What was the Dual Government system introduced after the Battle of Buxar?
A system where the Company collected revenue, and Nawab handled administration
After winning the Battle of Buxar (1764), the East India Company obtained the Diwani (right to collect revenue) of Bengal, Bihar and Odisha from the Mughal Emperor Shah Alam II in 1765.
Robert Clive then set up the Dual Government (Dyarchy) in Bengal: the Company held real power over revenue and finance, while the Nawab was left with the Nizamat — police and judicial administration — but no real authority.
Thus the Company enjoyed power without responsibility and the Nawab bore responsibility without power, a split that led to severe misgovernment and the Bengal famine of 1770, before the system was ended by Warren Hastings in 1772.
Hence, the Dual Government was a system where the Company collected revenue, and the Nawab handled administration.
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