Context:
- India’s remarkable achievement in mass democracy has not translated into mass prosperity.
- The regulatory cholesterol—the lack of transparency, consistency and trust in law enforcement—prevents entrepreneurs from combining land, labour and capital to generate productive, innovative and high-wage jobs.
- Following the decriminalisation of thousands of offences under the Jan Vishwas initiative, India must undertake three further reforms -
- Siddhant (principles of trust),
- Sangreh (a single source of legislative truth) and
- Ashwasan (certainty of enforceable obligations).
The Economic Imperative - From Employment to High-Wage Jobs:
- The challenge of mass prosperity:
- India ranks 128th globally in per-capita GDP, despite its remarkable democratic achievements.
- The problem is not the absolute scarcity of land, labour or capital, but their inefficient utilisation.
- Nearly one-third of India's workforce remains trapped in employed poverty.
- India's equity and debt-to-GDP ratios are broadly comparable to sustainable global benchmarks.
- The central challenge is not merely creating jobs, but creating productive employment that pays higher wages.
- The India-China economic divergence:
- China's per-capita GDP is approximately five times India's, despite the two economies being comparable in 1991.
- The difference is not necessarily attributable to superior intelligence or work ethic, but to the institutional environment that enables enterprises to grow, innovate and compete globally.
- Regulatory cholesterol discourages formalisation and traps workers in informal wage employment and low-productivity self-employment.
Siddhant - Establishing the Philosophy of Trust-Based Regulation:
- Six toxic regulatory mindsets:
- Prior approval: Activities are prohibited until explicitly permitted, restricting entrepreneurial freedom.
- Enforcing the unenforceable: Regulations are imposed without assessing the state's actual enforcement capacity.
- Process as punishment: Excessive procedural requirements penalise even compliant citizens and businesses.
- Compliance and instrument blind spot: Regulators focus on more than 25 categories of non-legislative administrative instruments instead of examining the overall legislative framework.
- Writing laws for edge cases: Exceptional instances are used to justify restrictions on entire sectors, such as using drunk driving to argue against automobiles.
- Excessive criminalisation: Imprisonment becomes ineffective when cases are rarely filed or prosecution is delayed.
- A new regulatory philosophy:
- Jan Vishwas must institutionalise -
- Freedom: Presume that citizens and enterprises should be free to act.
- Necessity: Regulate only when a genuine public purpose requires intervention.
- Proportionality: Ensure that regulatory burdens and penalties are proportionate to the harm addressed.
- This requires intellectual, institutional and behavioural transformation among India's civil servants, numbering over 30 million.
Sangreh - A Single Source of Legislative Truth:
- The state's duty to make law knowable:
- The principle of Ignorantia juris non excusat means that ignorance of law is no excuse.
- However, this principle presupposes that the government makes laws accessible, understandable and publicly available.
- Secret, scattered or unpublished obligations undermine the legitimacy of the rule of law.
- Judicial recognition of legal accessibility:
- Harla v. State of Rajasthan (1952): Secret laws cannot bind citizens who have no knowledge of them.
- B.K. Srinivasan v. State of Karnataka (1987): Laws must be made reasonably knowable to those they govern.
- Viraj Impex v. Union of India (2019): Laws become operative only after proper publication and public notice.
- Global best practices - Centralised legal repositories:
- US: Has Federal Register and Code of Federal Regulations.
- UK: legislation. gov. uk
- European Union: EUR-Lex.
- Singapore: Statutes Online.
- Australia: Federal Register of Legislation.
- Sangreh as India's legal digital public infrastructure (DPI):
- Sangreh must become the authoritative, searchable and machine-readable national platform for legal rights and obligations.
- Its architecture would involve -
- Institutional integration: Consolidating existing legal repositories, including physical gazettes, the e-Gazette and India Code.
- Legal standardisation: Developing a common legal language, syntax and architecture through initiatives such as Bharat Niti Lipi.
- Technological integration: Establishing a unified, open and API-enabled platform through DPI protocols.
- Ministries and State governments may maintain their official repositories, while Sangreh aggregates and indexes them into a unified national view.
Ashwasan - Guaranteeing Certainty of Obligations:
- Beyond a digital repository:
- Earlier attempts to create a single source of legal truth faced multiple challenges -
- Fragmented institutional authority.
- Weak technological capacity and poor design.
- Lack of sustained political and administrative attention.
- Resistance arising from institutional interests.
- However, the fundamental problem was the absence of a guarantee that obligations not listed in the repository would not be enforced.
- Transparency of Rules Act (TORA):
- The proposed law would require every enforceable legal obligation—whether arising from an Act, rule or administrative instrument—to be published on Sangreh.
- This would ensure -
- Legal certainty: Citizens and businesses know their compliance obligations.
- Predictability: Enterprises can plan investments and expansion with confidence.
- Administrative credibility: Governments become more accountable.
- Reduced corruption: Hidden rules and discretionary enforcement become harder to sustain.
- Sangreh would thus evolve from a repository into a legally guaranteed source of enforceable obligations.
Way Forward - Reconciliation of Liberty and the Rule of Law:
- Both (Adam Smith's The Wealth of Nations and the Indian Constitution) advance the idea that democratic governments should expand human freedom rather than unnecessarily constrain it.
- Adam Smith emphasised liberty, competition and the rule of law as foundations of enterprise and prosperity.
- The Constitution derives legitimate governmental authority from the consent of the governed.
- The three interventions of Jan Vishwas reconcile these traditions by making regulation transparent, proportionate and predictable.
Conclusion:
- Together, these reforms can promote formalisation, improve labour productivity, encourage investment and create high-wage employment.
- By replacing regulatory discretion with transparent and predictable governance, India can convert its democratic strength into mass prosperity.