Delhi clears ‘historic’ Bill to rein in private school fee hikes
New Delhi: In a decisive move to bring transparency and fairness to school fee structures, the Delhi Cabinet on Tuesday approved the Delhi School Education (Transparency in Fixation and Regulation of Fees) Bill, 2025. The Bill, which applies to all private schools in the Capital, is designed to end the long-standing issue of arbitrary fee hikes by introducing a clear, structured, and enforceable process of regulation. According to the new Bill, any hike in fees will be allowed only once every three years.
Chief Minister Rekha Gupta, addressing a press conference, said, “We have passed a draft Bill in the Cabinet meeting, applicable to all 1,677 aided and unaided private schools, to fix guidelines and procedures for fee hikes.” She described the move as a “historic” and “brave” decision by her government, taken in response to growing unrest among parents who had been burdened by sudden and unjustified fee increases.
“For the first time in history such a Bill is being drafted by the Delhi government which is foolproof,” she said.
The Chief Minister emphasised that the Bill has been brought forward under the leadership of the Delhi government and the guidance of Prime Minister Narendra Modi. She stated that the existing 1973 Delhi School Education Act was outdated and lacked provisions to empower the Directorate of Education. “The previous governments in Delhi made no provision to prevent a fee hike. There was no guideline to help the government prevent fee hikes by private schools,” Gupta pointed out.
The new legislation introduces a three-tier regulatory structure that includes a School Level Fee Regulation Committee, a District Fee Appellate Committee, and a final Revision Committee. Each school must submit its proposed fee structure to the school-level committee, which will include representatives from parents, teachers, and the Directorate of Education. If a consensus is not reached at this level, the matter will escalate to higher committees. This is the first time such an inclusive and layered system is being implemented in Delhi.
The Bill also brings with it strict penal provisions to ensure compliance. Schools found violating the guidelines can face fines up to Rs.10 lakh, and repeat offenders will face double or triple the penalty. In cases where illegally collected fees are not returned, the government will have the authority to confiscate the movable and immovable property of the offending school. Persistent violations can lead to de-recognition of the institution and even a government takeover of its management. To protect students, the Bill prohibits actions like withholding results, deleting names from rolls, or denying classroom access due to fee disputes. In cases of capitation fees or mental harassment of students, schools can face heavy penalties and even cancellation of recognition. The government has already begun taking action. So far, 970 schools have been inspected, and over 150 complaints regarding fee hikes have led to the issuance of notices. Investigations have revealed that 42 schools were running dummy classes, and more than 300 complaints related to books and uniforms have been addressed. According to the implementation timeline, all school-level fee regulation committees must be formed by July 15, 2025. Schools will be required to submit their proposed fee structures by July 31, and the committees must deliver their decisions by September 15. If no resolution is reached by September 30, the case will be automatically forwarded to the District Committee. Education Minister Ashish Sood underlined the urgency and long-term vision of the move. “Those were stop-gap arrangements. But now, we are proudly introducing a permanent and clear solution within just the first 65 days of our government,” he said. Sood also confirmed that schools would only be allowed to hike fees once every three years, and any violations would be met with strict action.
Chief Minister Gupta assured parents that this legislation is not just a policy change but a statement of intent. “This is not just a Bill, it is a victory of parents; it is the will of our government, the commitment of our leadership. This law is the right of every child who has ever been humiliated due to not being able to pay fees,” she declared. Offering reassurance to parents, she added, “Today I want to tell every parent that you are not alone now. The Delhi government stands with you.”
