Chandigarh, August 10: The Punjab Legislative Assembly has passed the Punjab Regulation of Fee of Un-aided Educational Institutions (Amendment) Bill, 2026, establishing a statutory 5 percent annual ceiling on fee increases across private un-aided schools in the state.
The landmark measure gives permanent statutory standing to the regulatory framework, extending financial relief to over 32 lakh students enrolled across roughly 7,800 private educational institutions in Punjab.
Under the newly enacted provisions, any proposed fee increment exceeding the 5 percent threshold mandates prior written approval from the district regulatory authority, granted strictly following a thorough audit of the institution’s financial documentation.
The law additionally institutes a mandatory adjustment clause requiring institutions whose cumulative fee increases over the preceding three years exceed 15 percent to refund the excess collection to parents.
Presenting the rationale behind the legislation, Finance Minister Harpal Singh Cheema stated, “The bill was necessitated as some un-aided private educational institutions were arbitrarily and unreasonably increasing their annual fees, imposing an unnecessary financial burden on students and their parents.”
Affirming the government’s commitment to accessible learning, official state representatives declared, “The legislation puts a complete stop to arbitrary charges while establishing a transparent oversight mechanism across all districts.”