Negotiating federalism in higher education

Why in the news?

Recently, higher education has become one of the most important grounds for the Centre-State dispute in India. The debates on the National Education Policy 2020, Academic Bank of Credits (ABC), appointments of the Vice Chancellor, language issues, research grants, and some proposed regulations, such as the Viksit Bharat Shiksha Adhishthan Bill, 2025, among others, have brought back into discussion the issue of federalism, autonomy, and constitutional demarcation of powers in educational governance.

How Has Higher Education Become a Site of Federal Contestation?

• Federal Interface: Higher education has evolved beyond a sectoral policy issue and now reflects broader Centre-State power relations.
• Governance Disputes: Regulatory authority, curriculum design, language policy, public funding, and digital governance have become contested domains.
• Political Divergence: Different States have responded differently to central reforms, reflecting diverse political and developmental priorities.
• Constitutional Significance: Debates increasingly concern the distribution of authority within the Indian Union rather than merely educational administration

Constitutional Basis

Provision	Significance
Entry 66, Union List	Coordination and determination of standards in higher education
Entry 25, Concurrent List	Education under shared legislative jurisdiction
Article 246	Distribution of legislative powers
Article 254	Union law prevails in case of inconsistency

Why Has NEP 2020 Intensified Federal Debates?

• The National Education Policy (NEP) 2020 represents the most significant higher education reform in decades.

Major Reforms

Four-Year Undergraduate Programmes

• Restructures traditional degree pathways.
• Introduces multidisciplinary learning.

Academic Bank of Credits (ABC)

• Facilitates accumulation and transfer of academic credits.
• Encourages student mobility across institutions.

Multiple Entry-Exit Framework

• Allows flexible educational pathways.
• Enables students to exit and re-enter programmes.

Institutional Restructuring

• Promotes multidisciplinary universities.
• Encourages consolidation of smaller institutions.

Internationalisation

• Facilitates foreign university participation.
• Encourages global collaborations.

Federal Concerns

• Many States argue that these reforms:
• Expand central oversight,
• Reduce State discretion,
• Standardise diverse educational systems.

How Are Funding Mechanisms Strengthening Central Influence?

• Conditional Funding: Access to central financial support increasingly depends on compliance with nationally designed reforms.
• Institutions of Eminence (IoE): Links excellence funding with centrally determined criteria.
• Research Incentives: Competitive funding structures influence institutional priorities.
• Anusandhan National Research Foundation (ANRF): Expands central role in research governance and resource allocation.
• Policy Alignment: Financial incentives encourage States and institutions to adopt national reform agendas.

Fiscal Federalism and Higher Education

• Vertical Fiscal Imbalance: States bear substantial implementation responsibilities while major funding flows remain centrally influenced.
• Conditional Grants: Strengthen policy convergence across States.
• Performance-Based Funding: Links resources with nationally determined outcomes.

What Are the Major Centre-State Conflicts in Higher Education?

Tamil Nadu

• Three-Language Formula: Repeated opposition to language provisions under NEP 2020.
• UGC Circular Dispute: Resistance to directives concerning third-language implementation.

Kerala

• University Governance: Concerns regarding the appointment of Vice-Chancellors and gubernatorial powers.

Karnataka

• Institutional Autonomy Issues: Disputes over university administration and appointments.

West Bengal

• Governor-State Government Conflicts: Differences regarding control over higher education institutions.

Broader Pattern

• Vice-Chancellor Appointments: Emerging as a recurring federal conflict.
• Governor’s Role: Increasingly linked to debates over educational autonomy.
• Regional Identity: Language and curriculum issues reinforce federal tensions.

Conclusion

Higher education has become an important sphere of India’s federal negotiations, whereby questions of regulation, financing, language use, and governance have been increasingly important in determining Center-State relationships. It will be crucial for the development of higher education to ensure a compromise between the need for high-quality education and a constitutionally sound system of federal negotiations.