Law and You > Constitutional Law > What is Federalism?
A state can be classified as federal or unitary based on the division of powers or absence of division of powers, between the national and provincial governments. In a federal system, the constitution formally divides the powers between the centre/national and states/provinces, whereas in a unitary system, power is concentrated in the central/national government, though it may devolve certain powers to the local governments. In this article, we shall discuss meaning and characteristics of federalism.
Unitary System of Governance:
Unitary government is a kind of government system in which a single power, which is known as the central government, controls the whole government. In fact, all powers and administrative divisions authorities lies at the central place. Today most of the government systems in the world are based on unitary system of government. UK, Afghanistan, Italy, China, Saudi Arabia, Spain, etc., are the important examples of unitary government. It is useful in the term that rules and regulations in this government systems remain consist and equal throughout the country. It is less expensive as compared to the federal government. In a time of emergency, it makes timely decisions as compared to the federal government system. But at the same time, the concept of freedom of speech and expression always remains at a low priority.
Characteristics of Unitary System:
- In a unitary system all the powers of administration are vested in a single centre. Thus, centre is powerful. The units are subordinate agents of centre.
- There is a single supreme legislature, single executive body and one supreme judiciary.
- There may or may not have a written constitution. The constitution may or may not be rigid.
- There is no need of having a special judiciary with wide powers of judicial veto in a unitary government. Even the highest court of U.K., for example, cannot sit in judgment over the law passed by Parliament.
In a federal system, the Central government cannot order the state government to do something. The State government has powers of its own for which it is not answerable to the central government. Both these governments are separately answerable to the people. Indian constitution says that India is a federal country.
Federal System or Federalism:
The word ‘Federation’ has been derived from the Latin word foedus, which means treaty, contract or compact. Thus, a federal state is seen as a compact or association of states/provinces due to an agreement or treaty. It is an arrangement by which many relatively autonomous parts come together to make a whole.
Federalism is a political system through which two or more governments have shared authority over the same geographical area. Most democratic countries in the world are governed by a federal system, including India, US, Australia, Argentina, and Canada. The members of the “upper houses” in the federation are not appointed or elected but are delegates of the respective governments. Definition of federalism given by some eminent scholars of sociology are as follows:
- Robert Garan has defined federalism as a form of government in which sovereignty or political power is divided between the Central and Provincial Governments so that each of them within its sphere is independent of the other.
- William S. Livingstone defines federalism as a form of political and constitutional organization that unites into a single polity a number of diversified groups or component politics so that the personality and individuality of component parts are largely preserved while creating in the new totality a separate and distinct political and constitutional unit.
- According to William H. Riker, federalism is a political organization in which government activities are divided between regional governments and a central government in such a way that each kind of government has some activities on which it makes final decisions.
- According to Dicey, federalism means the distribution of force of the state among a number of coordinate bodies each originating in and controlled by the constitution.
General Features of Federalism:
- There are two levels (or tiers) of governance in the country at least. There can even be more. But the entire power is not concentrated with one government.
- Different tiers of government govern the same citizens, but each tier has its own Jurisdiction in specific matters of legislation, taxation, and administration. This means that each level of government will have a specific power to form laws, legislate and execute these laws or perform specific duties as given in the constitution. So, the existence and authority of each tier of government are constitutionally guaranteed.
- There is a possibility that a conflict may arise between the two levels on their jurisdiction. In a federal state, the judiciary resolves the conflict. The courts have the power to interfere in such a situation and reach a resolution. The highest court acts as an umpire if disputes arise between different levels of government in the exercise of their respective powers.
- Both levels of government should have their own autonomous revenue streams. Sources of revenue for each level of government are clearly specified to ensure its financial autonomy. This system is developed so that the different levels can work independently.
- The federal system has dual objectives: to safeguard and promote the unity of the country, while at the same time accommodate regional diversity.
Defining Features of Federalism:
Written and Rigid Constitution:
The constitution is the cornerstone of a federal state. It is the supreme law of the land that stipulates the territorial and functional division of powers. The constitution is the source of powers and functions of both provincial and national governments. It regulates the relations among provinces and between provinces and the national government. It informs provinces and national government about where their limits start and where the jurisdiction of others begin. The supremacy of the Constitution prevents national and provincial governments from encroaching on each other’s jurisdiction.
The rigidity of the constitution is a defining feature of federal states. A rigid constitution is a constitution that cannot be changed unilaterally either by states or the centre. In other words, the powers and roles of either constituents or the national government cannot be reduced or increased by either of them alone. The rigid constitution guarantees autonomy and prevents encroachment and infringement of rights by one level of government against another level of government.
Division of Powers:
Division of powers is a defining feature of federal states. Power is divided on two bases: territory and functions. Territorially, the power to govern is divided into central/national and various constituent units, popularly known as state/province or regional governments. Every province is made of its fixed territory, population and government. Functionally, power is divided between national and provincial governments.
The division of power is done in three ways.
- In the list system, the constitution enumerates the powers of the national and provincial governments, listing subjects of national concern such as defence and taxation in the Union or national list and subjects or matters of regional concern in the state list. The national and provincial governments have exclusive jurisdiction over subjects listed for them. In addition to national and provincial lists, a Concurrent List falls under the jurisdiction of both provinces and the national government. Residual powers remain with the union (India).
- listing the powers of the central government and giving the residual powers to the provinces/states, the USA, Australia, and Swiss follow this method.
- lists the powers of both governments and gives residuary powers to the Center (Canada). The concurrent list remains open to both national and provincial governments. Australia, Germany, Switzerland and the US follow this scheme.
Two Tier Governments:
As a result of territorial division of power and creation or coming together of many constituent units, there are two government levels in federal states: the provincial and national. Coexisting side by side, both the levels of government have their legislature, executive and judiciary. Both levels of government exercise exclusive power over their citizens in their respective jurisdictions.
Bicameral Legislature:
The bicameral legislature is another defining feature of a federal state. The two chambers (houses) of the national legislature are named differently in different states. For instance, they are called the House of Representative and Senate in the USA, and Lok Sabha and Rajya Sabha in India. The people directly elect the first chamber or the lower house. In federal states, the upper house necessarily represents the provinces. However, the election process of the second chamber or the upper house varies from country to country. Some states follow the direct election, while others prefer the indirect election. In some states, the provinces are represented equally, i.e., an equal number of seats to every province in the Upper Chamber. The provinces are given representation based on their share of the population, with states having more population having greater representation in the upper house than the smaller states.
Dispute Settlement Mechanism:
If many provinces live in proximity and share natural resources and culture, conflicts of interests or dispute are likely to emerge. In such a situation, the dispute settlement mechanism plays a pivotal role in sustaining and strengthening federalism. This role can be played by any institution or a set of institutions. Most often, this is played by the apex courts. In Canada, India and the USA, the Supreme Court plays this role. There may also exist councils or other inter-governmental bodies which bring provinces and national governments together. By facilitating debates, such mechanisms help to solve inter-provincial and national-provincial conflicts at the early stage.
Pre-requisites of Federalism:
- The Governments at different levels should agree to some rules of power-sharing.
- They should also trust that each would abide by its part of the agreement.
- Thus, the ideal federal system has both aspects: mutual trust and agreement to live together.
How is Federation Formed?
The exact balance of power between the central and the state government varies from one federation to another. This balance depends mainly on the historical context in which the federation was formed. Most often, federalism comes into being through either of the two processes: centripetal and centrifugal.
The first route (Centripetal) involves independent States coming together on their own to form a bigger unit so that by pooling the sovereignty and retaining identity they can increase their security. This type of ‘coming together’ federations include the USA, Switzerland, and Australia. In this category of federations, all the constituent States usually have equal power and are strong vis-à-vis the federal government. The reason behind coming together of independent states to form a federation is that to maximise their security and achieve a higher level of economic prosperity by forming a federation than doing it alone.
The US federalism is an excellent example of the centripetal origin of federalism. Earlier The US federation was formed when thirteen independent states expressed their consent to create a federation. Gradually many other states became the part of the federation.
The second route (centrifugal) is where a large country decides to divide its power between the constituent States and the National government. India, Spain, and Belgium are examples of this kind of ‘holding together’ federations. In this category, the central government tends to be more powerful vis-à-vis the States. Very often different constituent units of the federation have unequal powers. Some units are granted special powers.
Characteristics of Holding Together Federalism:
- Such federations do not give equal power to its constituent units. Thus, all States in the Indian Union do not have identical powers. Some States enjoy a special status. Before 2019 amendment, the state of Jammu and Kashmir has its own Constitution.
- Many provisions of the Indian Constitution are not applicable to this State without the approval of the State Assembly. Indians who are not permanent residents of this State cannot buy land or house here.
- There are some units of the Indian Union which enjoy very little power. These are areas which are too small to become an independent State but which could not be merged with any of the existing States. These areas, like Chandigarh, or Lakshadweep or the capital city of Delhi, are called Union Territories. These territories do not have the powers of a State. The Central Government has special powers in running these areas.
Conclusion:
Federalism is a system of government in which the power is divided between a central authority and various constituent units of the country. Usually, a federation has two levels of government. One is the government for the entire country that is usually responsible for a few subjects of common national interest. The others are governments at the level of provinces or states that look after much of the day-to-day administering of their state or province. Both these levels of governments enjoy their power independent of the other and share authority over the same geographical area. Division of powers, Bicameral legislature, Two-tier system of governance, rigidity of constitution and dispute resolution system are defining characteristics of federalism.