New Delhi: Former Prime Minister Manmohan Singh Saturday said the government should have taken chief ministers’ views before changing the terms of reference of the 15th Finance Commission, adding that unilateralism is not good for federal policy and cooperative federalism.
Earlier in July, the Centre changed the terms of reference of the 15th Finance Commission and mandated the panel to suggest ways for allocation of non-lapsable funds for defence and internal security.
Speaking at an event here, Singh said any change in the panel’s terms of reference at the fag-end of its term should have been done in consultation with the states.
“The best course would have been for the Central government that if it wants to tailor the terms of reference, it should be backed by Chief Ministers’ Conference, which is now under the auspices of NITI Aayog, otherwise there would be strong feeling that the (Central) government is trying to rob the states of due resource allotment.
“I think that it is not good for the federal polity of our country and cooperative federalism we all swear by these days,” Singh said while addressing the ‘National Seminar on Additional Terms of Reference of the 15th Finance Commission: Implication for the States’.
“The commission’s report goes to the finance ministry and then it goes to the Cabinet and therefore government of the day can take a view that whatever the mandate of the Parliament, the government would abide by that rather than imposing its view unilaterally on the reluctant state commissions,” he added.
The government on November 27, 2017 notified the 15th Finance Commission, headed by N K Singh, to suggest the formula for devolution of funds to states by the Centre for five years commencing April 1, 2020, among other issues.
The commission, which has been mandated to use 2011 census data rather than the one of 1971 for resource allocation, was to submit its report by October 30, 2019. The deadline was later extended till November 30, 2019.
