Punjab brings private school fees under regulatory framework
Chandigarh, July 13
Delivering a historic relief to over 32 lakh students and their families, the Punjab government has brought private school fees under a strict regulatory framework by promulgating the Punjab Regulation of Fees of Unaided Educational Institutions Ordinance, 2026.
The ordinance caps annual fee hikes at five per cent, mandates refunds where fee increases have exceeded 15 per cent over the last three years, treats all charges, including transport and building fees, as part of tuition fees, and prescribes stringent penalties, including derecognition, for violations.
Chief Minister Bhagwant Mann on Monday said regulatory committees headed by Deputy Commissioners will scrutinise fee hikes, while all private schools have been directed to upload their fee records for the past four years on the designated portal within the next 10 days.
He thanked the Governor for according consent to the Ordinance introduced by the government and said it came into effect from Monday.
"From today onwards, every private educational institution will have to furnish complete details of the fees collected during the last four years within 10 days. Once this period is over, any institution found to have collected excess fees from students will have to refund the amount to the parents," he said.
The Chief Minister said previous governments had allowed private educational institutions to impose exorbitant fees on students and parents, severely damaging the education system. Referring to the guidelines of the Supreme Court, he said educational institutions cannot make profits in the name of education by collecting fees through multiple accounts.
"A forensic audit will be conducted to ascertain the actual fees collected by these institutions through any mode. To put a complete stop to arbitrary fee hikes by private unaided schools, the Punjab government has notified the Punjab Regulation of Fees of Unaided Educational Institutions (Amendment) Ordinance, 2026," the Chief Minister said.
Explaining the enforcement mechanism, he said strict penalties have been incorporated to ensure full compliance with the Ordinance.
"Any private school violating the provisions of the Ordinance will face a fine of Rs 50,000 for the first violation and Rs 1 lakh for the second violation. A third violation will result in cancellation of the school's affiliation along with other stringent action to safeguard the interests of students," the CM added.
— IANS
Reader Comments
While I appreciate the intent, I'm worried about the implementation. Many private schools have multiple bank accounts and charge through third-party vendors for things like transport and books. The forensic audit is a good step, but will the government have the manpower to check all 10,000+ schools? Also, penalizing schools that actually maintain good infrastructure might hurt quality education. Still, it's a step in the right direction.
My parents spent lakhs on my education at a "prestigious" school in Mohali, and I still ended up doing engineering from a government college. The quality of private schools doesn't justify the astronomical fees they charge. This ordinance is long overdue. But I hope the government also ensures that schools don't cut corners on teacher salaries or student facilities to maintain their profit margins.
As a resident of Ludhiana, I've seen how these schools operate. They charge for "air-conditioned classrooms" but the ACs are never on, they charge for "bus facility" but the bus is 20 years old. The 10-day deadline for uploading fee records is strict—hope it works. But what about the schools that already got away with overcharging in the past 3 years? The refund clause is good, but will parents actually get their money back? 🤔
I work for a multinational in Chandigarh and have two kids in private school. The fees here are already comparable to some US private schools—without the facilities. The 5% cap is reasonable for inflation, but I worry this will push schools to cut extracurricular activities. Balance is key. The government should also consider that schools need to pay competitive salaries to retain good teachers. Still, glad to see action on an issue that's been ignored for decades.
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