Annual fee hike: Private schools settle for 10%

PM to take final decision; IHC orders stay over Headstart’s fee increase

ISLAMABAD: Private educational institutes have agreed to cap the annual fee increase at 10 per cent while a final decision in this regard is yet to be taken by the prime minister.

Federal education minister Balighur Rehman, flanked by Capital Administration and Development Division (CADD) Secretary Khalid Hanif, officials from Private Educational Institutes Regulatory Authority (PEIRA) and the ministry, chaired the meeting on Friday.

Representatives of private educational institutes cited increase in inflation, taxes and rents, among other things, as factors behind the fee increase.

In a separate meeting, the owners discussed the extent of the fee hike. Despite being unsatisfied initially, representatives of Headstart, Beaconhouse, Roots and Frobels, after a detailed talk, agreed at the annual 10 per cent increase.

Officials at the meeting stated that the minister insisted on a fewer increase but the owners stood their ground.

Another point discussed was the five per cent tax charged from parents who pay over Rs0.2 million per month to schools. A government official requesting anonymity said the tax was announced last year but parents were not informed and hence it added to the confusion. “Besides the raise, the five per cent tax is also added to the fee which actually goes to the national exchequer,” he added.

Hanif stated that later a comprehensive plan will be finalised along with PEIRA about the fee increase and other issues.

Meanwhile, CADD has appointed a joint secretary as the acting chairperson of PEIRA.

IHC stay order

While ordering a stay on the recent hike in the fee at the Headstart School, the Islamabad High Court on Friday issued notices to the education secretary, PEIRA and school administration.

IHC acting Chief Justice Noorul Haq Qureshi issued notices to the respondents. The court was hearing a petition of Adil Shah, father of three children enrolled at Headstart.

The petitioner stated through his counsel that the federal government has failed to keep a check and regulate school operations and lets the administration make its own policies and fee structure without and monitoring.

Published in The Express Tribune, September 19^th, 2015.