Hindu Editorial Analysis : 22-February-2024
There is a growing awareness of the vital connection between local governance, development, and gender equality. Understanding how these elements interact can help us build stronger communities.
Local Self-Governance
In December 1992, the Indian Parliament passed the 73rd and 74th constitutional amendments. These amendments established panchayats (for rural areas) and municipalities (for urban areas). They aimed to create a third tier of governance, giving local governments more responsibilities, resources, and powers.
Key Features
- Panchayats are established at three levels: village, block, and district.
- Municipalities include municipal corporations, municipal councils, and nagar panchayats.
- One-third of the total seats in local bodies are reserved for women, promoting gender equality in governance.
Sources of Revenue
Local governments have several ways to generate income:
- Major Own Sources of Revenue (OSRs):
- Property tax
- Cess on land revenue
- Surcharge on stamp duty
- Tolls
- Profession tax
- User charges for water and sanitation
- Potential Non-Tax Revenue:
- Fees from services
- Rent from properties
- Income from investments
- Corporate Social Responsibility (CSR) funds
Innovative projects, such as renewable energy initiatives and rural business hubs, can also provide income.
Importance of Local Governance
Local governance is essential for several reasons:
- Efficient Public Service: Local governments can better meet the specific needs of their communities.
- Deeper Democracy: Being closer to the citizens allows for greater public participation in decision-making.
- Sustainable Development: Gram sabhas (village assemblies) play a crucial role in utilizing local resources for development. They can:
- Plan and implement revenue-generating projects.
- Impose taxes and direct funds toward local needs.
Through transparent management, gram sabhas build trust within the community and help villages become economically independent.
Concerns and Challenges
Despite its importance, local governance faces significant challenges:
- Limited Autonomy: Local governments often lack the authority to make independent decisions.
- Low Revenue Generation: Panchayats typically earn only 1% of their revenue from taxes, relying heavily on grants from state and central governments.
- Cultural Barriers: Many citizens are reluctant to pay taxes due to the prevalent ‘freebie culture.’ Elected officials may avoid imposing taxes for fear of losing popularity.
- Authority Issues: In some states, gram panchayats do not have the authority to collect taxes, and higher-level panchayats may also lack the responsibility for tax collection.
Why In News
There is a growing recognition of the crucial link between local governance, development, and gender equality, as effective local governance not only empowers marginalized communities but also fosters inclusive economic growth that benefits everyone.
MCQs about The Importance of Local Governance and Gender Equality
- What was the main purpose of the 73rd and 74th constitutional amendments passed in December 1992 in India?
A. To eliminate poverty in urban areas
B. To establish a third tier of governance
C. To increase the voting age to 21
D. To promote international trade
- What percentage of seats in local bodies is reserved for women due to the constitutional amendments?
A. 25%
B. 50%
C. 33%
D. 10%
- Which of the following is NOT listed as a major own source of revenue (OSR) for panchayats?
A. Property tax
B. Corporate sponsorships
C. User charges for water
D. Toll fees
- What challenge do local governments face in raising revenue according to the essay?
A. High population density
B. Lack of awareness among citizens
C. The ‘freebie culture’ leading to reluctance in tax payment
D. Overfunding from the central government
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