The Business Line - New Delhi
Govt to rope in private sector for 2,500 model schools in 11th Plan
| Public-Pvt Partnership education policy in 4 weeks; Rs 10,000-cr investment likely. |
Our Bureau
New Delhi, Aug. 11 The Government’s policy on public-private partnership in the education sector will be finalised in four weeks, the Minister for Human Resource Development, Mr Kapil Sibal, said on Tuesday.
“In four weeks we will have a model ready to be adopted. It is too late to do any more pilot projects. We need to deliver. We will move ahead and see that (it is) done for the next academic year. We plan to build at least 2,500 model schools,” the Minister said after a meeting at the Planning Commission.
The Minister said not only the interests of the private sector, but also those of the students and the Government need to be protected both in terms of quality and content.
The meeting, at which various models were looked at for setting up schools through the PPP route, was also attended by the Deputy Chairman, Planning Commission, Mr Montek Singh Ahluwalia.
The Government has committed to set up at least 6,000 schools during the XIth Plan period, of which at least 2,500 will be through the PPP route. Private investment of about Rs 10,000 crore is expected to flow into setting up these schools. The remaining 3,500 schools will be built by the Government.
On earning profits
There appears to be no change in the thinking regarding allowing private education institutions to earn profits, with the Government likely to continue with the policy of private entities such as trusts, societies or non-profit companies setting up such schools.
The selection criteria likely is that the net worth of the sponsor be Rs 25 crore for every school being set up or the entity have a track record in school education.
It is also proposed that the Central Government provides funds for 12 years during which the school will get Plan expenditure funds for five years and would have to generate funds from non-Plan resources for the remaining seven years. While State governments are being asked to commit fee support for eight years, thereafter all other capital and recurring expenditure will have to be borne by the private entity.
It is proposed that the Government provide each student a monthly fee support of Rs 1,400 and an interest and rental support of Rs 400 for 10 years. The possibility of indexing government support to the Wholesale Price Index with a minimum increase of 5 per cent annually is one of the proposals being mooted.
Sources indicate an additional proposal to provide incentives and penalties based on CBSE results and other key performance indicators is on the cards.
A private entity chosen to set up such schools will not only be required to procure affiliation to the Board, but also set up the school according to the CBSE guidelines on land, infrastructure, labs, library, nature of management, fees, admission, examination, maintaining reserve funds and audits among others.
The location of the schools will be decided by balancing the demand from private sector entities and need as determined by the Government which is likely to support up to 1,000 students a school.
Tuition fee
It is proposed that SC/ST/OBC and girls be charged a tuition fee of Rs 25 a month, non-tax payers Rs 100, while other students will pay market-based fee.
Welcoming the proposal, Mr Santanu Prakash, Educomp Solutions’ Managing Director, said his company will be happy to help the Government on such a move. “We will be willing to give all our expertise,” he said. Educomp is the only listed K-to-12 (kindergarten to XII standard) company.