The Government has taken several initiatives to curb the commercialization of education. The Section 13 of the Right of Children to Free and Compulsory Education (RTE) Act, 2009 clearly prohibits the collection of any capitation fee. The Government had also introduced the Prohibition of Unfair Practices in Technical Educational Institutions, Medical Educational Institutions and Universities Bill, 2010 in the Lok Sabha which provided for the prohibition of certain unfair practices including charging of capitation fees and donation in higher educational institutions to protect the interest of the students. The Bill has since lapsed consequent to dissolution of the 15th Lok Sabha.
No recent study has been undertaken by the Government to assess the impact of privatisation of education in the country. However, the Government has consistently held the view that education in India cannot be regarded as a commercial activity and all educational institutions have to be set up in the “not for profit” mode. The National Policy on Education, 1986 (as modified in 1992), encourages non-governmental and voluntary efforts in Education, while preventing the establishment of institutions which intend to commercialize Education. The Policy envisages that in the interest of maintaining standards and for several other valid reasons, the commercialization of technical and professional education will be curbed. An alternative system will be devised to involve private and voluntary efforts in Education, in conformity with accepted norms and goals.
This information was given by the Union Minister of HRD, Smt. Smriti Irani in a written reply to a Lok Sabha question today.