Punjab Cabinet stamps ordinance to regulate fee hike by private schools
Chandigarh, June 22
The Punjab Cabinet, led by Chief Minister Bhagwant Mann, on Monday approved an ordinance to regulate fee hikes by private unaided schools, amend industrial incentive guidelines, and strengthen digital governance.
The Chief Minister's Office said that to regularise unnecessary and unreasonable fee increases by private unaided schools, the Cabinet approved the Punjab Regulation of Fee of Unaided Educational Institutions (Amendment) Ordinance, 2026. It amends the Punjab Regulation of Fee of Unaided Educational Institutions Act, 2016.
The decision aims to control fee hikes, protect students and parents from arbitrary increases, ensure transparency and accountability in fee structures, and safeguard their interests.
The amendments clarify the definitions of fee, fee enhancement, and cumulative fee enhancement, place a cap of 5 per cent on annual fee hikes, and require regulatory body approval for any increase beyond 5 per cent.
In another decision, the Cabinet approved amending the Guidelines dated November 13, 2019, for the disbursement of capital subsidy and investment incentives under the state's industrial policy.
The amendments aim to simplify and streamline subsidy disbursement, improve administrative efficiency and ensure uniform implementation across eligible industrial units.
Under the revised framework, capital subsidy will be released to industrial units eligible after the omission of Clauses 1.1 and 1.2 of the guidelines, subject to verification of the requisite documents and fulfilment of the prescribed conditions.
To integrate various departmental databases, avoid duplicity and streamline processes, the Cabinet also approved the implementation of the State Data Integration Platform (SDIP) in Punjab.
A three-tier steering committee will be set up under the Chief Secretary to ensure smooth implementation of the SDIP project.
The committee will comprise the Chief Secretary as chairperson, the Administrative Secretary (Good Governance) as member-convener, and Administrative Secretaries of other departments as members.
— IANS
Reader Comments
Good move by Bhagwant Mann government. But I'm skeptical about the 5% cap. Last time they tried this in 2016, schools found loopholes by adding "development fees" and "activity charges". The ordinance needs to cover all kinds of hidden charges, not just tuition fees. Parents are already struggling with inflation.
As a private school owner in Jalandhar, I have mixed feelings. Yes, some schools exploit parents, but blanket regulation hurts genuine institutions trying to pay teachers better. The 5% cap doesn't account for inflation or rising electricity costs. The government should create a transparent formula rather than an arbitrary cap.
About time! My son's school in Patiala increased fees by ₹12,000 last year citing "smart board installation". When parents protested, they said it's optional but then started charging it anyway. This ordinance should also have a strict penalty for non-compliance. Otherwise these schools will just laugh at the government.
Good intentions but I worry about implementation. Punjab already has a reputation for policy flip-flops. The industrial incentives amendment seems more important for job creation. Schools are a sensitive issue though - every parent has a story of being overcharged. Let's see if the regulatory body actually has teeth this time.
A step in the right direction. But why only control fees? Why not also regulate the quality of education? Many private schools charge hefty fees but still have underqualified teachers. The ordinance should link fee hikes to measurable outcomes like student-teacher ratio and infrastructure maintenance. Ab bas fees control karna kaafi nahi hai! 🏫
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