UPSC Mains 2023 · GS II · Q3 · 10 marks · 150 words

“The states in India seem reluctant to empower urban local bodies both functionally as well as financially.” Comment.

हिन्दी में

“भारत के राज्य शहरी स्थानीय निकायों को कार्यात्मक एवं वित्तीय दोनों ही रूप से सशक्त बनाने के प्रति अनिच्छुक प्रतीत होते हैं ।” टिप्पणी कीजिए ।

How a topper answered the closest question

Toppers wrote this one in a test series: “The 74th Constitutional Amendment Act aimed at decentralisation of urban governance. Despite this, urban local bodies (ULBs) continue to face functional and financial autonomy challenges. Discuss.”

Yashaswi Raj VardhanAIR 11 · CSE 2025 · 344 wordsTheir whole copy

Opening

The 74th constitutional amendment Act introduced a framework for urban local bodies. Recently the Capacity Building Commission organised a national workshop to foster unified approach in capacity building of ULBs

Body · points and prose

Municipal corporations as key to urban governance

  1. Decentralisation of power - empowers grassroot decision making
  2. Adapting to local needs : The challenges and solutions are unique for every city.
  3. Effective service Delivery : eg water supply, waste disposal
  4. Accountability : unlike state and union governments which may be out of reach - they are local & accessible
  5. Bottom-Up planning : District and Metropolitan planning committees will be starting point
  6. Representation of marginalised and vulnerable groups eg SC, ST, OBCs, women.

Constitutional framework

Diagram
* 74th AA, 1992 * 1/3rd reservation to women & SC/ST * Recognition to ULBs * 12th schedule (list of subjects) * Election by State Election Commission * 5 years term * Financial devolution through State Finance Commission * Planning mechanism * Municipal Corp, Municipality, Nagar Panchayat

Reluctance of States

  1. Powers for subjects under the XII (12th) schedule not devolved
  2. Funds - rely mainly on grants which states are not giving
  3. Lack of Taxation powers' scope
  4. Local taxes subsumed under GST are not compensated
  5. Don't have own functionaries

Why States are Reluctant

  1. Financial mismanagement
  2. Lack capacity to govern
  3. seen as alternate power centres
  4. inefficient functioning leaves residual burden on states
  5. use of cess by central govt. to reduce devolution to states

Other challenges

  1. Parallel structures: District Admin, Parastatal Bodies (eg Jal Board, Health Society)
  2. 65% of urban bodies don't have a master plan (NITI Aayog, 2021)
  3. Increased complexity of challenges (eg waste management, Air pollution)
  4. Non-functional ward committees
  5. Lack of integration like PRIs
  • Three tiers here are not interlinked
  1. Lack unity of command: Mayor-in-Council

Measures for paradigm shift

  1. Directly elected executive mayor system
  2. Innovative funding through Bonds
  3. Integration by giving superintendence over parastatal bodies
  4. Capacity building and training
  5. Whole of the Govt. approach: uniform integrated local body - hub and spoke connection with other ULBs and PRIs
  6. Japan model of glocalisation
  7. Merge XIIth schedule in PRIs - local list

Close

The need for effective good governance can only be realised by bringing global standards to local levels through grass-root democracy.

How toppers approach this question, and more on its topic: open the question.

Toppers’ answers to other close questions

Source: UPSC, Civil Services (Main) Examination 2023, General Studies Paper II, Q3. The paper on upsc.gov.in. Themes and links to toppers’ answers are by UPSC Grade, not by UPSC.