The correct answer is option 1: Centre-State relations. The Punchhi Commission report was a significant report that focused on examining and suggesting reforms in India`s Centre-State relations. The Commission, officially known as the Commission on Centre-State Relations, was formed in 2007 by the Government of India under the chairmanship of Justice Madan Mohan Punchhi, a former Chief Justice of India.

The report of the Punchhi Commission provided a comprehensive analysis of the prevailing issues and challenges in the Centre-State relations in India. It covered various aspects such as the distribution of powers and responsibilities between the central government and the state governments, financial relations, administrative relations, and other related matters. The Commission`s recommendations aimed at strengthening the federal structure of India and enhancing cooperative federalism.

The report of the Punchhi Commission has been instrumental in shaping the discourse on Centre-State relations in India and has been referred to for policy and legal reforms in this domain. It has provided valuable insights into the balance of power and cooperation between the central government and the state governments in a federal system like India.