3 weeks ago
Punjab Assembly caps private school fee hike at 5%
The government of Punjab, a state in India, has passed a new law about school fees.
Private schools will not be allowed to increase their fees by more than 5 percent every year.
If a school raised fees by more than 15 percent in total over the last three years, it must give the extra money back to parents.
Schools also have to show their new fees clearly at least 90 days before a new school year starts.
They cannot force students to buy uniforms, books, or other items from a particular shop.
The new law will cover about 7,800 private schools and help around 32 lakh students.
The Chief Minister, Bhagwant Mann, said education is a public good, not a business, and parents should not be treated like customers.
Some leaders from the Congress party were unhappy because they said they did not get enough time to read and discuss the bills, and they questioned whether the government would really return money to parents.
The law was still passed, with every member of the assembly voting for it.
The Punjab Vidhan Sabha unanimously passed the Punjab Regulation of Fee of Un-aided Educational Institutions (Amendment) Bill, 2026, capping annual private school fee hikes at 5%.
Schools must refund parents where cumulative fee hikes exceeded 15% over the last three years and display revised fees at least 90 days before the academic year begins.
Chief Minister Bhagwant Mann said the law will cover around 7,800 private schools and directly benefit around 32 lakh students.
The government will conduct forensic audits of private schools, with fines of Rs 50,000, Rs 1 lakh and cancellation of affiliation for repeated violations.
Congress MLAs protested against insufficient time to study the bills and questioned refund enforcement, while an uproar followed Independent MLA Rana Inderpartap Singh being denied a chance to speak on university bills.
- Who
- Chief Minister Bhagwant Mann, Education Minister Harjot Singh Bains and MLAs of the Punjab Vidhan Sabha; Congress MLAs including Pargat Singh and Avtar Henry Junior raised objections.
- What
- The Punjab Assembly unanimously passed the Punjab Regulation of Fee of Un-aided Educational Institutions (Amendment) Bill, 2026, capping annual private school fee hikes at 5% and requiring refunds for cumulative hikes above 15% in three years.
- Where
- The Punjab Vidhan Sabha in Chandigarh.
- When
- Monday, August 10, 2026, the concluding day of the monsoon session.
- Why
- To curb profiteering by private schools, protect parents from arbitrary fee charges and ensure education is treated as a public good rather than a commercial enterprise.
Punjab Government
Congress Opposition
Fee cap and refund enforcement
Punjab Government
Capping annual fee hikes at 5% and ordering refunds for cumulative increases above 15% in three years is a decisive step by the Punjab government to curb profiteering in education and protect parents from arbitrary charges.
Congress Opposition
Congress MLAs questioned the government's record in regulating private schools and refunding excess fees, noting that its counsel told the Punjab and Haryana High Court that fees would not be refunded retrospectively.
Need for the amendment
Punjab Government
The amendment is needed because private schools have turned education into an 'industry', charging parents for services not provided, including during Covid, and education should not be a profit-making enterprise.
Congress Opposition
Congress' Avtar Henry Junior questioned why the government brought an amended legislation now when the original law came in 2016 and rules in 2017, and linked it to the decline in enrolment in state-run schools.
Scrutiny of legislation
Punjab Government
Nine bills, including the fee-cap amendment, were passed on the concluding day of the monsoon session as part of the House's scheduled business.
Congress Opposition
Opposition members protested at not being given enough time to study and debate the proposed legislation: six of the nine bills were provided to MLAs on Sunday and three on Monday, according to Leader of Opposition Partap Singh Bajwa.
Key facts
- Bill
- Punjab Regulation of Fee of Un-aided Educational Institutions (Amendment) Bill, 2026
- Annual fee hike cap
- 5% on tuition fees and all mandatory charges collected by un-aided private schools
- Refund rule
- Refunds where cumulative fee hikes exceeded 15% over the last three years
- Fee display rule
- Revised fee structure must be displayed at least 90 days before the academic year
- Schools covered
- Around 7,800 private schools in Punjab
- Students benefited
- Around 32 lakh students
- Penalties
- Rs 50,000 (first offence), Rs 1 lakh (second offence), cancellation of affiliation (third offence)
- Regulatory body
- District regulatory committee headed by the Deputy Commissioner
Quotes
Chief Minister Bhagwant Mann
Chief Minister of Punjab
“"The Bills is among nine cleared by the Vidhan Sabha on the concluding day of monsoon session even as Opposition members protested at not being given enough time to study and debate the proposed legislation."”
indianexpress.com
“"Private schools have, over the years, turned education into an ‘industry’. The parents should not be treated as ‘customers’ and education should not become a profit‑making enterprise."”
indianexpress.com
Sources
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