Previous Year Question

The fundamental objectives of the Panchayati Raj system are people’s participation in development and democratic decentralisation. Therefore, Statements 1 and 3 are correct.

People’s participation in development means that the rural population should not remain merely a beneficiary of government schemes. It should actively participate in identifying local needs and in the preparation, implementation and monitoring of development plans. The Gram Sabha provides a constitutional forum for the direct participation of local people in this process.

Democratic decentralisation involves transferring governmental powers and responsibilities from the State level to elected local institutions. The Balwant Rai Mehta Committee also presented Panchayati Raj as an institutional arrangement for democratic decentralisation.

The Constitution (Seventy-third Amendment) Act, 1992 inserted Part IX and gave constitutional status to Panchayats. Under Article 243G, State Legislatures may endow Panchayats with powers and responsibilities to prepare and implement plans for economic development and social justice. The Eleventh Schedule contains 29 subjects connected with Panchayats.

Political accountability may be an important consequence of democratic local government because representatives remain close to local electors. However, in the context of this question, it is not treated as the fundamental object of Panchayati Raj.

Similarly, financial mobilisation is a means by which Panchayats perform their functions, rather than the fundamental objective itself. Article 243H permits States to provide for the levy and collection of taxes, duties, tolls and fees by Panchayats. Financial resources are intended to enable Panchayats to undertake development and social-justice functions.