Inter State Relations Notes


The Indian Constitution provides a framework for Inter-State Relations to ensure cooperation, prevent disputes, and maintain unity among states. Part XI (Articles 261-263) deals with Inter-State Relations.


Constitutional Provisions Related to Inter-State Relations

Aspect Articles Purpose
Full Faith and Credit Clause Article 261 Ensures legal recognition of public acts, records, and judicial proceedings across states.
Inter-State River Water Disputes Article 262 Parliament can make laws for settling inter-state water disputes.
Inter-State Councils Article 263 President can establish councils for dispute resolution and coordination.

Why is Inter-State Cooperation Important?
  • Prevents conflicts between states.
  • Strengthens federalism.
  • Ensures uniform governance across the country.



Inter-State Trade and Commerce (Article 301-307)


Freedom of Trade & Commerce (Article 301)
  • Article 301 ensures that trade, commerce, and intercourse across India shall be free.
  • No state can impose restrictions on trade except for public interest.

Restrictions on Freedom of Trade (Articles 302-305)
  • Parliament can impose restrictions (Article 302) – For the public interest.
  • States can impose reasonable restrictions (Article 304) – For economic welfare and public health.
  • Example: States like Gujarat & Bihar banned liquor under Article 304 (restrictions in public interest).



Inter-State Water Disputes (Article 262)

  • Article 262 allows Parliament to make laws to settle disputes related to inter-state rivers.
  • Parliament enacted the Inter-State River Water Disputes Act, 1956, creating Tribunals for water disputes.
  • Water Dispute Tribunals are binding but cannot be challenged in courts.

Major Inter-State Water Disputes:
  • Cauvery River Dispute (Karnataka vs Tamil Nadu).
  • Krishna River Dispute (Maharashtra, Karnataka, Andhra Pradesh).
  • Ravi-Beas Water Dispute (Punjab vs Haryana).
  • Example: The Cauvery Water Dispute Tribunal was set up in 1990 and its final award came in 2018.



Inter-State Council (Article 263)


Article 263 allows the President to set up Inter-State Councils to:
  • Resolve inter-state disputes.
  • Ensure better coordination between Centre & States.
  • Advise on policies affecting multiple states.

Current Inter-State Councils
  • The Inter-State Council was established in 1990 based on Sarkaria Commission recommendations.
  • Headed by the Prime Minister.
  • Members: Chief Ministers of all states & UTs, Union Ministers.
  • Example: The Inter-State Council discusses key federal issues like financial distribution and police reforms.



Inter-State Agreements & Zonal Councils

Zonal Councils were created by the States Reorganization Act (1956) to promote regional cooperation.


Zonal Councils:
  1. Northern – Delhi, Punjab, Haryana, Himachal Pradesh, J&K, Rajasthan.
  2. Central – Madhya Pradesh, Chhattisgarh, UP, Uttarakhand.
  3. Eastern – Bihar, Jharkhand, Odisha, West Bengal.
  4. Western – Maharashtra, Gujarat, Goa.
  5. Southern – Andhra Pradesh, Tamil Nadu, Karnataka, Kerala, Puducherry.

North-Eastern Council (NEC) was created separately in 1971 for the development of North-Eastern states.




North-Eastern Council (NEC) was created separately in 1971 for the development of North-Eastern states.

Many Indian states have border disputes due to historical, linguistic, and ethnic reasons.


Dispute States Involved
Belgaum Dispute Maharashtra vs Karnataka
Assam-Nagaland Dispute Assam vs Nagaland
Chandigarh Dispute Punjab vs Haryana
Kaveri River Dispute Karnataka vs Tamil Nadu

The Supreme Court & Centre intervene in resolving these disputes.




Role of Judiciary in Inter-State Relations

The Supreme Court has jurisdiction over inter-state disputes under Article 131.

  • It ensures peaceful resolution of conflicts.
  • It upholds federalism by protecting state rights.
  • Example: The Supreme Court gave its final ruling in the Cauvery Water Dispute (2018), ensuring equal distribution.



Key Takeaways for UPSC

  • Article 261 ensures legal recognition of state laws and judicial proceedings.
  • Article 262 allows Parliament to settle inter-state water disputes (e.g., Cauvery Water Dispute).
  • Article 263 allows the President to establish Inter-State Councils to resolve disputes.
  • Zonal Councils promote regional cooperation.
  • The Supreme Court settles inter-state disputes under Article 131.



Quick Revision Table

Provision Article Purpose
Full Faith & Credit Clause Article 261 Recognizes judicial acts & public records across states.
Inter-State River Water Disputes Article 262 Allows Parliament to set up tribunals for water disputes.
Inter-State Council Article 263 Resolves disputes & ensures coordination.
Trade & Commerce Articles 301-307 Ensures free movement of goods & services across states.
Judiciary Role in Disputes Article 131 Supreme Court has original jurisdiction in inter-state conflicts.



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