Alternative Dispute Resolution Mechanism – NCA, Lok Adalats, etc.

Lok Sabha passes New Delhi International Arbitration Centre Bill


Mains Paper 2: Polity | Dispute redressal mechanisms and institutions.

From UPSC perspective, the following things are important:

Prelims level: New Delhi International Arbitration Centre Bill 2018

Mains level: Arbitration mechanism in India – pros, cons, challenges and way forward


  • The Lok Sabha has passed the New Delhi International Arbitration Centre Bill 2018.

 Propositions of the Bill New Delhi International Arbitration Centre Bill

  1. The Bill aims for creating an independent and autonomous regime for institutionalized arbitration and their better management so as to make it a hub for institutional arbitration.
  2. It will replace the International Centre for Alternative Dispute Resolution set-up in the year 1995, which is a society registered under the Societies Registration Act.
  3. It is based on the opinion of the High Powered Committee appointed by the Centre that the International Centre for Alternative Dispute Resolution has failed to address the growing needs of the institutional arbitration.


  1. The proposed New Delhi International Arbitration Centre will be a statutory body.
  2. It will consist of:
  • Chairperson,
  • Two eminent persons having substantial knowledge in international and domestic arbitration,
  • One representative of a recognized body of commerce,
  • Secretary to the Ministry of Law & Justice and
  • Finance Advisor and a Chief Executive Officer.

Eligibility Criteria for Members

  1. The Chairperson should have been a judge of the Supreme Court or High Court, or an eminent person having special knowledge and experience in the conduct or administration of arbitration.
  2. He will be appointed by the Central Government in consultation with the Chief Justice of India.
  3. The two eminent persons and the representative of commerce body are to be appointed by the Central Government.

Objectives of the Arbitration Centre

  • to bring targeted reforms to develop itself as a flagship institution for conducting international and domestic arbitration;
  • to promote research and study, providing teaching and training, and organising conferences and seminars in arbitration, conciliation, mediation and other alternative dispute resolution matters;
  • to provide facilities and administrative assistance for conciliation, mediation and arbitral proceedings;
  • to maintain panels of accredited arbitrators, conciliators and mediators both at national and international level or specialists such as surveyors and investigators;
  • to collaborate with other national and international institutions and organisations for ensuring credibility of the Centre as a specialised institution in arbitration and conciliation;
  • to set-up facilities in India and abroad to promote the activities of the Centre;
  • to lay down parameters for different modes of alternative dispute resolution mechanisms being adopted by the Centre

Assist this newscard with the op-ed given below:

[op-ed snap] Pushing institutional arbitration in India

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