Decentralisation Efforts in India: An Analysis
A recent report by the Ministry of Panchayati Raj and the Indian Institute of Public Administration examines India's decentralisation via a state-level devolution index (DI).
Key Aspects Assessed
- Institutional framework guiding Panchayati Raj Institutions (PRIs)
- Operations of Gram Panchayats (GPs)
- Finances
- Local capacity building
- Accountability
Findings and Rankings
- Devolution to rural bodies increased from 39.9% in 2013-14 to 43.9% in 2021-22.
- Southern states like Karnataka, Kerala, and Tamil Nadu outperform others.
- Karnataka leads with a DI value of 72.23.
- Other good performers: Maharashtra, Uttar Pradesh, and Tamil Nadu.
- Biggest improvements: Uttar Pradesh and Bihar.
- Poor performers: Manipur, Arunachal Pradesh, Jharkhand, and Punjab.
Challenges Highlighted
- Inadequate finances and low own revenue.
- Shortages in infrastructure and manpower.
- Financial constraints leading to dependence on upper government tiers.
- Irregular constitution of State Finance Commissions (SFCs); only 10 states have a sixth SFC.
- Revenue expenditure of PRIs less than 0.6% of GSDP for all states.
- Lack of support staff and infrastructure, especially in northeastern and hilly states.
Representation of Women
- States like Punjab, Madhya Pradesh, and Karnataka fail to meet representation thresholds.
- Jharkhand, Tamil Nadu, and Chhattisgarh exceed mandated quotas.
International Examples
Switzerland and some Scandinavian countries showcase effective decentralisation yielding better developmental outcomes.
Recommendations
- Rethink rotation terms for reservations to once every two-three tenures.
- Align electoral rolls across different elections.
- Timely constitution of SFCs.
- Empower GPs to levy property tax.
- Regular recruitment and training for support staff.
- Appoint a local government ombudsman to ensure accountability.