Centre Clarifies States Regulate Private School Fees

The Centre has clarified that it does not have a direct role in regulating the fee structures of schools that are not established, owned or controlled by the central government. This clarification was given by Minister of State for Education Jayant Chaudhary in a written reply to a question in the Rajya Sabha on August 12, 2026.

The government stated that schools which are not established, owned or controlled by the central government come under the jurisdiction of the respective state governments and union territory administrations. Education is a subject under the Concurrent List of the Constitution, which means that both the central government and state governments have the power to make laws on this subject.

The official reply states that matters related to the management of schools that are not established, owned or controlled by the Central Government are regulated in accordance with the rules and instructions of the respective State Government/UT administrations. This includes matters relating to fees charged by private schools, rules and regulations for safeguarding the interests of students and their parents, and action against violating schools.

The Centre further clarified that state governments and UT administrations have jurisdiction over fees charged by private schools, rules and regulations for safeguarding the interests of students and their parents, and action against schools violating applicable rules.

The Right of Children to Free and Compulsory Education (RTE) Act, 2009, also provides for free and compulsory elementary education to children belonging to weaker sections and disadvantaged groups in private unaided schools. The Act prohibits the collection of any capitation fee and mandates reservation of at least 25% seats at the entry level for children from weaker sections.

Institutions deemed to be universities are regulated by the UGC (Institutions Deemed to be Universities) Regulations, 2023. These regulations mandate that such institutions follow rules on fees and other matters.

The clarification by the Centre is significant as it highlights the role of state governments and UT administrations in regulating private school fees. It also emphasizes the importance of implementing the RTE Act and other regulations to safeguard the interests of students and their parents.

In conclusion, the Centre has clarified that states and UTs have jurisdiction over private school fees, and it is their responsibility to regulate and ensure that the interests of students and their parents are protected. This clarification is expected to have a significant impact on the education sector, particularly in terms of fee regulation and implementation of the RTE Act.

The Centre's clarification also underscores the need for state governments and UT administrations to take proactive steps to regulate private school fees and ensure that students and their parents are not exploited. This includes implementing rules and regulations to safeguard their interests and taking action against schools that violate applicable rules.

Overall, the Centre's clarification is a significant development in the education sector, and it is expected to have far-reaching implications for private schools, students, and their parents.

The education sector is a critical component of India's development, and it is essential that state governments and UT administrations play a proactive role in regulating private school fees and ensuring that the interests of students and their parents are protected.

By clarifying the role of state governments and UT administrations in regulating private school fees, the Centre has taken a significant step towards ensuring that the education sector is regulated effectively and that the interests of students and their parents are safeguarded.