The Ministry of Law and Justice has pitched for the incorporation of a “sunset” clause or automatic repeal provision in certain type of bills to de-clutter statute books and has put it in its 100-day agenda.

The sunset clause applies primarily to laws of temporary nature or those dealing with dynamic situations. Once their utility ends, they stand removed from the statute books. Sunset clauses have been widely used in the US, the UK and Germany for more than 20 years now.

The legislative department in the Ministry has made “sunset clause” in new legislative proposal a part of its 100-day agenda, saying steps will be taken in this regard in consultation with concerned ministries.  Ahead of the Lok Sabha elections, Prime Minister Narendra Modi had directed all Union Ministries and departments to draw up a 100-day agenda for the next Government.

Former Union Law Secretary P K Malhotra explained that whenever the legislature —Parliament or State legislature — want to restrict the life of a legislation being passed by it, it may as a matter of policy provide a sunset clause providing that after a lapse of a certain period — five or 10 years depending on the requirement — the law will come to an end. The legislature can pass a fresh law giving the statute, which has become inoperative due to the sunset clause, a fresh lease of life, Malhotra said

According to the legislative department, it seeks to incorporate sunset clause or automatic repealing clause in new legislative proposal in consultation with administrative Ministries and departments concerned.   As and when the proposals in this behalf are received by it, necessary action will be taken up, it noted.

“This is a long-pending demand. This practice is prevalent in some other countries also. I think there are many legislations where this kind of clause can be put so that Parliament or State legislature is also vigilant that with the passage of time, if a legislation needs to continue, then they will give it a fresh look. “And if they do not want to continue, then on the day provided in the law, it will automatically come to an end,” Malhotra explained.  In the recent past, some commissions set up to look into legal reforms have also pressed or such a clause.

A sunset clause is a legal element that establishes an expiration date or conditions for ending a law or agreement. It outlines that the law or agreement will stop being valid after a certain time, unless renewed. In contracts, a sunset clause permits termination if a particular event doesn’t occur by a set date.

This clause automatically removes legislative sections once a specific date is reached. It requires certain provisions or laws to stop functioning unless renewed.

Sunset clauses have been frequently used in India in fiscal and tax laws, such as tax holidays and exchange control regulations. The Constitution itself provides for a 10 year sunset for reservations to Parliament and Legislative Assembly seats (Article 334).