The Ninth General Council Meeting of NITI – AYOG was held in New Delhi on 27th July 2024 with Prime Minister Narendra Modi as the Chair. This is the first meeting after the National Democratic Alliance assumed power for the third consecutive term. The TEN Chief Ministers of INDIA bloc boycotted the meet except Mamata Banerjee. She also had to walk out after participation since the mike she used to address at the meet was switched off after the completion of 5 minutes, said to be allotted for her. Whereas the other Chief Ministers (NDA) were given more time to address. This incident created a lot of debate and discussion about the continuance of the body – NITI AYOG.
NITI AYOG was replaced in 2014 after abolishing the Planning Commission, that was the responsible body for the overall development of the country. Planning Commission reflected the true spirit of federal policy of the State as adumbrated in the Indian Constitution. The real consultation with the State Authorities on the fiscal requirement of the respective States would be held every year and the feasible financial allocation would be made by the Planning Commission. The Planning Commission was vested with authority of fiscal allotment power. Every allocation was made possible within the reasonable constraints of the revenue available with the Union Government. But the attitude of Modi’s rule, to abolish all the governance infrastructure formed during the previous regime must be replaced with new one irrespective of the merits of the earlier bodies.
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The replaced body – NITI – Ayog is merely of views / opinions expressing body for the State Chief Ministers. It is not empowered with any finance allocation. All the financial allocation power is vested with the Ministry of Finance. The proceedings of the NITI – Ayog has become mere ritual to hold that the states are offered with the chance to intend for their requirement. Now-a-days the meeting of NITI – Ayog has become so political that what was intended at the beginning has not been done even-though the rulers at the Union are one and the same. Equal treatments of the Chief Ministers to ventilate their views are not provided with. Electoral enmity and alliance partnership have been rewarded duly which is not the propriety of NITI – Ayog. NITI – Ayog functions more as a survey conducting body on the developmental aspect of the states in different parameters. Let it continue as such to assess the utilization of funds and the ultimate reach of it to the targeted masses and means.
The State governments are directly facing the crises and providing remedy to the people. The Union developmental schemes are also being implemented through the States. The States are constrained with finance for development. After the implementation of GST (Goods and Sales Tax), the share of revenue mobilisation by the States have come down heavily. The financial burden of States are not felt and compensated duly. The Union Government is habituated in the form of levy of cess, duty on goods and services that need not be shared with the State governments. On one side the tax burden is climbing up. Efforts to reduce the price where there is scope, for example petrol, diesel prices are not taken up at all. The State’s fiscal problem are not paid due attention.
Why can’t a new body in the line of Planning Commission be established so that the fiscal burden of States could be minimised? The spirit of federal polity is not duly felt by the saffron rulers at the level of Union government. They aim for centralization of authority curbing the rights of the States – in tune to the saffron principle of one nation, one government.
The abolition of Planning Commission and the founding of NITI – Ayog itself is anti-constitutional, undermining the principle of one of the basic structures of the Constitution, i.e. federalism.
Under the present context, the alignment of political parties is almost with equal strength on treasury side and the opposition. A body like Planning Commission must be established. The boycott of the Chief Ministers of 10 States against the functioning of NITI – Ayog should not be merely symbolic. Some concrete fiscal sharing national body must forth-come or else the meeting of NITI – Ayog would become a one sided projection which is anti-democratic as well. Let the call for it emanate from different parts of the country!
