Punjab cabinet clears ordinance capping annual fee hike of private schools at 5 per cent

Education Minister Bains said that if any school wants to raise their fee beyond 5 per cent hereafter, it will have to approach a high-powered committee to be constituted by the state government.
Punjab Education Minister Harjot Singh Bains.
Punjab Education Minister Harjot Singh Bains. File photo| EPS
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CHANDIGARH: In a major relief for lakhs of students across the state, the Punjab Cabinet on Monday approved an ordinance to amend the Punjab Regulation of Fees of Unaided Educational Institutions Act and capped the annual fee hike of private unaided schools at 5 per cent.

The decision by the Chief Minister Bhagwant Mann-headed Cabinet came less than a year before the crucial Assembly elections in the state.

After the meeting, Finance Minister Harpal Singh Cheema and Education Minister Harjot Singh Bains said that the ordinance will now be sent to the Governor for approval.

After that, an ordinance will be issued in this regard, as the assembly is not in session at present, according to the ministers.

The ministers said that the detailed guidelines regarding the fee cap and the refund procedure will be issued separately.

Education Minister Bains said that if any school wants to raise their fee beyond 5 per cent hereafter, it will have to approach a high-powered committee to be constituted by the state government.

This committee, comprising of two district education officers and a financial expert, will examine the school's case and check it’s financial position before deciding whether the demand for a fee hike is justified or not, the minister said.

"The records of such schools have already been seized with immediate effect to prevent any manipulation and to provide relief to parents," he added.

CM Bhagwant Mann had earlier this month announced the 5 per cent cap on annual fee hike by private schools.

The government has also decided to act against schools that made "unreasonable" fee hikes in the past three years. The excess amount collected will be refunded to the parents.

The decision by the AAP government assumes significance in the wake of a tragic incident in Amritsar recently, where a 17-year-old meritorious girl student allegedly died by suicide due to immense pressure and mental stress over heavy school fees.

In another decision, the Cabinet approved a one-time scheme for industries that were given subsidies and concessions under the industrial policies from 1978 to 2003, but later closed down. These units had earlier been excluded from certain benefits.

Cheema said the scheme has been introduced so that eligible closed industries can avail the incentives they were entitled to under the old policies.

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