Article 243B

Article 243B of the Constitution of India provides the fundamental framework for the establishment of Panchayati Raj institutions, forming the cornerstone of rural local self-governance. Introduced through the 73rd Constitutional Amendment Act, 1992, and operational from 24 April 1993, this article enshrines the constitutional obligation of states to create Panchayats as institutions of self-government, thereby institutionalising democracy at the grassroots level.

Background and Constitutional Development

Prior to the 73rd Amendment, Panchayati Raj institutions were guided primarily by state legislation and lacked uniformity, continuity, and constitutional protection. The need for constitutional recognition arose from the recommendations of various committees, notably the Balwantrai Mehta Committee (1957), which advocated a three-tier structure for democratic decentralisation.
The 73rd Amendment gave these local bodies constitutional status, making them permanent institutions of governance rather than ad hoc administrative agencies. Article 243B thus marked a decisive shift from centralised administration to participatory rural democracy, aligning governance closer to citizens.

Structure of Panchayats

Article 243B mandates that Panchayats be constituted at three distinct levels to ensure effective decentralisation and representation across the rural administrative framework.

• Village Panchayat (Gram Panchayat):The lowest tier, operating at the village level. It is responsible for governance, developmental planning, and welfare implementation within the Gram Sabha area.
• Intermediate Panchayat (Panchayat Samiti or Block Panchayat):The middle tier, functioning between the village and district levels. It coordinates the activities of village Panchayats, implements government programmes, and bridges communication between the district and local levels.
• District Panchayat (Zila Parishad):The highest tier of the Panchayati Raj system, overseeing and supervising the work of all Panchayats within the district. It plays a central role in planning and integrating development initiatives at the district level.

This three-tier system is compulsory for all states, ensuring uniformity in local governance structures across the country.

State Obligation and Exceptions

Article 243B makes it obligatory for every state to constitute Panchayats at the village, intermediate, and district levels. However, an exception is made for states with a population not exceeding twenty lakhs (two million). Such states may choose not to establish an intermediate level (block-level) Panchayat if deemed administratively unnecessary.
This flexibility allows smaller states and Union Territories to adapt the Panchayati Raj structure according to their size and administrative needs.

Related Constitutional Provisions

Article 243B is part of Part IX (Articles 243 to 243O) of the Constitution, which collectively governs the Panchayati Raj system. Its functioning is closely linked with several related articles:

• Article 243A: Defines the Gram Sabha as the foundation of the Panchayati Raj system.
• Article 243C: Lays down the composition of Panchayats at various levels.
• Article 243D: Provides for reservation of seats for Scheduled Castes, Scheduled Tribes, and women to promote inclusive representation.
• Article 243E: Specifies the duration of Panchayats and conditions for dissolution.
• Article 243K: Establishes the State Election Commission, which oversees Panchayat elections.

Together, these provisions ensure the democratic constitution, composition, and continuity of Panchayati Raj institutions across the country.

Judicial Interpretations and Supreme Court Judgments

Several landmark judgments have elaborated upon and reinforced the principles underlying Article 243B:

• K. Krishna Murthy v. Union of India (2010): The Supreme Court upheld the constitutional validity of the 73rd Amendment and affirmed that Panchayats are vital instruments of decentralised democracy, not merely administrative bodies.
• State of Karnataka v. Union of India (1977): Though predating the amendment, this case emphasised the need for decentralisation as an essential element of good governance in a federal democracy.
• S.R. Tewari v. District Board, Agra (1964): Highlighted the concept of democratic decentralisation and recognised local self-government as a means of achieving participatory governance.

These decisions collectively underscore that the Panchayati Raj system is an indispensable part of the Indian democratic structure, giving constitutional strength to rural representation.

Powers and Responsibilities of Panchayats

Under the constitutional mandate, Panchayats are entrusted with wide-ranging powers related to economic development, social justice, and public welfare. Specific powers and responsibilities are detailed under Article 243G and the Eleventh Schedule of the Constitution, which lists 29 subjects that may be devolved to Panchayats.
Typical functions include:

• Preparation and implementation of plans for economic development and social justice.
• Supervision of local-level education, health, and sanitation programmes.
• Management of water resources, roads, housing, and public utilities.
• Collection of taxes, duties, tolls, and fees, as authorised by the state legislature.
• Participation in poverty alleviation and employment generation schemes.

These responsibilities empower Panchayats to act as self-governing institutions, responsive to local priorities and accountable to the people.

Implementation and State Panchayati Raj Acts

The Constitution provides a broad framework, while each state implements its Panchayati Raj system through its own legislation—commonly known as State Panchayati Raj Acts. These Acts define:

• The number of seats in each Panchayat.
• The method of election and qualifications of members.
• The powers, duties, and financial provisions of each tier.
• Mechanisms for audit, accountability, and grievance redressal.

States such as Kerala, Karnataka, and West Bengal are often cited for their effective implementation and devolution of powers, while others continue to face administrative and financial challenges.

Elections to Panchayats

Democratic legitimacy is central to the Panchayati Raj system. Article 243K mandates that elections to Panchayats be conducted by independent State Election Commissions. These commissions ensure:

• Regular elections every five years.
• Free, fair, and transparent electoral processes.
• Timely filling of vacancies and maintenance of continuity.

Elected Panchayats thereby become instruments of participatory democracy, directly accountable to the rural electorate.

Significance of Article 243B

Article 243B is pivotal in transforming the vision of grassroots democracy into a constitutional reality. Its importance lies in the following:

• Democratisation of governance: Brings decision-making closer to citizens.
• Empowerment of local institutions: Enables decentralised planning and implementation.
• Promotion of accountability: Elected representatives answer directly to the Gram Sabha.
• Encouragement of inclusivity: Ensures participation of marginalised groups through reservation policies.
• Strengthening of federalism: Balances power between the Union, States, and local bodies.

Challenges and Limitations

Despite constitutional backing, the effective functioning of Panchayats under Article 243B faces several obstacles:

• Uneven devolution of powers across states.
• Political interference and bureaucratic dominance over local institutions.
• Inadequate financial resources for developmental activities.
• Capacity gaps among elected representatives, especially in rural and remote areas.
• Social inequalities that hinder equal participation, particularly of women and disadvantaged communities.

Addressing these challenges requires stronger fiscal devolution, capacity-building initiatives, and greater administrative autonomy for Panchayats.