2017 · GS Paper 2 · Q1 · 10 marks
The local self-government system in India has not proved to be effective instrument of governance. Critically examine the statement and give your views to improve the situation.
In short
Local self-government in India has underperformed mainly because states withhold funds, functions and functionaries, though it has widened inclusion and participation. Overall devolution to Panchayats rose only from 39.9% in 2013-14 to 43.9% in 2021-22 on the Panchayat Devolution Index.
Model answer
Ghissu Editorial · Verified 4 Oct 2026 · 275 words
Funds without autonomy
The RBI's 2024 study found Panchayats' own revenue at about 1% of total revenue, so they spend tied grants rather than set priorities.
Functions withheld
Line departments keep the staff and schemes of the 29 Eleventh Schedule subjects, a gap the Second ARC's report on local governance (2007) flagged.
Elections and capture
In Suresh Mahajan (2022) the Supreme Court had to order overdue local polls, and proxy "sarpanch-pati" rule led to the Sushil Kumar Committee (2023).
Inclusion
Reservation under Article 243D has brought women to nearly half of elected Panchayat seats (PIB, 2026).
Participatory delivery
Kerala's People's Plan Campaign (1996) and MGNREGA social audits show that empowered Gram Sabhas plan better and curb leakage.
Activity mapping
Devolve the 3Fs subject by subject and give panchayats their own cadre.
Fiscal muscle
Enforce property tax floors, timely State Finance Commissions and untied grants.
Capacity and audit
Scale RGSA training, e-GramSwaraj accounting and social audits.
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This chapter in the exam
Devolution — Panchayati Raj6 questions
Asked in 6 of 14 sittings since 2013
- 2022To what extent, in your opinion, has the decentralisation of power in India changed the governance landscape at the grassroots?
- 2020The strength sustenance of local institutions in India has shifted from their formative phase of Functions, Functionaries and Funds to the contemporary stage of Functionality. Highlight the critical challenges faced by local institutions in terms of their functionality in recent times.
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Question from the official UPSC Civil Services (Main) Examination 2017 paper. Answer written by Ghissu's engine and checked against our editorial standards. Found an error? Tell us and we correct it within 48 hours.