The Punjab Vidhan Sabha has unanimously passed a landmark bill limiting annual fee increases in private schools to 5%. Schools that increased fees beyond 15% over the last three years must now refund the excess to parents.

Key Takeaways

  • Annual fee hikes for private unaided schools capped at a maximum of 5%.
  • Mandatory refunds for parents if cumulative fee hikes exceeded 15% over the last 3 years.
  • Impacts approximately 7,800 private schools and 32 lakh students statewide.
  • Schools must publish revised fee structures online 90 days before the session begins.

In a decisive move to curb the commercialization of education, the Punjab Assembly passed the Punjab Regulation of Fee of Un-aided Educational Institutions (Amendment) Bill, 2026. Education Minister Harjot Singh Bains emphasized that education should not be treated as a profit-making enterprise and parents should not be viewed as mere 'customers'.

The scope of the 5% cap is comprehensive, covering tuition fees, development charges, annual fees, smart class/technology charges, transportation, laboratory, and library fees. Any institution seeking a hike above this threshold must now obtain approval from a designated regulatory mechanism.

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Why This Matters

BozokMedia analysis shows that this legislation targets the systemic 'hidden costs' of private schooling. By including transportation and activity charges under the cap, the government is closing loopholes that schools previously used to bypass fee regulations. The retrospective refund clause is particularly aggressive, signaling a shift toward strict state oversight of private entities.

"Capping fees is a necessary intervention to ensure that the right to education is not throttled by corporate greed in the private sector."

Chief Minister Bhagwant Mann highlighted the government's commitment to protecting parents from arbitrary charges, citing the pandemic era where schools allegedly charged for facilities that were not in use. He further noted Punjab's ascent to the first position in the Union government's school education rankings as a testament to their focus on quality and accessibility.

Did You Know?: The number of students from Punjab government schools qualifying for NEET has surged from 80 in 2021 to 882 in recent years, reflecting a shift in academic performance.

Frequently Asked Questions

1. Which fees are included in the 5% cap?
It includes all compulsory contributions, such as tuition, development, transportation, library, and technology charges.

2. Can schools force parents to buy books from a specific vendor?
No, the Bill explicitly bars schools from compelling or inducing students to purchase uniforms or books from a particular source.