Article 258

Article 258 of the Constitution of India provides the constitutional mechanism through which the Union Government can confer certain powers and functions upon State Governments or their officers. The provision serves as an important instrument for promoting administrative cooperation and efficiency between the Union and the States. It embodies the principle of cooperative federalism, ensuring that governance in India functions smoothly even in areas requiring coordination between both levels of government.

Background and Constitutional Context

India’s Constitution is federal in structure but unitary in spirit. While legislative powers are distributed between the Union and the States under the Seventh Schedule, the administration of laws and policies often requires collaboration. To enable such coordination, Article 258 was included in the Constitution to facilitate the delegation of Union functions to States, thereby preventing duplication of administrative efforts.
This arrangement is particularly useful in situations where the Union’s legislative powers extend over subjects that have to be implemented locally. Through this Article, the Union can utilise State machinery to administer Union laws, promoting both efficiency and unity in governance.

Clause (1): Entrustment of Functions by the President

Clause (1) of Article 258 empowers the President of India to entrust to any State Government, or to its officers, functions in relation to any matter to which the executive power of the Union extends. Such entrustment can be made conditionally or unconditionally, depending on administrative requirements.
However, this entrustment is subject to the consent of the concerned State Government, ensuring that the autonomy of the State is preserved. Once such consent is given, the State Government or its officers may perform the delegated functions as agents of the Union Government.
The provision allows for flexibility in governance. For instance, the Union Government may authorise States to implement certain central schemes, conduct national surveys, or enforce central laws where State machinery is better suited for execution.

Clause (2): Power of Parliament to Confer Powers and Impose Duties

Under Clause (2), Parliament may, by law, confer powers and impose duties on State Governments or their officers, even in matters where the State Legislature has no authority to legislate. This enables Parliament to ensure uniformity in the application of Union laws throughout the country.
For example, when a central law requires cooperation from States—such as laws relating to environmental protection, labour regulation, or criminal investigation—Parliament can authorise State officials to perform specific duties under that law.
This clause reinforces the idea that federalism in India is not rigid but dynamic, allowing functional overlaps to promote national interests while respecting constitutional boundaries.

Clause (3): Financial Arrangements and Compensation

Clause (3) provides for financial compensation to States for any additional administrative expenditure incurred due to the powers conferred under Article 258. The amount and conditions of such compensation are determined by mutual agreement between the Union and the concerned State.
If a dispute arises regarding the amount of compensation, it is referred to an arbitrator appointed by the Chief Justice of India, whose decision is final. This clause ensures that the delegation of functions does not impose an undue financial burden on the States and maintains equity in fiscal relations between the Union and the States.

Nature and Significance of the Provision

Article 258 is a cornerstone of cooperative federalism in India. It demonstrates how the Union and States can work together to achieve administrative and developmental goals. The provision has both constitutional and practical importance:

• It allows the Union to utilise State resources for implementing central schemes efficiently.
• It prevents duplication of administrative structures, thereby promoting cost-effective governance.
• It ensures that both levels of government remain interdependent in the spirit of constitutional unity.

Judicial Interpretation and Case Law

Several judicial decisions have elaborated upon the scope and implications of Article 258:

• State of West Bengal v. Union of India (1963): The Supreme Court highlighted the constitutional supremacy of the Union in coordinating executive functions across States, while also recognising the States’ right to autonomy within their jurisdiction.
• Keshavananda Bharati v. State of Kerala (1973): Though not directly concerning Article 258, this landmark case established the basic structure doctrine, under which federalism is a fundamental feature of the Constitution.
• State of Rajasthan v. Union of India (1977): The Court observed that the Union’s powers to act under constitutional provisions like Article 258 must respect the federal distribution of powers.
• Union of India v. State of Kerala (1979): This case clarified that while the Union can confer functions on States, such delegation does not amount to transferring legislative power; it only facilitates administrative convenience.

Relationship with Other Constitutional Provisions

Article 258 is closely related to several other provisions in the Constitution that govern the relationship between the Union and the States:

• Article 256: Obligates States to comply with laws made by Parliament and to follow Union executive directions.
• Article 257: Empowers the Union to issue directions to States to ensure that State actions do not impede Union executive power.
• Article 259: Allows the President to direct that certain functions or laws be applied to States under specific conditions.

Together, these Articles create a coherent constitutional framework that ensures administrative cooperation and coordination between different levels of government.

Practical Applications and Administrative Usage

In practice, Article 258 has been widely utilised in several fields where national interests require coordinated efforts. Examples include:

• Disaster Management: The Union often delegates responsibilities to State Governments for implementing disaster relief measures under central frameworks.
• Public Health: States act as agents for enforcing central health programmes, such as vaccination drives or epidemic control measures.
• Law Enforcement: The Union may confer powers upon State police or administrative officers to enforce Union laws like the Arms Act or the Passport Act.
• Economic Development: Central schemes like the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) or Pradhan Mantri Awas Yojana (PMAY) involve functional cooperation between Union and State authorities.

These examples illustrate the operational flexibility that Article 258 provides to India’s administrative machinery.

Limitations and Challenges

While Article 258 enhances administrative coordination, it is not free from challenges:

• Requirement of State Consent: Since the President can entrust functions only with State consent, differences in political alignment or priorities may delay or obstruct cooperation.
• Financial Constraints: Even though compensation is provided, States may still face fiscal stress when managing centrally delegated functions.
• Conflict of Authority: There can be overlapping responsibilities and confusion regarding accountability between Union and State officers.
• Implementation Disparities: Variations in administrative capacity across States can lead to inconsistent implementation of Union functions.

These limitations underscore the need for continuous consultation and consensus-building between the two levels of government.