Question

According to the PESA Act of 1996 (Extension Act), which of the following are true?

1. The 73rd Amendment does not automatically apply to Fifth Schedule tribal areas.

2. The Parliament may extend Panchayati Raj provisions to Scheduled Areas with modifications.

3. Panchayats in scheduled areas cannot levy any taxes.
   

• A. 1 and 2 only
• B. 2 and 3 only
• C. 1 and 3 only
• D. All of the above

Answer 1

Answer:

A. 1 and 2 only

Provisions of the Panchayats (Extension to the Scheduled Areas) Act, 1996 (PESA)

• The PESA Act, enacted in 1996, is a significant piece of legislation aimed at extending the provisions of Part IX of the Constitution (Panchayats) to the Scheduled Areas of India.
• It was introduced to ensure tribal self-rule through traditional Gram Sabhas, thereby safeguarding their customs, traditions, and natural resource management.
• The Act recognizes the Gram Sabha as the nucleus of all activities and vests it with wide-ranging powers, including approving development plans, controlling social sector institutions, managing minor forest produce, and regulating land alienation.

Relationship with the 73rd Constitutional Amendment Act, 1992

• The 73rd Constitutional Amendment Act, 1992, which institutionalized Panchayati Raj in India, did not automatically apply to the Fifth Schedule Areas. This exception is explicitly mentioned in Article 243M of the Constitution.
• The rationale behind this exclusion was to protect the unique socio-cultural identity, customary laws, and traditional management practices of tribal communities in these areas.
• This non-applicability necessitated a separate law, leading to the enactment of PESA to extend Panchayati Raj provisions to these specific regions with necessary modifications.

Extension of Panchayati Raj Provisions to Scheduled Areas

• Article 243M (4)(b) empowers the Parliament to extend the provisions of Part IX to the Scheduled Areas and tribal areas, subject to such exceptions and modifications as it deems fit.
• PESA 1996 is precisely this law, allowing for the extension of Panchayati Raj principles while incorporating provisions that respect and uphold the traditional self-governance systems of tribal communities.
• The Act seeks to devolve maximum power to the Gram Sabha to ensure that local tribal communities have control over their destiny and natural resources.

Financial Autonomy of Panchayats in Scheduled Areas

• Contrary to the misconception, Panchayats in Scheduled Areas can levy and collect taxes, duties, tolls, and fees.
• One of the core objectives of PESA is to ensure the financial autonomy and self-sufficiency of these local bodies. The power to raise their own resources is crucial for their effective functioning and implementation of local development initiatives.
• This power allows them to fund local projects and services, reducing reliance on external grants and strengthening local governance.

Key Takeaways for Competitive Exams

• PESA Act was enacted in 1996.
• It extends Part IX of the Constitution (Panchayats) to Fifth Schedule Areas.
• Article 243M provides for the non-applicability of Part IX to certain areas, including Scheduled Areas, or its application with modifications.
• The Gram Sabha is the central institution under PESA, vested with significant powers, including control over land, minor forest produce, minor water bodies, and local planning.
• Panchayats under PESA are empowered to levy and collect taxes, emphasizing their financial self-reliance.