Actual Article
Article 282: Expenditure defrayable by the Union or a State out of its revenues
The Union or a State may make any grants for any public purpose, notwithstanding that the purpose is not one with respect to which Parliament or the Legislature of the State, as the case may be, may make laws.
UPSC Notes for Article 282
Explanation:
- Grants for Public Purpose: Article 282 allows the Union or a State to make grants for any public purpose, even if the purpose is not within their legislative competence.
- Flexibility in Expenditure: This provision grants flexibility to both the Union and State governments in allocating funds for various public purposes, ensuring that financial resources can be used effectively for the welfare of the people.
Key Points:
- Discretionary Grants: The article provides for discretionary grants by the Union and State governments for public purposes, allowing them to address various needs and challenges.
- Public Welfare: By enabling expenditure on public purposes outside the legislative competence, Article 282 ensures that the governments can take necessary actions for the public welfare.
- Fiscal Flexibility: The article enhances fiscal flexibility, allowing governments to respond to emerging issues and requirements with appropriate financial measures.
Important Cases and Commissions Related to Article 282
Cases:
- State of Bihar vs. Union of India (1970): The Supreme Court discussed the scope of discretionary grants under Article 282, emphasizing the broad powers of the Union and State governments to allocate funds for public purposes.
- Bhagwan Dass vs. State of U.P. (1976): This case examined the limits and accountability of expenditure under Article 282, reinforcing the need for transparency and adherence to public interest.
Commissions:
- Finance Commission: Reviews and recommends the allocation of discretionary grants and assesses the impact of such grants on the financial health of the Union and States.
- Planning Commission: (Replaced by NITI Aayog) Provided guidelines for the effective utilization of grants under Article 282 to ensure targeted and impactful public spending.
Important Reports Related to Article 282:
- Finance Commission Reports: Provide recommendations on the distribution and utilization of discretionary grants, ensuring that funds are used effectively for public purposes.
- Reports by NITI Aayog: Discuss the strategic allocation of grants under Article 282 to address key developmental challenges and promote sustainable growth.
Previous Year Prelims Questions Related to Article 282
- (UPSC Prelims 2016) What does Article 282 of the Indian Constitution allow?
- A. The Union and State governments to levy taxes without legislation
- B. The Union and State governments to make grants for any public purpose
- C. The President to declare a financial emergency
- D. The Supreme Court to audit government expenditures Correct Answer: B. The Union and State governments to make grants for any public purpose
- (UPSC Prelims 2018) According to Article 282, what is the scope of expenditure by the Union or a State?
- A. Limited to subjects within their legislative competence
- B. Includes any public purpose, even outside their legislative competence
- C. Restricted to matters of national security
- D. Defined by the Finance Commission Correct Answer: B. Includes any public purpose, even outside their legislative competence
Previous Year Mains Questions Related to Article 282
- Mains 2016: “Discuss the significance of Article 282 in providing flexibility to the Union and State governments in financial matters. How does this article enhance the ability of governments to address public welfare issues?”
- Mains 2019: “Evaluate the role of discretionary grants under Article 282 in promoting public welfare. What are the potential advantages and challenges associated with these grants?”
Additional Insights:
- Addressing Emergencies: Article 282 allows for quick financial responses to emergencies and unforeseen situations, ensuring that the Union and State governments can allocate resources where they are most needed.
- Promoting Innovation: By enabling funding for purposes outside legislative competence, the article encourages innovative solutions and targeted interventions for complex public issues.
Understanding Article 282 is crucial for UPSC aspirants as it provides insights into the mechanisms for discretionary grants and expenditure by the Union and State governments, emphasizing the importance of fiscal flexibility and public welfare. This knowledge is essential for both preliminary and main examinations, offering a comprehensive understanding of the financial provisions and their impact on governance within the Indian Constitution.