LOCAL GOVERNANCE – POLITY

News: Staff shortage, financial dependency plague local governance in India

 

What's in the news?

       Recently, an annual survey of Indian cities shows that a majority of local governments are financially dependent on their State Governments.

 

Issues in the local governance system:

1. Financial dependence on state governments: Majority of local governments are financially dependent on their State Governments.

2. Lack of borrowing power: Except five States Bihar, Jharkhand, Odisha, Meghalaya, and Rajasthan, all the others have to get approval from the State before borrowing money.

3. Lack of administrative power: Local governments also have limited control over who to hire and how to distribute work.

       Data show that 35% of posts in India’s municipal corporations are vacant.

4. Poor labour capacity: There are 5,906 city workers in New York and 2,936 in London for every one lakh population compared to just 317 in Bengaluru, 586 in Hyderabad, and 938 in Mumbai.

5. Other challenges: Criminal elements and contractors are attracted to local government elections especially in urban areas.

       They are able to win elections through corrupt means, as local elections do not get same scrutiny as State Assembly or General Elections.

 

What steps can be taken to make local governments more efficient?

1. Regular elections: The elections should be held at regular intervals without any delay. State Governments and State Election Commissions must be held accountable for delays.

2. Efficient implementation of Constitutional amendment act: The provisions of 73rd & 74th Constitutional Amendments should be implemented in true spirit.

       State Finance Commissions should be regularly constituted with clearly defined Terms of Reference (ToR).

3. Inclusive decision-making: Gram Sabhas and wards committees (in urban areas) have to be revitalized.

       Consultations with the Grama Sabha could be organised through smaller discussions where everybody can participate to make them inclusive.

4. Strengthening organisational structure: local government organisational structures have to be strengthened.

       Panchayats are burdened with a huge amount of work that other departments thrust on them, without being compensated for the extra administrative costs.

       Local governments must be enabled to hold State departments accountable and to provide quality, corruption free service to them.

5. Increase human resources: There is a need to improve capabilities of human resources through training, process consultation, action research methods and workshops.

6. Enhanced citizen participation: Citizen participation and engagement in local governance can be enhanced with the help of NGOs and civil society organizations.

       Citizens also need to be informed about the functioning and consequences of decisions taken by the local government bodies.