. 
5. Impact of Political Dynamics: The effectiveness of the ISC is often paralyzed by the prevailing political atmosphere. When the party in power at the Centre is different from the parties ruling the states, discussions can become adversarial, with chief ministers airing grievances rather than engaging in collaborative problem-solving. 

Way forward:

1. Institutionalize Regular and Mandatory Meetings: The Sarkaria Commission recommended the Council meet at least three times a year. Making this mandatory would transform the ISC from an occasional forum into a permanent platform for continuous dialogue and dispute resolution. 
2. Give the Council a Binding and Quasi-Judicial Role: The Council’s recommendations are purely advisory and non-binding, which often renders state participation futile. To address this, expand its role to function as a “collaborative council” with quasi-judicial powers to ensure its advice is heeded .
3. State-Initiated Agenda: The agenda is currently set by the Prime Minister, limiting the council’s ability to address state-initiated concerns . A reformed ISC should allow states to put forth items for discussion, ensuring their most pressing issues are heard.
4. Link with Zonal Councils: The effectiveness of the ISC could be enhanced by better integrating it with the zonal councils, which have also become largely dormant. These councils could act as filtering mechanisms, resolving issues at the regional level before they reach the ISC.
5. Implement Pending Recommendations from Key Commissions:
   1. Punchhi Commission (2010): 
      • Mandatory Consultation on Concurrent List: The Union should consult the States through the ISC before introducing any bill in Parliament regarding subjects in the Concurrent List.
      • Internal Security Role: The Commission suggested that the ISC should be the primary forum for discussing internal security and communal harmony.
      • Treaty-Making Powers: It recommended that the Union consult the ISC when making international treaties that significantly impact the subjects in the State List.
      • Functional Continuity: It proposed that the Zonal Councils should meet at least twice a year and their secretariats should be merged with the ISC Secretariat to ensure better coordination between regional and national federal issues.
   2. National Commission to Review the Working of the Constitution (NCRWC, 2002):
      • Regularity of Meetings: It recommended a constitutional or statutory mandate that the ISC must meet at least thrice a year. 
      • Broadening the Agenda: The NCRWC suggested that the ISC should not just discuss “disputes” but should proactively discuss socio-economic planning and development, moving beyond the narrow interpretation of Article 263.
      • Permanent Secretariat: It pushed for an independent and permanent Secretariat for the ISC, staffed by experts, to ensure that research and follow-up are continuous rather than “event-based.”

UPSC GS-2: Polity Read More: The Hindu