Good news for parents: Private schools in this city can't raise fees arbitrarily, here's why

Private schools and other unaided educational institutes in Chandigarh will henceforth have to declare their income and expenditure every year and will not be able to raise the fee arbitrarily or any time during the academic session.

In a gazette notification, the Union Territory (UT) division of the Home Ministry also said no part of income from the private schools shall be diverted to any individual in the trust or school management committee and it cannot indulge in profiteering or charge capitation fee.

The notification came after the central government decided to extend to Chandigarh, an Union Territory, the Punjab Regulation of Fee of Unaided Educational Institution Act, 2016 with certain modifications.

"Provided further that every unaided educational institution shall (a) upload income, expenditure account and balance sheet on its website; (b) not charge any kind of cost from the parents; (c) disclose complete fee structure at the beginning of the academic year in the booklet issued, along with the admission form, by the schools and also be posted in its website (d) not raise the fee any time during the academic session," the gazette notification said.

It was signed by additional secretary in the home ministry P K Srivastava.

Being a union territory, Chandigarh comes under the direct administrative control of the home ministry.

The notification also said no part of the income from unaided educational institution shall be diverted to any individual in the trust or society or company or school management committee or any other person.

The savings, if any, after meeting the recurring and non-recurring expenditure and contributions to developmental, depreciation and contingency funds may be utilised for promoting the unaided educational institutions concerned.

A private school or institute shall be competent to fix its fee and it may also increase the same after taking into account the need to generate funds to run the institution and to provide facilities necessary for the benefit of the students.

However, the increase in fee will not exceed eight per cent of the fee of the previous year, it cannot indulge in profiteering and it cannot charge capitation fee, the notification said.

A regulatory body, with education secretary of the Chandigarh administration as its chairperson and comprising five other members, will be set up to monitor the activities of the private schools and unaided academic institutes.

If any private school or institute violates the provisions of the rules for the first time, it will be punishable with fine, which may extend to Rs 60,000 in the case of primary level, Rs 1,00,000 in the case of middle level and Rs 2,00,000 in the case of secondary and senior secondary level.

If any private school or institute violates the provisions of the rules for the second time, it shall be punishable with fine of Rs 1,20,000 in case of primary level, Rs 2,00,000 for middle level and Rs 4,00,000 for secondary and senior secondary level.

For violating the provision the third time, the regulatory body shall direct the authority concerned to withdraw its recognition or affiliation.