Punjab Govt Takes Big Action Against Fee Hikes In Private Schools, Provides Relief To 32 Lakh Students

Published 13 July 2026 · india

Punjab Govt Takes Big Action Against Fee Hikes In Private Schools, Provides Relief To 32 Lakh Students Published By, Last Updated: July 13, 2026, 23:43

Punjab Govt Takes Big Action Against Fee Hikes In Private Schools, Provides Relief To 32 Lakh Students Published By, Last Updated: July 13, 2026, 23:43 IST Under the ordinance, private schools cannot raise annual fees by more than 5% without prior approval from the regulatory authority. Rapid Read Punjab Chief Minister Bhagwant Mann. (PTI file photo) The Punjab government on Monday enforced a new law capping annual fee hikes by private schools at 5%, requiring refunds for excessive fee increases over the past three years and bringing transport, building and other charges under the ambit of tuition fees, according to Chief Minister Bhagwant Mann. The Punjab Regulation of Fees of Unaided Educational Institutions (Amendment) Ordinance, 2026, came into effect Monday after receiving the governor’s assent, Mann said at a press conference. The government said the measure is expected to benefit more than 3.2 million students studying in nearly 7,800 private schools across the state. What Does The Ordinance Say? Under the ordinance, private schools cannot raise annual fees by more than 5% without prior approval from the regulatory authority.

Schools that increased fees by more than 15% in aggregate over the last three years will have to refund the excess amount collected from parents, the chief minister said. The government has also directed all private schools to upload details of fees collected over the last four years to a designated online portal within 10 days. Authorities will review the data to identify schools that charged fees beyond the prescribed limits. “From today onwards, every private educational institution will have to furnish complete details of the fees collected during the last four years within ten 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," Mann said during a press conference. To prevent schools from levying additional charges outside the regulated fee structure, the ordinance treats all amounts collected from parents, including transportation charges, building funds and other miscellaneous fees, as part of tuition fees for regulatory purposes. Mann said previous governments had allowed private institutions to charge exorbitant fees, damaging the education system.

He said district-level regulatory committees headed by deputy commissioners will examine proposals for fee revisions and investigate complaints of arbitrary fee hikes. He also revealed that forensic audits would be conducted, where necessary, to determine the actual fees collected by institutions. Penalties For Schools The ordinance also introduces a graded penalty system for violations. Schools found flouting the rules will face a fine of Rs 50,000 for a first offence and Rs 1 lakh for a second offence. A third violation could lead to derecognition and other action under the law. The Punjab CM said the legislation aims to curb profiteering in the education sector and improve transparency in private school fee structures. He accused previous governments of allowing unchecked fee increases and said the new framework draws from Supreme Court guidelines that educational institutions should not operate as profit-making enterprises. “All charges collected from students, including transportation charges, building fund and other miscellaneous fees, will be treated as part of the tuition fee for regulatory purposes.