Difference Between NITI Aayog And Inter-State Council - Notes for UPSC!

The difference between NITI Aayog and Inter-State Council is very crucial to understanding the paradigm of Indian Polity at large. It is written in brief below.

The NITI Aayog (National Institution for Transforming India) is a policy think tank created by the Government of India on January 1, 2015. Some of its activities include a “15-year Road Map” and a “7-year Vision, Strategy, and Action Plan.”

The Inter-State Council was established for the first time in 1990 through a Presidential Ordinance in response to the recommendations of the Sarkaria Commission under the Ministry of Home Affairs.

In this article, we will cover the entire difference between NITI Aayog and Inter-state council, Recent updates, What is NITI Aayog?, What are Inter-State Council, the Conclusion, and some of the key highlights. The difference between NITI Aayog and the Inter-state council is one of the important topics of the UPSC IAS exam.

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Recent Update

• The continuous violence around the Agnipath proposal, as well as the outpouring of rage in the last week, serve as reminders of the importance of holding comprehensive dialogues with all stakeholders, no matter how minor.
• Tamil Nadu Chief Minister M K Stalin’s letter to Prime Minister Narendra Modi highlighting the importance of institutional structures such as the Inter-State Council (ISC) for “effective and interactive dialogue” between states and New Delhi is a crucial wake-up call.
• According to the letter, many measures affecting state rights and interests are passed without providing adequate opportunity for the opposition to debate the merits and express state concerns.
• States are not merely administrative helpers to the Centre in carrying out its policies. They are autonomous legal entities with separate powers and obligations.
• Despite the fact that the ISC was constituted as a permanent body by a Presidential order in 1990 based on the recommendations of the Sarkaria Commission, it has only met 12 times since then, with the most recent meeting over five years ago.
• The council was formed last month with the mission of developing a robust institutional framework to support cooperative federalism.
• During the Planning Commission era in Indian politics, the National Development Council, led by the Prime Minister and comprised of chief ministers from all states, provided a high-level politico-administrative platform for discussion, debate, and decision-making. ISC is well-suited to play such a position in the period of NITI Aayog.

What is NITI Aayog?

NITI Aayog is an acronym that stands for “NATIONAL INSTITUTE FOR TRANSFORMING INDIA”. Its function is to encourage cooperative federalism on a constant basis through structured support schemes and processes with the states, understanding that strong states constitute a strong nation.

• Objectives and Functions Of NITI Aayog
  • To build a shared vision of national development priorities, sectors, and strategies with the active participation of states in light of national goals.
  • Fostering cooperative federalism on a constant basis through organized support initiatives and processes with the states, realizing that strong states form a strong nation
  • To create procedures for developing viable plans at the village level and gradually aggregating these at higher levels of government.
  • To ensure that the objectives of national security are included in economic strategy and policy in areas particularly referred to it.
  • To devote special attention to those segments of our society who may be at risk of not benefiting fully from economic prosperity.
  • Designing strategic and long-term policy and schemes frameworks and initiatives, as well as monitoring their development and efficacy. Lessons learned through monitoring and feedback will be applied to make novel changes, including mid-course modifications.
  • To provide guidance and stimulate collaboration between important stakeholders and like-minded think tanks on a national and worldwide scale, as well as educational and policy research organizations.
  • To establish a collaborative network of national and international specialists, practitioners, and other partners to encourage knowledge, innovation, and entrepreneurship.
  • To provide a forum for the resolution of cross-sectoral and cross-departmental issues in order to expedite the implementation of the development plan.
  • Maintaining a cutting-edge Resource Centre, serving as a repository for research on good governance and best practices in sustainable and equitable development, and assisting in their distribution among stakeholders
  • To actively monitor and assess the implementation of schemes and initiatives, including the identification of necessary resources, in order to increase the likelihood of success and the scope of delivery.
  • concentrating on technology advancement and capacity training for schemes and initiative implementation
  • Other activities may be required to advance the execution of the national development strategy and the aforementioned objectives

Know more about NITI Aayog in detail here

What is Inter-State Council?

Inter-State Council is a constitutional organization tasked with facilitating coordination between states and the central government. It is a consultative organization that investigates and discusses issues in which some or all of the states or the federal government have an interest.

It was established by a Presidential Order in 1990 based on the recommendations of the Sarkaria Commission and is based on provisions in Article 263 of the Indian Constitution.

The Inter-state council is not a permanent constitutional body for state-central government interaction. Rather, the President may establish it at any time if it appears to him that such a council would benefit the public interest.

• Objectives and Functions Of The Inter-State Council

• To establish a solid institutional structure to promote and sustain cooperative federalism in the country, as well as to active the council and zonal councils through frequent meetings.
• Facilitates the examination of all pending and emergent issues of Centre-state and inter-state relations by the zonal councils and inter-state councils.
• Creates a solid framework to monitor the implementation of their recommendations.

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Difference Between Niti Aayog And Inter-State Council

NITI Aayog	Inter-State Council
NITI Aayog was founded on 1 January 2015.	The Inter-State Council was established on 28 May 1990.
NITI Aayog is an Executive Body because it was founded by an Act of Parliament and does not derive its powers from the Indian Constitution. It is also not a Statutory Body because it was not constituted by an Act of Parliament. However, it can be turned into a Statutory Body by enacting a law in Parliament, as UIDAI has done.	The Inter-State Council is a non-permanent constitutional body established by Presidential Order under Article 263 of the Indian Constitution.
NITI Aayog has been given no mandate or authority to impose policies on states. NITI Aayog is essentially a think tank or advisory organization to the government. It develops policy in consultation with the state governments.	The Inter-State Council was founded to improve coordination between the Center and the States. It is the most dynamic venue for discussing policies, strengthening Center-State relations, and acting as a bridge to the trust deficit between the Center and the States.
New positions were formed in the NITI Aayog organization structure, including CEO and Vice-Chairperson. The CEO is a Secretary. Ex-officio membership would be held by four Cabinet members. There are two part-time members and five full-time members on the NITI Aayog. The Prime Minister appoints the CEO.	The Inter-State Council is presided over by India’s Prime Minister. Union Ministers of Cabinet rank in the Union, Council of Ministers appointed by the Prime Minister, Chief Ministers of all states, Chief Ministers of Union Territories with a Legislative Assembly, and Administrators of UTs without a legislative Assembly member of the Inter-State Council.

Read more about a council of ministers here

Conclusion

NITI Aayog works in close collaboration, consultation, and coordination with Central Government Ministries and State Governments. While it will give recommendations to the Central and State Governments, it will be their obligation to make and implement decisions. NITI Aayog promotes and empowers the critical requirements of good governance, which are people-centric, participatory, collaborative, transparent, and policy-driven. It provides crucial strategic and directing input to the development process, with an emphasis on deliverables and outcomes whereas the Inter-State Council is a consultative body with the authority to investigate and discuss issues of mutual interest between the Union and a state or states.

UPSC MAINS Previous Year Questions

Q.1 The concept of cooperative federalism has been increasingly emphasized in recent years. Highlight the drawbacks in the existing structure and the extent to which cooperative federalism would answer the shortcomings. (2015)

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