CHANDIGARH — The Punjab government has delivered major financial relief to lakhs of families across the state. Specifically, the Punjab Assembly passed a groundbreaking bill to curb arbitrary fee increases by private institutions.
Under the new law, no unaided school can execute a private school fee hike exceeding 5 percent annually. Education Minister Harjot Singh Bains introduced the Punjab Regulation of Fee of Unaided Educational Institutions Amendment Bill.
ਮਾਨ ਸਰਕਾਰ ਨੇ ਨਿੱਜੀ ਸਕੂਲਾਂ ਦੀ ਮਨਮਾਨੀ ਫ਼ੀਸ ਵਾਧੇ ’ਤੇ ਰੋਕ ਲਗਾ ਕੇ ਲੱਖਾਂ ਪਰਿਵਾਰਾਂ ਨੂੰ ਵੱਡੀ ਰਾਹਤ ਦਿੱਤੀ ਹੈ। ਹੁਣ ਸਾਲਾਨਾ ਫ਼ੀਸ 5% ਤੋਂ ਵੱਧ ਨਹੀਂ ਵਧੇਗੀ ਅਤੇ ਪਿਛਲੇ 3 ਸਾਲਾਂ ’ਚ 15% ਤੋਂ ਵੱਧ ਵਸੂਲੀ ਗਈ ਫ਼ੀਸ ਵਾਪਸ ਹੋਵੇਗੀ। pic.twitter.com/uQChV8IW28
— Harjot Singh Bains (@harjotbains) August 10, 2026
Consequently, the state legislature passed the bill unanimously during the monsoon session. Chief Minister Bhagwant Mann declared that education must remain a public good rather than a commercial enterprise.
Furthermore, this sweeping legislation covers nearly 7,800 private schools operating across Punjab. As a result, the law directly benefits over 32 lakh students and their families.
Strict Limits on Every Private School Fee Hike and Comprehensive Charges
Importantly, the strict 5 percent ceiling applies to all mandatory funds collected by private institutions. Therefore, management boards cannot bypass rules by increasing auxiliary charges or hidden funds.
The legislation defines fees comprehensively to include tuition fees, development fees, and annual charges. Additionally, the regulation covers activity charges, smart classroom fees, and technology funds.
Laboratory fees, library charges, examination fees, and transportation costs also fall under this strict legal ceiling. Consequently, schools cannot shift costs to separate non-tuition heads to inflate annual bills.
Furthermore, state authorities prohibited schools from forcing parents to purchase uniforms or books from specific vendors. Institutions must also maintain identical school uniforms for at least three consecutive academic years.
Overall, these measures eliminate indirect financial burdens on parents seeking quality education for their children. Therefore, families can now plan their annual household budgets with much greater financial certainty.
Retrospective Fee Refunds and Mandatory Forensic Audits
In addition to capping future increases, the law addresses historical overcharging by private institutions. Specifically, schools that raised fees by over 15 percent over the last three years must refund excess amounts.
For example, if a school increased fees by 25 percent over three years, it must return 10 percent. Therefore, thousands of families will receive direct monetary refunds or fee adjustments from school managements.
To enforce this provision, the state government will conduct comprehensive forensic audits of private institutions. Specialized auditors will examine financial registers, bank accounts, and historical fee records across all districts.
Moreover, the state established a clear legal mechanism to penalize non-compliant educational institutions. Specifically, a first violation attracts a heavy administrative fine of 50,000 rupees.
Additionally, a second offence results in a severe fine of 1 lakh rupees. Ultimately, a third violation empowers state authorities to cancel the affiliation of the defaulting school.
Consequently, these stringent penalties ensure that management boards strictly comply with official regulatory directives. Therefore, arbitrary financial exploitation in the education sector faces immediate legal termination.
Strengthening Regulatory Oversight and District Enforcement Panels
Furthermore, the state government is strengthening divisional and district-level fee regulatory committees across Punjab. These administrative bodies will receive direct complaints from aggrieved parents regarding any illegal private school fee hike.
Divisional commissioners and district education officers will head these specialized oversight panels in every region. Consequently, parents can submit official grievances without facing administrative hurdles or fear of retaliation.
Additionally, regulatory committees will review annual financial disclosures submitted by private school managements. Schools must submit audited income statement records prior to the start of each academic session.
Meanwhile, public feedback across the state indicates overwhelming support for these decisive structural reforms. Parent associations praised the administration for taking direct action against unchecked commercialization in schooling.
However, some private school associations expressed concerns regarding rising operational costs and infrastructure maintenance expenses. Nevertheless, state leaders reiterated that public interest supersedes private commercial profits in basic schooling.
Transforming School Education and Protecting Student Rights
Moreover, this statutory reform aligns with broader educational upgrades launched across public sector schools in Punjab. The state government continues establishing modern Schools of Eminence to elevate teaching standards.
By curbing every unfair private school fee hike, the government balances private sector regulation with public school improvements. Consequently, families enjoy access to high-quality learning facilities without enduring crushing debt burdens.
Furthermore, state officials emphasized that educational institutions must focus entirely on academic excellence. Commercial profiteering damages social equity and restricts educational access for deserving young learners.
In summary, the new law establishes a transparent, accountable, and fair fee structure across Punjab. Thousands of households now stand protected against arbitrary financial demands by private managements.
Moving forward, forensic audits and strict regulatory vigilance will ensure full compliance across all districts. Therefore, Punjab sets a powerful national precedent for regulating private education effectively.
Key Highlights of the Punjab School Fee Regulation Bill 2026
The table below outlines the core regulatory provisions established under the newly passed state legislation:
| Regulatory Parameter | Official Mandate & Statutory Limit | Impact on Parents & Students |
| Annual Fee Hike Ceiling | Maximum 5 percent per year | Prevents unexpected tuition spikes annually |
| Historical Fee Refund | Applies to hikes over 15% in 3 years | Returns excess money collected from parents |
| Covered Educational Scope | Tuition, lab, library, sports & transport | Eliminates hidden or indirect charges |
| Enforcement Mechanism | State forensic audits of financial records | Guarantees complete institutional transparency |
| Maximum Non-Compliance Penalty | Cancellation of school affiliation | Deters repeated violations by school management |