The introduction of delegated legislation in India has been the subject of many debates and discussions. Recently, the Supreme Court’s judgement on the Central Government’s decision regarding demonetisation brought certain aspects of delegated legislation into focus. Given its significance, it is pertinent to delve into the concept of delegated legislation, its relevance, and criticism it invites, as well as how it comes into play in cases like the demonetisation judgement by the Supreme Court.
Understanding Delegated Legislation
Delegated legislation or secondary legislation involves a branch of government, usually an administrative body, gaining powers from the primary legislature to create guidelines or regulations about specific statutory matters. Institutions such as the Parliament delegate their authority to these entities because they are unable to oversee every facet of governance on their own. Delegated legislation is visible in statutes, regulations, and local by-laws under particular legislations.
The Supreme Court’s Perspective on Delegated Legislation
In the past, the Supreme Court has expressed divergent views on delegated legislation. For instance, in Hamdard Dawakhana v Union of India (1959), the court declared that the delegation of powers was excessively vague. However, in 1973, a changed viewpoint highlighted how delegated legislation had become a necessity due to the practical needs of a modern welfare state.
Delegated Legislation and Demonetisation
When looking at the demonetisation initiative taken by the Central Government, the RBI Act, 1934 (Section 26(2)) played a massive role. The act provides for the Central Government to declare a specific denomination as non-legal tender, effectively delegating the power to alter legal tender’s nature. However, the absence of clear guidelines on exercising this power led to it being marked as arbitrary and potentially unconstitutional.
The Importance and Criticisms of Delegated Legislation
Delegated legislation offers the benefit of adaptability in the law-making process while addressing emergent issues efficiently. Nevertheless, it has raised concerns over the lack of transparency and accountability in law-making. The principle of separation of powers might be compromised if the executive and administrative branches accumulate too much authority.
What’s Next?
In light of these pros and cons, there’s an increasing need to enhance Parliament’s control over delegated legislation, introduce uniform rules for delegating powers, and empowering citizen participation in the law-making process. The media can help ensure accountability and transparency in delegated legislation by staying informed about proposed and implemented laws and highlighting any potential issues.
