MAINS Current Affairs includes New Grievance Redressal Rules Under the VB-G RAM G Act, 2025 & Reviving the Inter-State Council: Strengthening Cooperative Federalism

Governance

1. New Grievance Redressal Rules Under the VB-G RAM G Act, 2025

Context: The Ministry of Rural Development has notified the VB-G RAM G (Grievance Redressal) Rules, 2026.

• These rules establish a mechanism for addressing complaints and grievances arising from the implementation of the VB-G RAM G Act, 2025.

Key Provisions of the Grievance Redressal Rules, 2026

Universal Access to Grievance Submission

• Any person can submit a grievance concerning any matter arising out of or connected with the implementation of the scheme.
• Complaints or representations may be submitted through three modes:
  • In writing.
  • Through digital means.
• Rule 4(5) specifically provides that:

“No grievance shall be refused registration on the ground of format, language, manner of submission or any procedural deficiency.”

• This provision seeks to ensure that procedural or language-related barriers do not prevent individuals from registering complaints.

Time-Bound Grievance Resolution

• The rules prescribe a time-bound process for handling complaints:
  • Seven working days: Time prescribed for completing the inquiry.
  • 15 days: Grievances must be resolved within 15 days of their receipt.

Three-Tier Grievance Redressal Mechanism

The rules establish a three-level institutional mechanism:

• This decentralised structure is intended to provide an accessible mechanism for grievance registration and resolution at different administrative levels.

About the VB-G RAM G Act, 2025

• The VB-G RAM G Act replaced the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005.
• The change represents a shift from the earlier demand-driven framework towards a supply-driven scheme.

Enhanced Employment Guarantee

• The Act increases the statutory wage-employment guarantee from 100 days to 125 days per rural household in every financial year.
• The guarantee applies to adults who volunteer to undertake unskilled manual work.

Centrally Sponsored Scheme

• The scheme will be implemented as a Centrally Sponsored Scheme.
• The Centre–State fund-sharing pattern is as follows:

Provision for Peak Agricultural Seasons

• States are empowered to notify, in advance, a period aggregating to 60 days in a financial year during which works under the Act will not be undertaken.
• This period will cover peak sowing and harvesting seasons.
• The provision is intended to ensure the availability of adequate agricultural labour during critical farming periods.

Normative Allocation of Funds to States

• Funds will be allocated to States on a normative basis.
• States are required to ensure transparent and need-based distribution of funds within their territories.
• Allocation across Districts and Gram Panchayats will take into account:
  • The category of Gram Panchayats.
  • Local developmental requirements.

Unemployment Allowance

• State Governments will be responsible for paying unemployment allowance to eligible applicants if employment is not provided within the stipulated period.

Viksit Gram Panchayat (VGP) Based Planning

• Planning under the Act will be undertaken through Viksit Gram Panchayat Plans (VGPPs).
• These plans will be prepared by Gram Panchayats and integrated with national spatial planning systems.

Institutional Oversight

• The Act provides for the constitution of:
  • Central Gramin Rozgar Guarantee Council.
  • State Gramin Rozgar Guarantee Councils.
• These institutions will be responsible for reviewing, monitoring and supporting the effective implementation of the legislation within their respective jurisdictions.

Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005

About MGNREGA

• The Mahatma Gandhi National Rural Employment Guarantee Act, 2005 was a rights-based legislation that legally guaranteed wage employment to rural households.
• It was created in 2006 and renamed as MGNREGA in 2009.
• Its primary objective was to strengthen livelihood security in rural areas by providing at least 100 days of guaranteed wage employment in a financial year to every rural household whose adult members volunteered to undertake unskilled manual work.

Implementation

• MGNREGA followed a demand-driven and rights-based approach.
• It was implemented primarily through Gram Panchayats.
• Rural households could seek employment under the statutory guarantee.

Allowances and Women’s Participation

• Unemployment Allowance: Eligible applicants were entitled to unemployment allowance if employment was not provided within 15 days of demanding work.
• Women’s Participation: The Act provided that at least one-third (33%) of the participants should be women.

Key Takeaway

• The VB-G RAM G (Grievance Redressal) Rules, 2026 establish a formal, time-bound and decentralised mechanism for addressing complaints related to the implementation of the Act.
• The provisions for multiple modes of grievance submission, mandatory registration and a three-tier redressal structure aim to strengthen accessibility and administrative accountability.
• The transition from MGNREGA to VB-G RAM G also brings changes in the employment guarantee, funding arrangement, agricultural-season planning and institutional oversight.

Governance

2. Reviving the Inter-State Council: Strengthening Cooperative Federalism

Context: The debate surrounding the delimitation of parliamentary constituencies has renewed concerns about the need for greater consultation between the Centre and States.

• Delimitation may have significant implications for the political representation of States in Parliament.
• This has highlighted the importance of reviving the Inter-State Council (ISC) as an institutional platform for strengthening cooperative federalism.

About the Inter-State Council (ISC)

• The Inter-State Council is a constitutional mechanism intended to improve Centre-State and inter-State relations through dialogue, consultation and coordination.

Constitutional Basis

• Article 263 of the Indian Constitution empowers the President to establish an Inter-State Council.
• It is not a permanent constitutional body.
• The President may establish it “at any time” if it appears that public interest would be served by its creation.

Establishment

• The Inter-State Council was established through a Presidential Order in May 1990.
• Its establishment followed the recommendations of the Sarkaria Commission (1983–88).

Nature

• It is an advisory and recommendatory body.
• It does not exercise judicial or legislative powers.

Composition

Secretariat

• The Inter-State Council Secretariat functions under the Ministry of Home Affairs.

Functions Under Article 263

• Article 263 provides for the establishment of a Council to perform the following functions:

1. Investigate and discuss matters of common interest: Examine subjects of common interest between the Union and States or among different States.
2. Make recommendations: Suggest measures for better coordination of policies and actions.
3. Deliberate on disputes: Discuss disputes between States and provide advice regarding their resolution.

• Thus, the Council provides a constitutional framework for addressing differences through dialogue, negotiation and consensus rather than confrontation.

Why Does the Inter-State Council Matter Today?

Managing Delimitation and Maintaining Federal Balance

• Delimitation can significantly influence the political representation of States in Parliament.
• States that have achieved greater success in population control may fear a reduction in their relative political influence compared with States experiencing higher population growth.
• The Inter-State Council can facilitate a national dialogue involving all State governments before decisions with long-term implications for the federal structure are taken.

Strengthening Cooperative Federalism

• Several important national priorities require effective coordination between the Union and State governments.
• These include:
  • Infrastructure development.
  • Internal security.
• The Council can provide States with a meaningful opportunity to participate in national policymaking.

Resolving Inter-State Disputes

• Disputes between States frequently arise over:
  • Sharing of river waters.
  • Territorial boundaries.
  • Electricity distribution.
  • Natural resources.
• Such disagreements can lead to prolonged political and administrative tensions.
• The Council can serve as a platform for negotiation, dialogue and consensus-building.

Addressing Regional Diversity

• Indian States differ significantly in their:
  • Levels of economic development.
  • Geographical conditions.
  • Demographic trends.
  • Administrative capacities.
• Consultation through the Council can help ensure that national policies take regional differences and specific State-level requirements into account.

Strengthening Democratic Federalism

• Regular interaction among the Prime Minister, Union Ministers and Chief Ministers can help reduce political mistrust.
• It can also strengthen constitutional cooperation and improve relations between different levels of government.

Why Has the Inter-State Council Remained Ineffective?

Irregular Meetings

• Meetings of the Council have been infrequent.
• Its 12th meeting was held in July 2016, reflecting the lack of a sustained institutional mechanism for consultation.

Excessive Centralisation

• The Council Secretariat functions under the Ministry of Home Affairs.
• This arrangement has raised concerns about its institutional independence and its ability to determine an autonomous agenda.

Advisory Nature

• The Council’s recommendations are not legally binding.
• Consequently, its influence over major policy decisions remains limited.

Political Differences

• Differences between the Union government and State governments can weaken intergovernmental cooperation.
• This is particularly evident when States are governed by political parties opposed to the party governing at the Centre.

Institutional Overlap

• Other institutions, such as the NITI Aayog Governing Council and the GST Council, perform specialised functions relating to Centre-State coordination.
• However, the absence of an effective overarching platform limits comprehensive deliberation on broader federal issues.

Lack of Institutional Continuity

• There is inadequate emphasis on:
  • Regular meetings.
  • Systematic follow-up of recommendations.
  • Independent policy research.
• These limitations weaken the Council’s ability to function as a continuous mechanism for intergovernmental cooperation.

Related Commissions, Institutions and Initiatives

Sarkaria Commission (1983–88)

• The Commission examined Centre-State relations.
• It recommended the establishment of a permanent Inter-State Council under Article 263 to promote consultation and coordination.

Punchhi Commission (2007–10)

• It examined various aspects of Centre-State relations.
• It recommended measures to improve intergovernmental coordination.

Zonal Councils

• Zonal Councils were established under the States Reorganisation Act, 1956.
• Their objective is to promote regional cooperation among States.

GST Council

• The GST Council is a constitutional body established under Article 279A.
• It provides an institutional platform for Centre-State cooperation in matters relating to indirect taxation.

NITI Aayog Governing Council

• Established in 2015, the Governing Council brings together the Prime Minister and Chief Ministers.
• It provides a platform for discussing development priorities and promoting cooperative federalism.

Inter-State Council Secretariat

• The Secretariat provides administrative and institutional support for intergovernmental consultation and coordination.

Way Forward: Making the Inter-State Council Effective

Ensure Regular Meetings

• Meetings should be organised at fixed intervals, preferably twice a year.
• Special sessions should also be convened to discuss urgent national and federal issues.

Strengthen Institutional Autonomy

• The Council Secretariat should be equipped with greater administrative and research capabilities.
• Appropriate constitutional and statutory safeguards, wherever necessary, can strengthen its institutional independence.

Expand Its Deliberative Role

• Major policy decisions affecting States should undergo structured consultation through the Council.
• Important areas requiring deliberation include:
  • Fiscal devolution.
  • Distribution of natural resources.
  • Centrally Sponsored Schemes.

Improve Follow-up Mechanisms

• Recommendations should be supported by clearly defined implementation timelines.
• Periodic reviews should assess the progress of implementation.
• Action-taken reports should be made publicly accessible to improve accountability.

Promote Evidence-Based Dialogue

• Expert committees should support the Council’s deliberations.
• These committees may include:
  • Constitutional scholars.
  • Representatives of State governments.
• Their inputs can improve the quality of discussions and policy recommendations.

Build Political Consensus

• The Council should function beyond party-political affiliations.
• Cooperative federalism must be recognised as a constitutional necessity rather than a political concession.

Conclusion

• Cooperative federalism cannot remain merely a political slogan; it requires strong, effective and functioning institutions.
• The Inter-State Council already has a constitutional foundation under Article 263. Its revitalisation can transform Centre-State relations from periodic political confrontation into continuous institutional cooperation.
• As India addresses challenges relating to economic development, demographic changes and constitutional balance, an effective Inter-State Council is essential for strengthening the spirit of Team India and democratic federalism.

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