1.5 Governance System in Nepal

Introduction to the Governance System

• The governance system is a collection of institutions, structures, and processes involved in government administration.
• It covers the overall framework, methods, actors, and rules for exercising governmental power in any country.
• The governance system of any country is defined by its constitution.

The governance system mainly encompasses the following seven topics:

1. Structure or form of the state
2. Form of government
3. Power-sharing structure among government branches
4. Electoral or representation system
5. Political parties or party system
6. Key governance actors and their roles
7. International relations

History of Nepal's Governance System

Looking at Nepal’s political history, we find the following stages:

1. 1825 – 2007 (Bikram Sambat): Non-participatory period
   • Governance based on policy, religious laws, and ruler’s orders.
   • Sovereignty was fully vested in the ruler (king/rana).
   • The Nepal Government Code of 1947 (2004 BS) was drafted but never implemented.
   • Some socio-economic reforms, diplomatic relations started, and legal bases were developed.
2. 2007 – 2017: Limited participation
   • Interim Governance Act, 2007 and Constitution of Nepal, 2015 were promulgated.
   • Sovereignty vested in the king, active royal role, centralized system, parliamentary system started, principle of power separation adopted, and multi-party democracy initiated.
3. 2017 – 2046: Controlled participation
   • From 2017 BS, King Mahendra started the Panchayat system which lasted 30 years.
   • The Constitution of Nepal 1962 institutionalized active monarchy and party-less Panchayat system.
   • Management of diversity was unsuccessful (single religion, language, culture).
   • Some positive aspects in peace, security, political stability, and decentralization.
4. 2047 – 2062: Full participation
   • Constitution of Kingdom of Nepal, 2047 established sovereignty with the people for the first time, constitutional monarchy, separation and balance of powers, multi-party parliamentary system, and constitutional bodies.
   • Ignoring diversity and inclusion led to violent conflict, political instability, and weak state presence.
5. 2063 – 2072: Democratic full participation
   • After the 2062/63 people’s movement, democratic republic was declared.
   • Interim Constitution, 2063 proclaimed sovereignty and royal power vested in the people, inclusion, proportional representation system, recognition, respect, and protection of diversity.
6. After 2072: State restructuring towards self-governance and co-governance
   • New constitution promulgated as the seventh constitution through the Constituent Assembly.
   • Sovereignty and royal power vested in the people, secular, inclusive, socialism-oriented federal democratic republican system, mixed parliamentary system with proportional representation, separation, balance and control of power, constitutional bodies, and non-aligned foreign policy established.

Current Governance System of Nepal

The Constitution of Nepal defines the framework, procedures, and structure for the exercise of governmental power.

1. Form or Structure of the State
   • Nepal is a federal democratic republican state (Article 4).
   • Federal Nepal’s structure consists of three levels: federal, provincial, and local (Article 56).
   • Distribution of state powers among federal, provincial, and local levels as per Schedules 5, 6, and 8 (Article 57).
   • Shared powers among levels listed in Schedules 7 and 9.
   • Residual powers arranged under Article 58.
   • Relations among the three levels based on cooperation, coexistence, and coordination (Article 232).
   • Currently, 1 federal government, 7 provinces, and 753 local governments totaling 761 governments are active.
2. Form of Government
   • The form of government is the framework for the exercise of executive power.
   • Nepal has a multiparty competitive parliamentary system based on pluralism (Article 74).
   • The president appoints the leader of the majority parliamentary party or a member who can secure majority support as prime minister (Article 76).
   • Prime ministers other than the majority party appointee must secure a vote of confidence within 30 days.
   • The prime minister forms the cabinet based on inclusivity principles.
   • President is elected by an electoral college comprising federal and provincial assembly members.
   • Executive acts are generally performed by the cabinet on the president’s recommendation and approval.
   • Each province has a provincial chief appointed by the president representing the federal government.
   • The provincial cabinet has executive powers similar to the federal cabinet.
   • Distinct features from standard parliamentary systems include:
   • A prime minister who wins a vote of confidence cannot dissolve parliament.
   • No motion of no confidence can be proposed against the prime minister for two years after appointment, and if it fails once, another can only be introduced after one year.
   • Constitutional appointments by the constitutional council must be reconfirmed by parliamentary hearings.
3. Branches of Government and Power Sharing
   • The government comprises the legislature, executive, judiciary, and constitutional bodies.
   • Executive power is vested in the Council of Ministers (Article 75), legislative power in the Parliament (Article 109), and judicial power in courts (Article 126).
   • Power checks and balances between branches include:

   Legislature controls Executive	Executive controls Legislature
   President and Vice-President elected by electoral college. Prime Minister appointed and removable by no-confidence vote. Collective ministerial responsibility to parliament. Parliamentary committees can guide the government. Parliament can impeach the President and Vice-President.	President summons and dissolves parliament sessions. Government manages parliamentary business. Bills passed by parliament can be sent back for review. Bills become law only after presidential assent. Government can issue ordinances when parliament is not in session. Executive holds the power to dissolve parliament.

   Judiciary controls Legislature	Legislature controls Judiciary
   Interprets laws and constitution. Can annul laws inconsistent with the constitution. Parliament cannot discuss pending court cases.	Judicial appointments require parliamentary hearings. Parliament can impeach Chief Justice and Supreme Court judges. Legislature can change the judiciary’s jurisdiction.

   Executive controls Judiciary	Judiciary controls Executive
   President appoints judges on constitutional council recommendations. Can grant pardons or suspend sentences. Provides budget and manpower to judiciary.	Judges take oath before Chief Justice. All must comply with court orders. Supreme Court can issue writs to stop unconstitutional executive acts.

4. Constitutional Bodies
   • Independent constitutional bodies like the Commission for the Investigation of Abuse of Authority, Auditor General, Public Service Commission, Election Commission, and National Human Rights Commission oversee executive power to prevent misuse.
5. Political Parties or Party System
   • The party system may be multi-party, two-party, single-party, or non-party/independent.
   • Nepal follows a multi-party democratic system, with constitutional commitments to competitive multi-party democracy.
   • Freedom to form political parties is a fundamental right; political parties cannot be banned based on political views (Article 270).
6. Electoral or Representation System
   • In democracy, only representatives chosen through free and fair elections have legitimate authority to govern.
   • Electoral systems include direct, proportional, and mixed methods.
   • Nepal uses a mixed electoral system: 165 members of the House of Representatives are elected directly, 110 via proportional representation; National Assembly has 59 members.
   • Provincial assemblies elect 60% members directly and 40% via proportional representation.
   • Proportional representation ensures inclusion of women, Dalits, indigenous groups, Madhesi, Tharu, Muslims, and marginalized regions through closed lists.
7. Key Governance Actors and Their Roles
   • Governance actors are divided into public sector, private sector, and non-governmental/community sector.
   • The constitution recognizes the role of all three sectors in strengthening the national economy (Article 51(gh)).
   • Recently, these sectors have increasingly collaborated to accelerate national development.
8. International Relations
   • Nepal maintains independence, sovereignty, territorial integrity, and national interest while establishing international relations based on universal equality, enhancing national prestige (Directive Principles – Article 50(4)).
   • Nepal pursues independent foreign policy based on UN Charter, non-alignment, Panchsheel, international law, and world peace, prioritizing national interests (Foreign Policy – Article 51(d)).
   • Existing treaties are reviewed and new agreements are made on equality and mutual benefit.
   • Nepal actively participates in various international and regional organizations and maintains bilateral and multilateral relations to promote mutual economic, social, political, and strategic interests.