Chandigarh: In a major relief for lakhs of students and parents across Punjab, the Bhagwant Mann-led government has approved an ordinance to regulate fee hikes by private schools and colleges, preventing educational institutions from increasing fees arbitrarily.
The decision was approved during the Punjab Cabinet meeting held on Monday. Under the new provisions, private and unaided educational institutions will not be allowed to increase their fees by more than 5 per cent annually.
Addressing a joint press conference after the Cabinet meeting, Finance Minister Harpal Singh Cheema and Education Minister Harjot Singh Bains said the move aims to protect students and their families from what they described as unjustified fee increases imposed by private educational institutions over the years.
According to the government, the 5 per cent cap will apply to all forms of fees charged by schools. Officials clarified that institutions will not be permitted to bypass the regulation by imposing additional charges under different heads such as development funds or miscellaneous fees.
The government has also announced relief for parents who may have been subjected to excessive fee hikes in recent years. Schools that have increased fees by 15 per cent or more over the last 36 months will be required to refund the excess amount collected from parents.
To oversee implementation of the policy, a special committee of officials will be constituted. Any school seeking to raise fees beyond the 5 per cent limit will have to submit a detailed application at least six months in advance, explaining the reasons for the proposed increase. The committee will examine the request and decide whether approval should be granted.
The ordinance also provides for stricter penalties against institutions that violate the regulations. Primary schools may face fines of up to ₹50,000, secondary schools up to ₹2 lakh, while serious violations could attract penalties of up to ₹5 lakh. Repeated non-compliance could result in cancellation of a school’s registration.
In addition, the proposed fee regulation committee will be granted powers similar to those of a civil court, enabling it to hear complaints and issue enforceable decisions.
Since the Punjab Legislative Assembly is not currently in session, the Cabinet has chosen to implement the decision through an ordinance. The ordinance has been sent to the Governor for approval and is expected to come into force once it receives assent.
The government said the provisions will be applicable across Punjab from the date of notification. The ordinance will later be introduced in the Assembly and converted into a law during a future legislative session.
