Administrative Reforms Commissions

The Administrative Reforms Commissions (ARCs) are high-level bodies established by the Government of India to examine the structure and functioning of the country’s administrative machinery and to recommend measures for improving efficiency, transparency, and accountability in public administration. Over the decades, these commissions have played a crucial role in modernising India’s bureaucratic systems, aligning them with democratic governance and developmental needs.

Background and Need for Administrative Reforms

After India attained independence in 1947, it inherited a bureaucratic system designed primarily for colonial control rather than democratic governance. The machinery was centralised, hierarchical, and rule-bound, often resistant to change. As the nation embarked on planned economic development and social transformation, the need arose for a more dynamic, responsive, and citizen-oriented administration.
Administrative reforms were, therefore, seen as essential to make governance more efficient, participatory, and accountable. The Government of India set up commissions and committees to study various aspects of administration, culminating in the establishment of the First Administrative Reforms Commission (1966–1970) and subsequently the Second Administrative Reforms Commission (2005–2009).

The First Administrative Reforms Commission (1966–1970)

The First ARC was constituted on 5 January 1966 by the Government of India under the chairmanship of Morarji Desai, who was later succeeded by K. Hanumanthaiah after Desai became Deputy Prime Minister. The Commission’s mandate was to examine the public administration system comprehensively and recommend measures for reform and modernisation.
Composition: The Commission comprised five members, assisted by various study teams and working groups, and was supported by a Secretariat located in New Delhi.
Major Objectives:

• To review the machinery of the Central and State Governments.
• To suggest measures for improving efficiency and coordination between ministries and departments.
• To promote decentralisation and citizen participation in governance.
• To modernise personnel administration, financial management, and policy planning.

Key Reports and Recommendations: The First ARC submitted 20 reports containing 573 major recommendations. Some of the most significant reports and their outcomes include:

1. Machinery of the Government of India and its Procedures of Work (1967) – Recommended streamlining the structure of ministries, cabinet secretariat, and departmental procedures to enhance coordination.
2. Organisation of the Government of India at the Centre (1967) – Suggested rationalisation of ministries, clear demarcation of subjects, and the creation of specialised departments for planning and evaluation.
3. Public Sector Undertakings (1967) – Proposed autonomy and performance-based evaluation for state-owned enterprises.
4. Personnel Administration (1969) – Recommended the creation of a Department of Personnel (later established as the Department of Personnel and Administrative Reforms in 1970) and introduction of performance appraisal systems for civil servants.
5. Centre–State Relationships (1969) – Advocated better intergovernmental coordination through regular consultations and inter-state councils.
6. Financial Administration (1968) – Emphasised modern budgeting, auditing, and internal financial controls.
7. District Administration (1968) – Highlighted the role of the District Collector as the nodal point for rural development and coordination.
8. Economic Administration (1968) – Called for efficiency in planning and project implementation.
9. A Plan for Administrative Reforms (1969) – Presented a comprehensive roadmap for long-term reforms.

Implementation: While several of its recommendations led to structural changes, such as the creation of the Central Secretariat Manual of Office Procedure and the establishment of the Central Vigilance Commission (CVC) and Lokpal concept, implementation was partial and gradual. Nonetheless, the First ARC laid the foundation for India’s administrative modernisation.

The Second Administrative Reforms Commission (2005–2009)

After more than three decades, changing governance challenges prompted the government to establish the Second Administrative Reforms Commission on 31 August 2005. It was chaired by Veerappa Moily, with the mandate to prepare a detailed blueprint for revamping the public administration system to meet the demands of good governance in the 21st century.
Composition: The Commission consisted of a Chairperson and several members supported by research staff and domain experts.
Terms of Reference:

• To review the functioning of public institutions and the framework of governance.
• To suggest measures for promoting transparency, ethics, and e-governance.
• To improve the delivery of public services and reduce corruption.
• To strengthen decentralisation through Panchayati Raj and local governance.
• To redefine the relationship between citizens and the state in a democratic context.

Reports and Major Recommendations: The Second ARC submitted 15 comprehensive reports between 2006 and 2009, covering diverse aspects of governance. Some key reports and highlights include:

1. Right to Information – Master Key to Good Governance (2006): Advocated full implementation of the RTI Act, proactive disclosure, and transparency in decision-making.
2. Unlocking Human Capital (2006): Focused on reforms in education, healthcare, and skill development.
3. Crisis Management (2006): Recommended the creation of a national crisis management framework with coordinated response mechanisms.
4. Ethics in Governance (2007): Proposed the establishment of Lokpal and Lokayuktas, code of ethics for public servants, and protection for whistle-blowers.
5. Public Order (2007): Suggested police reforms, separation of investigation and law-and-order functions, and establishment of independent Police Complaints Authorities.
6. Local Governance (2007): Strengthened devolution of power to Panchayati Raj Institutions and Urban Local Bodies, in line with the 73rd and 74th Constitutional Amendments.
7. Capacity Building for Conflict Resolution (2008): Emphasised dialogue and negotiation as tools for addressing regional and ethnic conflicts.
8. Citizen-Centric Administration (2008): Recommended service delivery charters, grievance redressal mechanisms, and e-governance initiatives.
9. Refurbishing of Personnel Administration (2008): Advocated civil service reforms, lateral entry, and merit-based promotion.
10. Promoting e-Governance (2008): Highlighted digitalisation of services, ICT infrastructure, and data transparency.
11. Refurbishing of Financial Management (2009): Suggested outcome budgeting and performance auditing.
12. State and District Administration (2009): Reiterated decentralisation and participatory planning.

Impact and Implementation: The Second ARC provided a holistic framework for transforming public administration into a citizen-oriented, transparent, and technology-driven system. Several of its recommendations influenced major government initiatives such as the Right to Information Act, Lokpal and Lokayukta Act, e-Governance Mission Mode Projects, and reforms in public grievance mechanisms. However, as with the First ARC, implementation remained uneven across states and departments.

Comparative Perspective

Significance of the ARCs

The Administrative Reforms Commissions have been instrumental in shaping the evolution of the Indian administrative system. Their work has contributed to:

• Enhancing transparency and accountability in governance.
• Promoting citizen participation through local self-government.
• Modernising civil services through performance management.
• Introducing e-governance to streamline service delivery.
• Institutionalising ethical standards in public administration.

These commissions have provided a continuous framework for reform, ensuring that the administrative machinery adapts to changing political, social, and technological contexts.