Exercise of Presidential discretion
President Narayanan introduced the important practice of explaining to the nation (by means of Rashtrapati Bhavan communiqués) the thinking that led to the various decisions he took while exercising his discretionary powers; this has led to openness and transparency in the functioning of the President.
;Appointment of the Prime minister and dissolution of Parliament
During his Presidency, Narayanan dissolved the Lok Sabha twice after determining through consultations across the political spectrum, that no one was in a position to secure the confidence of the house. Congress president
Sitaram Kesri withdrew his party's support of the I. K. Gujral government and staked his claim to form the government on
28 November 1997. Gujral advised Narayanan of the dissolution of the Lok Sabha. President Narayanan determined that no one would be able to secure a majority in the Lok Sabha and accepted Gujral's advice (
4 December). In the ensuing general elections, the
Bharatiya Janata Party (BJP) emerged as the single largest party, leading the largest pre-election coalition, the
National Democratic Alliance (NDA), and the coalition leader Vajpayee staked his claim to form the government, though at that point he did not have a majority. Narayanan asked Vajpayee to furnish letters of support to demonstrate the NDA's ability to secure a majority. Vajpayee was able to meet this demand after support for the NDA grew, and subsequently he was appointed Prime minister (
15 March 1998) on the condition (which was met) that a vote of confidence be secured within 10 days.
One of the coalition partners supporting the minority government (the
AIADMK under
J. Jayalalithaa) wrote a letter to the President withdrawing support on
14 April 1999, and Narayanan advised Vajpayee to seek a
vote of confidence in the Lok Sabha. This motion was defeated (
17 April). Both Vajpayee and the
Leader of the Opposition, Congress president
Sonia Gandhi, then staked claims to form the government. Narayanan asked the NDA and the Congress party to show proof of support since the loss of the confidence vote. When evidence from neither party was forthcoming, Narayanan informed the Prime minister that fresh elections seemed to be the only way to resolve the crisis in governance. The Lok Sabha was then dissolved at Vajpayee's advice (
26 April). (In the ensuing general elections, the NDA secured a majority and Vajpayee was reappointed Prime minister (
11 October 1999) in a straightforward manner.)
In these decisions, President Narayanan set a new precedent concerning the appointment of a Prime minister — if no party or pre-election coalition had a majority, then a person would be appointed Prime minister only if he was able to convince the President (through letters of support from allied parties) of his ability to secure the confidence of the house. In doing so, he diverged from the actions of his predecessors who had been faced with the task of appointing a Prime minister from a
hung parliament, Presidents
N. Sanjiva Reddy, R. Venkataraman, and Shankar Dayal Sharma: the latter two had followed the practice of inviting the leader of the single largest party or pre-election coalition to form the government without investigating their ability to secure the confidence of the house.
;Imposition of President's rule
President Narayanan returned for reconsideration the advices from the Union cabinet to impose
President's rule in a state, in accordance with Article 356, in two instances: one from the Gujral government (
22 October 1997) seeking to dismiss the
Kalyan Singh government in
Uttar Pradesh, and the other from the Vajpayee government (
25 September 1998) seeking to dismiss the
Rabri Devi government in
Bihar. In both instances, he cited the
Supreme court judgement of 1994 on
S. R. Bommai vs. Union of India and exercised his discretion. In both cases, the cabinet honoured the President's reservations. These remain the only occasions when a President urged such a reconsideration, and have set an important precedent concerning
federalism and the rights of state governments.
;Kargil conflict
A
military conflict was developed in
Kargil on the
Line of Control (LoC) with
Pakistan in May 1999. The
Vajpayee government had lost a no-confidence vote in Lok Sabha earlier that year and the opposition failed to form the next government. The Lok Sabha had been dissolved and a
caretaker government was in office. This caused a problem with democratic accountability, as every major government decision is expected to be discussed, deliberated and consented by the parliament. Some senior officers of the military took the unprecedented step of briefing a ruling political party (the BJP at its national executive) on the conflict. Narayanan suggested to Vajpayee that the
Rajya Sabha be convened to discuss the conflict, as demanded by several opposition parties (citing the precedent of Nehru convening a parliamentary session on Vajpayee's demand during the Sino-Indian war in 1962 ) though there was no precedent of convoking the Rajya Sabha in isolation during an interregnum. Further, Narayanan was briefed by the chiefs of the three arms of the
Indian Armed Forces on the conduct of the conflict. His Republic day address next year began by paying homage to the soldiers who had died defending the nation.