Panchayati Raj at 33: 73rd Amendment, PESA and Key Articles Explained

Quick Answer: The 73rd Constitutional Amendment Act, 1992 gave constitutional status to Panchayati Raj, inserting Part IX and Articles 243 to 243-O along with the 11th Schedule (29 subjects) into the Constitution. It came into force on 24 April 1993 — now observed as National Panchayati Raj Day. It mandates a three-tier system, reservations for SCs, STs and women, a State Election Commission and a State Finance Commission. The PESA Act, 1996 extends these provisions to Scheduled Areas in ten states.

## Quick Answer: What is the 73rd Amendment and Why It Matters

The 73rd Constitutional Amendment Act, 1992 is the single most examined legislation on local self-government in Indian Polity. Its exam-critical facts:

• Passed: By Parliament in 1992; received presidential assent on 20 April 1993.
• Effective date: 24 April 1993 — celebrated annually as National Panchayati Raj Day.
• Inserted: Part IX of the Constitution (“The Panchayats”), Articles 243 to 243-O, and the 11th Schedule with 29 functional subjects.
• PESA Act, 1996: Extended the provisions of Part IX to Fifth Schedule Scheduled Areas with special Gram Sabha powers.
• Nature: Panchayats are institutions of self-government, not merely advisory bodies; the amendment made regular elections, reservations and devolution of funds constitutionally mandatory.

For the official text, see the Ministry of Panchayati Raj (https://pib.gov.in and https://panchayat.gov.in) and the Constitution as updated by the Legislative Department (https://legislative.gov.in).

## Historical Background: Balwant Rai Mehta to Ashok Mehta Committees

The road to the 73rd Amendment runs through two landmark committees:

• Balwant Rai Mehta Committee (1957): Recommended democratic decentralisation and the establishment of a three-tier Panchayati Raj system — Gram Panchayat (village), Panchayat Samiti (block) and Zila Parishad (district). Rajasthan became the first state to implement it, at Nagaur on 2 October 1959.
• Ashok Mehta Committee (1977): Recommended a two-tier system (Zila Parishad and Mandal Panchayat), constitutional status for Panchayats, and compulsory powers of taxation. Most recommendations were not implemented, but they shaped later reform.
• G.V.K. Rao Committee (1985) and L.M. Singhvi Committee (1986): Singhvi recommended granting Panchayats constitutional status and an independent election machinery — ideas that directly fed the 73rd Amendment.
• Rajiv Gandhi’s 64th Amendment Bill (1989): Sought constitutional status for Panchayats but was defeated in the Rajya Sabha. The 65th Amendment Bill (for municipalities) met the same fate.
• P.V. Narasimha Rao government (1991–92): Reintroduced the proposal, which passed as the 73rd (Panchayats) and 74th (Municipalities) Amendment Acts.

## Key Articles 243 to 243-O Explained

## Three-Tier Structure: Village, Intermediate and District Levels

Article 243B mandates Panchayats at three levels:

1. Village level: Gram Panchayat — members elected directly by the Gram Sabha voters.
2. Intermediate level: Panchayat Samiti at the block level — members elected directly.
3. District level: Zila Parishad — chairpersons of Panchayat Samitis and MLAs/MPs representing the district may be members.

Exam favourite: States with a population not exceeding 20 lakh may skip the intermediate tier (Article 243B). Chairpersons at the village and intermediate levels are elected as per state law; the district chairperson is similarly provided for by state legislation.

## 11th Schedule: 29 Functional Subjects

Article 243G read with the 11th Schedule lists 29 subjects that states may devolve to Panchayats:

1. Agriculture and extension; 2. Land improvement, land reforms, land consolidation and soil conservation; 3. Minor irrigation, water management and watershed development; 4. Animal husbandry, dairying and poultry; 5. Fisheries; 6. Social and farm forestry; 7. Minor forest produce; 8. Small-scale industries including food processing; 9. Khadi, village and cottage industries; 10. Rural housing; 11. Drinking water; 12. Fuel and fodder; 13. Roads, culverts, bridges, ferries, waterways and other means of communication; 14. Rural electrification including distribution of electricity; 15. Non-conventional energy sources; 16. Poverty alleviation programmes; 17. Education including primary and secondary schools; 18. Technical training and vocational education; 19. Adult and non-formal education; 20. Libraries; 21. Cultural activities; 22. Markets and fairs; 23. Health and sanitation including hospitals, PHCs and dispensaries; 24. Family welfare; 25. Women and child development; 26. Social welfare including welfare of the handicapped and mentally retarded; 27. Welfare of weaker sections, in particular SCs and STs; 28. Public distribution system; 29. Maintenance of community assets.

Note: Devolution of these subjects is discretionary — the state legislature decides which powers Panchayats actually exercise.

## Reservations for SCs, STs and Women (Article 243D)

• Seats reserved for SCs and STs in proportion to their population in every Panchayat.
• Not less than one-third of the total seats reserved for SC/STs are for women of those categories.
• Not less than one-third of the total seats (including SC/ST seats) reserved for women.
• Similar one-third reservation applies to the offices of chairpersons.
• State legislatures may provide reservations for backward classes.
• Over 20 states — including Bihar, the first in 2006 — have raised women’s reservation to 50 per cent.

## State Election Commission (Article 243K)

• The State Election Commission (SEC) has superintendence, direction and control of the preparation of electoral rolls and conduct of all Panchayat (and municipal) elections.
• The State Election Commissioner is appointed by the Governor.
• Removal: In the same manner and on the same grounds as a Judge of a High Court — insulating the office from arbitrary removal.
• The SEC is a separate constitutional body, independent of the Election Commission of India, which handles Parliament and Assembly elections.

## State Finance Commission (Article 243I)

• The Governor constitutes a State Finance Commission (SFC) within one year of 24 April 1993 and every five years thereafter.
• The SFC reviews the financial position of Panchayats and recommends: principles governing distribution of taxes, duties, tolls and fees between state and Panchayats; grants-in-aid from the state Consolidated Fund; and measures to improve Panchayat finances.
• The Governor places the SFC report, with an explanatory memorandum, before the state legislature (Article 243-I).

## PESA Act 1996: Extension to Scheduled Areas

The Provisions of the Panchayats (Extension to the Scheduled Areas) Act, 1996 (PESA) extends Part IX to Fifth Schedule areas with modifications:

• Every village community has a competent Gram Sabha safeguarding customs, community resources and customary dispute resolution.
• Gram Sabha consultation is mandatory before land acquisition or resettlement of project-affected persons.
• Gram Sabhas/Panchayats have powers over minor forest produce, minor minerals, village markets, moneylending, alcohol prohibition and ownership of minor forest produce.
• Panchayats and Gram Sabhas are consulted in plans and programmes for economic development and social justice.
• Reservations for STs apply; chairperson seats are reserved for Scheduled Tribes.

Ten states with Fifth Schedule areas must comply: Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Rajasthan and Telangana (Telangana succeeded to obligations after 2014).

## Duration and Disqualification of Panchayats (Articles 243E, 243F)

• Article 243E: Every Panchayat has a five-year term from its first meeting. Elections must be completed before expiry of the term, or within six months of dissolution. A reconstituted Panchayat serves only the remainder of the original term.
• Article 243F: Disqualification grounds — being qualified as an elector, disqualification under state law, unsoundness of mind, insolvency, or holding a profitable office under government. Also, more than two children (where state law so provides, subject to Supreme Court rulings). No person shall be disqualified on the ground of being over 65 years of age.

## Previous Year Questions: How UPSC, SSC and Banking Exams Frame This Topic

Q1. (UPSC Prelims-style) Which of the following are compulsory provisions of the 73rd Amendment?
1. Three-tier structure 2. State Finance Commission every five years 3. Devolution of all 29 Schedule subjects 4. Reservations for backward classes
Answer: 1 and 2 only (3 is discretionary; 4 is optional for states).

Q2. (SSC CGL) The 73rd Amendment came into force on —
Answer: 24 April 1993.

Q3. The State Election Commissioner can be removed —
Answer: In the same manner as a Judge of a High Court.

Q4. The Balwant Rai Mehta Committee recommended a —
Answer: Three-tier Panchayati Raj system (1957).

Q5. Under PESA, Gram Sabha approval is mandatory before —
Answer: Land acquisition and resettlement of project-affected people.

## Quick Revision Table and Memory Tricks

Mnemonics: “E-F-G-H” for the functional chain — Elections (243K), Finance (243I), Governance powers (243G), Holding taxes (243H). For PESA states, remember “AP–CG–GJ–HP–JH–MP–MH–OD–RJ–TG”. For the tier order, chant “G-P-Z” — Gram Panchayat, Panchayat Samiti, Zila Parishad.

Frequently Asked Questions

Q: When did the 73rd Amendment come into effect?

It was passed by Parliament in 1992 and came into force on 24 April 1993. The date 24 April is celebrated every year as National Panchayati Raj Day.

Q: How many subjects are listed in the 11th Schedule?

The 11th Schedule contains 29 subjects, ranging from agriculture (entry 1) to women and child development, drinking water, rural housing and public distribution system.

Q: Which ten states are covered under PESA?

Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, Rajasthan and Telangana — the ten states with Fifth Schedule Scheduled Areas.

Q: Can states abolish the intermediate tier of Panchayats?

States with a population not exceeding 20 lakh may choose not to constitute Panchayats at the intermediate level under Article 243B — the village and district tiers remain compulsory.

Q: What is the minimum reservation for women in Panchayats?

Not less than one-third of the reserved seats and of the offices of chairpersons, under Article 243D. Many states, starting with Bihar in 2006, have raised this to 50 per cent.

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• Schedules of the Indian Constitution: 12 Schedules with 10-Second Memory Hooks for SSC & UPSC
• Preamble Decoded: Socialist, Secular, Integrity — The 42nd Amendment Words Exams Always Ask

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