Emperor Alexander II wants to urgently create a nation-wide elective body to create a nation based on the rule of law and to ease tensions among the population, but is hesitant in accepting a certain project.
The Emperor accepts the proposal of the Minister of Internal Affairs, Mikhail Loris-Melikov. PoD: The second bomb does not detonate, hence assasination fails and the assasins, Ignacy Hrynieviecki and Nikolay Rysakov are arrested and executed.
All of the proposed reforms are carried out, including the conversion of most peasants to farmers, the cancellation of the payments peasants had to pay to the landowners after they were emancipated, the opening of a large number of new village and church schools, and the main reform, the introduction of elected Zemstvo and City representatives into the State Council to consult the emperor with the introduction of new laws. Within the State Council, two Commissions were created; the Administrative and the Financial. They consisted of the aforementioned Zemstvo and City represntatives, and they would assist the emperor in drafting new laws. Then they would discuss the drafted laws in a combined meeting, chaired by the Minister of Internal Affairs, and decide which laws were to be put before the State Council. Within the State Council and the Committee of Ministers, "parties" emerge: the "Progressists", led by Chairman of the Committee of Ministers Pyotr Valuev, who were radical liberals; the "Reformists", led by Minister of Internal Affairs Mikhail Loris-Melikov, who were moderate liberals; the "Absolutists", led by Ober-Procurator of the Synod Konstantin Pobedonostsev, who were the reactionaries. The "People's Will" terrorist organisation is found; its members arrested and executed.
The Reformists and Progressists form a coalition and begin working together in all aspects of central and local governments, including the Committee of Ministers, the State Council, the Zemstvo Assemblies and City Dumas. All of the Committee of Ministers and the majority of the Council of Ministers and State Council was of the Progressist/Reformist coalition. This meant the liberals dominated Russian politics, and they could advise the emperor and influence him to pass more liberal legislation, e.g. introducing more elected representatives to the State Council.
Alexander, knowing the slow economic growth in Russia, due to the fact that throughout his reign, he focused on socio-political, but not economic reforms, decided to begin industrialisation at a faster rate, when he effectively began a policy of state capitalism, the state owns industries and subsidises private industries. The government also embrace new agricultural methods and begins teaching it to farmers. This really kicks off well and Russia, slowly but surely, begins catching up with the industrial powers of Europe. Education spending is expanded and new schools are opened to the public.
Over the three years since the implementation of Loris-Melikov's reforms, the amount of members of the State Council grew from 50 (before the reforms) to 75 (50 appointed and 25 elected members) to 80 (50 appointed and 30 elected) and finally to 100 (50 appointed and 50 elected). Alexander grants the State Council the full rights of a legislature, allowing the Commissions to draw up legislation and send it to the Chancellery of the State Council. If the law was approved by the Chancellery, it would be sent to the State Council for approval. If the law was rejected by the Chancellery it would be revised by the Chancellery and sent back down to the Commissions for their opinion on the revision. If the Commissions agree with the revision, it is immediately sent to the State Council for approval. If the Commissions disagree with revision, they may revise the piece of legislation and send it back up to the Chancellery - and so the cycle continues until a consensus can be reached. The State Council votes on legislation they receive from the Chancellery. If the majority of the State Council agree with the proposal, the bill is sent to the Emperor for approval. If the majority disagree with the proposal, it is sent back down to the Chancellery for revision. If the Emperor approves of the bill, it becomes law. If the Emperor vetoes the bill, the bill becomes null and void. The Emperor also has the power to introduce Decrees, or Ukazy which must be approved by the State Council directly. However, during a State of Emergency - which is declared by the Emperor and approved by the State Council directly - the Emperor may issue Decrees without approval from the State Council.
Parties are officially legalised and formal parties begin forming, first the Progressists form the "Progressive Democratic Party", followed by the Reformists, who create the "Party of Reform" and lastly the Absolutists form the "Union of Autocracy". Alexander II orders Nikolay Girs - Minister of Foreign Affairs - to ensure the League of Three Emperors remains in force. Girs visits Germany and secures an alliance with German Emperor Wilhelm I and Chancellor Otto von Bismarck. He does the same with Austro-Hungarian Emperor Franz-Joseph and Minister-President Eduard Taaffe. Zemstvo and City Duma elections occur, and a few members of the State Council are changed. The amount of Progressive Democrats grow, as well as Reformists, at the expense of the Union of Autocracy.
Alexander issues a Decree which is approved in the State Council doubling its membership, making it to 200 members (100 appointed and 100 elected). This gradual democratisation is praised in France and Britain, for being progressive, and in Germany and Austria, for being gradual. Due to the growth of industrial and agricultural output, Alexander begins his 2nd military reform, alongside Dmitriy Milyutin, involving the introduction of newer rifles and artillery weapons, as well as new doctrines and military training techniques, both for soldiers and officers. This reform also applied to the fleet, meaning the old sailing ships were entirely eradicated and ironclads and steam frigates replacing them.