The correct answer is option 2: The Parliament. The power to create All India Services, such as the Indian Administrative Service (IAS), Indian Police Service (IPS), and Indian Forest Service (IFS), lies with the Parliament of India.
The Parliament is the highest legislative body in the country and consists of two houses, the Lok Sabha (House of the People) and the Rajya Sabha (Council of States). It is responsible for making laws and has the authority to create and abolish services and institutions through legislation.
While the Supreme Court, Council of Ministers, and Prime Minister play important roles in the governance of the country, they do not have the power to create All India Services.