Delhi School Education Transparency in Fixation and Regulation of Fees Act

REGD. No. D. L.-33002/99 GOVERNMENT OF INDIA Delhi Gazette SG-DL-E-04082025-265204 EXTRAORDINARY PUBLISHED BY AUTHORITY No. 224] [N. I. C. T. D. No. 154 DELHI, MONDAY, AUGUST 4, 2025/SHRAVANA 13, 1947 PART IV GOVERNMENT OF THE NATIONAL CAPITAL TERRITORY OF DELHI [PART IV DELHI GAZETTE : EXTRAORDINARY MEMORANDUM OF DELEGATED LEGISLATION Clause (3) of section 2 (1) of the Bill empowers the Government to notify any other Board of Education from time to time. Section 9 of the Bill empowers the Government to constitute a Revision Committee. Clause (d) of section 14 empowers the Government to prescribe modes of recovery of fine. Section 15 of the Bill empowers the Government to issue directions to any school, consistent with the provision of this Act and the rules made there-under, as in its opinion are necessary or expedient for carrying out the purposes of this Act or for giving effect to any of the provisions contained therein or in any rules or orders made there-under. Section 16 of the Bill empowers the Government to regulate the fees to be charged by the schools by order during force majure. Section 19 of the Bill empowers the Government to make rules for carrying out all or any of the purposes of the Bill. Clause (4) of section 2 (1) of the Bill empowers the Director of Education to notify the education districts. The Bill also empowers the Director of Education GNCTD, to issue order, impose penalty and take other actions under clause (4) & (10) of section 2, section 6, section 11, section 12, section 13 and section 14 effective implementation of the Act. The powers delegated are essential for effective implementation of the Bill. ASHISH SOOD, Minister (Education) RANJEET SINGH, Secy. DELHI LEGISTATIVE ASSEMBLE SECRETARIAT NOTIFICATION Delhi, the 4th August, 2025 No. F. 21/3/DSE(FEES)/2025/LAS-VIII/Legn./9574.—The following is published for general Information:— THE DELHI SCHOOL EDUCATION (TRANSPARENCY IN FIXATION AND REGULATION OF FEES) BILL, 2025 Bill No. 03 of 2025 (As introduced in the Legislative Assembly of the National Capital Territory of Delhi on 4th August, 2025) THE DELHI SCHOOL EDUCATION (TRANSPARENCY IN FIXATION AND REGULATION OF FEES) BILL, 2025 A Bill (to bring about transparency in the matter of fixation, regulation and collection of fee by schools in the National Capital Territory of Delhi and matters connected therewith and incidental thereto and to supplement the provisions of the Delhi School Education Act, 1973) WHEREAS the National Policy on Education 2020 envisages that the commercialisation of education and profiteering by the educational institutions should be curbed; AND WHEREAS the Government desires that steps should be taken to prevent the commercialisation of education through profiteering by the educational institutions; AND WHEREAS with a view to effectively curb the commercialisation of education, it is expedient in the public interest to regulate fixation and collection of fee by the educational institutions in the National Capital Territory of Delhi and to provide for matters connected therewith and incidental thereto; BE it enacted by the Legislative Assembly of Delhi in the Seventy-sixth Year of the Republic of India as follows: — CHAPTER I PRELIMINARY 1. Short title, extent and commencement.— (1) This Act may be called the Delhi School Education (Transparency in Fixation and Regulation of Fees) Act, 2025. (2) It extends to the whole of National Capital Territory of Delhi. (3) It shall come into force on such date as the Government may, by notification in the Official Gazette, appoint. 2. Definitions.- (1) In this Act, unless the context otherwise requires: - (1) "academic year" means the year specified by the appropriate authority or, as the case may be, any Board or Council to which respective school is affiliated; (2) "aggrieved parents group” means any group of parents of the students, not comprising less than 15 per cent of the total parents of the students of the affected standard or school, as the case may be, who are aggrieved by any decision under the Act; (3) "Board" means Central Board of Secondary Education (CBSE), Indian Council of Secondary Education (ICSE), International Baccalaureate (IB), International General Certificate of Secondary Education (IGSE), or any other Board notified by the Government from time to time. (4) "District" means the education districts of Government of NCT of Delhi as prescribed by Director of Education from time to time; (5) "District Fee Appellate Committee" means the District Fee Appellate Committee constituted under Section 6 of this Act. (6) "fee" means any amount, by whatever name called, collected directly or indirectly by a school during the course of study, fixed in accordance with section 5 and includes, as applicable, the following: (i) tuition fee including curriculum essential; (ii) term fee, which shall not exceed one month tuition fee per term; (iii) library fee; (iv) laboratory fee; (v) caution money; Explanation. - “caution money" means the deposit of money for the purposes of handling or damage of laboratory instruments, library deposit, for sports instruments and other such purposes; (vi) examination fee; (vii) hostel fee and mess charges; (viii) physical education fee; (ix) development fees; Explanation. Where the student is admitted into the school having the facility to undertake education upto the tenth standard or any standard below it, the student shall not be required to pay the fee once again; (x) deposit as security amount or amount payable for any curricular or co- curricular item as may be prescribed. (7) "Government" means the Lieutenant Governor of the National Capital Territory of Delhi appointed by the President under article 239 and designated as such under article 239AA of the Constitution; (8) “Management”, in relation to a school, means the Managing Committee and includes a body of individuals who are entrusted with management of any recognised private school. (9) "Parent-Teachers Association" means the Parent-Teachers Association constituted under Delhi School Education Act, 1973 and Rules made there under. (10) "prescribed" means prescribed under the Rules made under this Act or by order issued by the Director of Education. (11) "Revision Committee" means the Revision Committee constituted under Section 9 (12) "Rules" means the rules made under this Act. (13) "School" means and includes a private unaided pre-primary school, primary school, school imparting elementary education, secondary school, higher secondary school, senior secondary school, recognised or un- recognised by the Government or managed by any management or affiliated to any Indian or foreign course or Board, including the schools run by the minority educational institutions and schools given land on concessional rates by Government agencies as applicable. (14) "School Level Fee Regulation Committee" means the Committee constituted under clause (b) of sub- section (1) of Section 4. (15) All words and expressions used herein but not defined in this Act and defined in the Delhi School Education Act, 1973 and Rules made thereunder, have the meanings respectively assigned to them in the said Act and Rules. Chapter II PROHIBITION OF COLLECTION OF EXCESS FEE AND DETERMINATION OF FEE 3. Prohibition of collection of excess fee. No school by itself or through any other means on its behalf shall collect any fee in excess of the fee fixed or approved under this Act. 4. School Level Fee Regulation Committee.— (1) (a) Every school shall constitute a Parent-Teachers Association following such guidelines as may be prescribed. (b) Every school shall constitute, not later than 15th July, a School Level Fee Regulation Committee for each academic year. This Committee shall consist of the following persons: - | | | | |:---|:------------------|:-----------------------------------------------------------------------------------| | (1) | Chairperson | Representative of Management of the school nominated by such Management; | | (2) | Secretary | Principal of the school; | | (3) | Member | Three teachers of school to be selected through draw of lots | | (4) | Member | Five parents from Parent-Teachers Association to be selected through draw of lots | | (5) | Observer | Nominee of Director of Education | (2) The list of Chairperson and members of the School Level Fee Regulation Committee shall be displayed on the notice board and website of the school, within a period of seven working days from the formation of the School Level Fee Regulation Committee. Thereafter, a copy of such list shall be forwarded to the concerned officer authorised by the Director of Education, within seven working days. (3) The School Level Fee Regulation Committee, shall include at least one member belonging to Scheduled Castes, Scheduled Tribes or socially and educationally backwards classes of citizens, who shall be appointed by rotation in the manner as prescribed. Provided that not less than two members of the Committee shall be women. (4) The term of the School Level Fee Regulation Committee shall be for one academic year. (5) No parent member shall be eligible to enter into a draw of lots for election to the School Level Fee Regulation Committee for more than two consecutive years. (6) Upon the expiry of two consecutive years of membership to the School Level Fee Regulation Committee, a parent member shall be rendered ineligible to participate in the draw of lots for a period of two years thereafter. (7) The School Level Fee Regulation Committee shall have a general meeting at least once before the 15th of August of every year. (8) The School Level Fee Regulation Committee shall discharge such duties and perform such functions as may be assigned to it under this Act or as may be prescribed. (9) The conduct of draw of lots for constitution of the School Level Fee Regulation Committee shall be as prescribed. (10) Any casual vacancy in the School Level Fee Regulation Committee shall be filled for the remainder of the term as may be prescribed. 5. Regulation of fees in schools. — (1) The Management of the school shall be competent to propose the fee in such school. Provided no such school, whose recognition has been suspended or withdrawn, shall have any right to propose any fee under this Act till the time such suspension or withdrawal of recognition has been revoked. Provided further that for the academic year 2025-26, the fee being charged by schools w.e.f. 01.04.2025 shall be deemed to be proposed fee for the purposes of Section 5 of the Act. (2) On the formation of the School Level Fee Regulation Committee, the Management shall submit the details of the proposed fee for the next block of three academic years, along with the relevant record to the School Level Fee Regulation Committee, for its approval, by 31st July of the current academic year. (3) The School Level Fee Regulation Committee shall have the authority to decide the amount of fee afresh at the time of giving its approval, which shall however, not be more than the fees proposed by the Management. (4) After considering all the relevant factors laid down under section 8, the School Level Fee Committee shall, based on unanimous agreement of its members, approve the fee within a period of thirty days from the date of receipt of the details of the proposed fee and the record under sub-section (2) and communicate the details of the fee so approved in writing to the Management forthwith. The details of the fee so approved by the School Level Fee Committee shall be displayed on the notice board of the school in Hindi, English and in the respective medium of school, and if such school has its own website, it shall also be displayed on the same. (5) The fee approved by the School Level Fee Regulation Committee shall be binding on the school for three academic years. (6) The School Level Fee Regulation Committee shall indicate the different heads under which the fee shall be levied. (7) If the School Level Fee Regulation Committee fails to decide the fee by 15th September of the current academic year, the Management shall immediately, but not later than 30th September, refer the matter to the District Fee Appellate Committee for its decision under intimation to the School Level Fee Regulation Committee in such manner as may be prescribed. During the pendency of the reference before the District Fee Appellate Committee, the Management shall collect the fee of the previous academic year. (8) An aggrieved parents' group, may within 30 days, prefer an appeal against the decision of the School Level Fee Regulation Committee to the District Fee Appellate Committee, in such form as may be prescribed. (9) In case of a school being newly set up, the Management may propose and set the fee, however, such fee shall be required to be ratified by the School Level Fee Regulation Committee of such school within 30 days of the constitution of such School Level Fee Regulation Committee. 6. Constitution of District Fee Appellate Committees.— The District Fee Appellate Committees shall be constituted by the Director of Education and comprise of the following, namely: - | | | | |:---|:------------------|:---------------------------------------------------| | (1) | Chairperson | Deputy Director of Education of the concerned District | | (2) | Member Secretary | Deputy Director of Education (Zone) | | (3) | Member | Chartered Accountant | | (4) | Member | Accounts functionary of the Region/District | | (5) | Member | Two representatives of schools | | (6) | Member | Two representatives of parents | 7. Powers and functions of District Fee Appellate Committees. — (1) The powers and functions of the District Fee Appellate Committee shall be to adjudicate the dispute between the Aggrieved Parents Group or the Management or the Parents Teachers' Association regarding fee to be charged by the school management. (2) Every school preferring an appeal before the District Fee Appellate Committee shall place the copy of decision in appeal on its website and notice board. (3) The District Fee Appellate Committees may authorise any gazetted officer to enter any school or any premises belonging to the Management of such school. (4) The District Fee Appellate Committee shall regulate their own procedure, for the discharge of their functions, and shall, for the purpose of making any inquiry under this Act, have all powers of a civil court under the Code of Civil Procedure, 1908 (Central Act No. 5 of 1908) while trying a suit, in respect of the following matters, namely: (a) the summoning and enforcing the attendance of any witness and examining him on oath; (b) the discovery and production of any document; (c) the reception of evidence on affidavits; (d) the issue of commission for the examination of the witness; (5) No order shall be passed by the District Fee Appellate Committees in the absence of the Chairperson. (6) The order of the District Fee Appellate Committee shall be binding on the parties to the proceedings before it for three academic years. (7) The District Fee Appellate Committee shall, communicate its decision regarding the fixation of fees to the parties concerned within thirty days of receipt of an appeal and not beyond forty-five days within the same academic year, failing which the matter stands automatically referred to the Revision Committee, as specified in this Act. (8) The District Fee Appellate Committee shall indicate the different heads under which the fee shall be levied. (9) The Aggrieved Parents Group or the Management or the Parents Teachers' Association aggrieved by the decision of the District Fee Appellate Committee may, within thirty days from the date of such decision, prefer an appeal before the Revision Committee in such manner as may be prescribed. 8. Factors for determination of fee. The following factors shall be considered while deciding the fee leviable by a school, namely: (a) the location of the school; (b) the infrastructure made available to the students for qualitative education, the facilities provided and as mentioned in the prospectus or web-site of the school; (c) the education standard of the school; (d) the expenditure on administration and maintenance; (e) the excess fund generated from any person including non-resident Indians, as a part of charity, contribution by the Government under any of its schemes; (f) qualified teaching and non-teaching staff as per the norms and their salary components; (g) reasonable amount for yearly salary increments as may be prescribed; (h) expenditure incurred on the students over total income of the school; (i) reasonable revenue surplus for the purpose as may be prescribed; (j) any other factor as may be prescribed. 9. Revision Committee.— (1) The Government shall by notification in the Official Gazette, constitute a Revision Committee, comprising of the following persons: | | | | |:---|:------------------|:----------------------------------------------------------------------| | (1) | Chairperson | An eminent person having made valuable contribution in the field of education | | (2) | Member | Chartered Accountant | | (3) | Member | Controller of Accounts/Deputy Controller of Accounts | | (4) | Member | Representative of Schools | | (5) | Member | Representative of Parents | | (6) | Ex-officio Member-Secretary | Additional Director of Education | 10. (2) The tenure, selection process, functioning, emoluments, quorum, and related matters of the Revision Committee shall be such as prescribed by rules framed under this Act. Application of certain provisions of District Fee Appellate Committees to the Revision Committee.— (1) The provisions of sub-sections (3) to (8) of section 7 shall, mutatis mutandis, apply to the Revision Committee. (2) The decision of the Revision Committee shall be final and conclusive and shall be binding on the parties for three academic years. At the end of the said period, the school may be at liberty to propose changes in its fee structure by following the procedure as laid down in Section 5. (3) The Revision Committee shall endeavour to determine the fee within forty-five days of receipt of such appeal and shall communicate its decision to the parties before it and the Director of Education. 11. Special Powers of the Director of Education.— Notwithstanding anything contained in this Act, the Director of Education may, suo motu or otherwise, call for the record(s) of the School Level Fee Regulation Committee, District Fee Appellate Committee or the Revision Committee to verify that the proceedings of the said Committee(s) are in conformity with the provisions of this Act and rules framed there-under and may issue appropriate directions, as deem fit and proper. Further, in appropriate cases the Director of Education may refer any case to the District Fee Appellate Committee or the Revision Committee, as the case may be. Chapter III PENALTIES 12. Penalties. The violations of the provisions of this Act or the rules made there-under, shall attract the following penalties and consequences:- (1) Where a school is found to be levying a fee not determined in accordance with the provisions of this Act and rules framed there-under, the Director of Education shall direct the school to roll back such fees with immediate effect and to refund the excess fee to the student(s) within a period of 20 working days or earlier. (2) In addition to the order for roll back of fees and refund, the school shall be imposed: - (a) for the first violation, a penalty which shall not be less than one lakh rupees but which may extend to five lakh rupees; (b) for the second or subsequent violation, a penalty which shall not be less than two lakh rupees but which may extend to ten lakh rupees. Provided that where the school fails to comply with the directions for roll back of fees and refund within twenty days as specified under sub-section (1), the school shall be liable to pay double the amount of fine imposed under sub-section (2), which amount shall become triple if non- compliance extends for forty days, quadruple if non-compliance extends for sixty days and so on. (3) In case of repeated violations of the provisions of this Act or the rules made there under by the Management of a school, and until all such violations have been appropriately addressed and satisfactorily resolved, the Director of Education may, in addition to the aforesaid penalties: - (a) by order, debar the person in charge and responsible for the conduct of the affairs of the school from holding any official post in either the management or the school, as the case may be; (b) by order restrict the right of such Management to propose fee increase for subsequent years; (c) order the suspension of recognition of such school; (d) order the withdrawal of recognition of such school; (e) order the taking over of the management of such school. (4) No order of imposition of penalty shall be passed by the Director of Education without giving the Management of a school a reasonable opportunity of being heard. 13. Prohibition of Fee recovery through coercive means. — (1) No school shall harass or coerce any student for non- payment or delayed payment of fees by means of but not limited to:- (a) Striking down the name of the student from the rolls for non-payment of fees not determined as per the provisions of this Act; (b) Withholding examination results; (c) Denying access to education, classes, or activities etc; (d) Public humiliation or psychological harassment. (2) Any violation of above provisions shall attract penalty from the Director of Education on the Management of Rs. 50,000/- per violation against every student. Provided that no such penalty shall be imposed without providing the affected parties a reasonable opportunity of being heard. 14. Modes of recovery of fine, etc. For the purpose of enforcement of penalties imposed under this Act, the Director of Education shall have all the powers of a Civil Court in the execution of a decree under the Code of Civil Procedure, 1908 (Central Act No. 5 of 1908), as if the penalties were a decree for the payment of money passed by such court in a civil suit, including the following: (a) attachment and sale of the movable or immovable property of the School Management; (b) taking possession of property over which security interest is created or any other property of the school management and appointing receiver for such property and to sell the same; (c) appointing a receiver for the management of the movable or immovable properties of the School Management; (d) any other mode of recovery as may be prescribed by the Government. Chapter IV MISCELLANEOUS 15. Power to issue directions.—The Government may issue directions to any school, consistent with the provision of this Act and the rules made there-under, as in its opinion are necessary or expedient for carrying out the purposes of this Act or for giving effect to any of the provisions contained therein or in any rules or orders made there-under. 16. Force Majure.- Notwithstanding anything contained in this Act, in extraordinary conditions or emergent circumstances like, but not limited to Acts of God, Epidemics, Natural Calamities, Wars or Revolutions, Civil Commotions, Floots, etc; the Government may by order, regulate the fees to be charged by the schools, from existing students and newly admitted students for each academic year till such time the aforesaid eventualities exist or expedient in public interest to do so. 17. Jurisdiction of civil courts barred.— No civil court shall have jurisdiction in respect of any matter in relation to which the School Level Fee Regulation Committee, District Fee Appellate Committee(s), Revision Committee or the Director of Education or any other person authorised by the Director of Education or any other officer appointed or specified by or under this Act, or empowered by or under this Act to exercise any power and no injunction shall be granted by any civil court in respect of anything which is done or intended to be done by or under this Act. 18. Protection of action taken in good faith.— No suit, prosecution or other legal proceeding shall lie against School Level Fee Regulation Committee, District Fee Appellate Committee(s), Revision Committee or the Director of Education or any other person authorised by the Director of Education or any other officer appointed or specified by or under this Act for anything which is done in good faith or intended to be done in pursuance of this Act or any rule made there-under. 19. Power to make rules— (1) The Government may, by notification in the Official Gazette, make rules for carrying out all or any of the purposes of this Act. (2) Every rule made under this section shall be laid, as soon as may be after they are made, before the House of the Legislature of National Capital Territory of Delhi, while it is in session, for a period of not less than fourteen days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session in which they are so laid or the session immediately following, the House of the Legislature makes any modification in any such rule or resolves that any such rule should not be made, the rules shall thereafter have effect only in such modified form or be of no effect, as the case may be, so however, that any such modification or annulment shall be without prejudice to the validity of anything previously done there-under. 20. Act in addition to and not in derogation of any other Act. — The provisions of this Act are in addition to and not in derogation of any other law for the time being in force including the Delhi School Education Act,1973 (Central Act No.18 of 1973) and The Right of Children to Free and Compulsory Education Act, 2009 (Central Act No. 35 of 2009). 21. Power to remove difficulties. - (1) If any difficulty arises in giving effect to any of the provisions of this Act, the Government may as occasion arises, by an order published in the Official Gazette do anything not inconsistent with the provisions of this Act which appears to it to be necessary or expedient for the purpose of removing the difficulty: Provided that no such order shall be made after the expiry of a period of two years from the date of commencement of this Act. (2) Every order made under sub-section (1) shall be laid as soon as may be after it is made, before the House of the Legislature of National Capital Territory of Delhi. ASHISH SOOD, Minister (Education) STATEMENT OF OBJECTS AND REASONS The Delhi School Education Act, 1973, and the Rules framed there-under provide a broad framework for regulating fees in private unaided schools. However, in practice, these provisions have proven inadequate, leading to arbitrary fee hikes and a lack of transparency in financial practices of such schools. Judicial interpretations have further limited the powers of the Directorate of Education (DoE), particularly with respect to enforcing prior approval for fee increases. In light of persistent complaints from parents and stakeholders, and in the absence of a clearly defined regulatory mechanism, there is an urgent need to introduce a robust statutory framework to ensure transparency, accountability, and fairness in the fee structures of private unaided recognized schools in Delhi. The Delhi School Education (Transparency in Fixation and Regulation of Fees) Bill, 2025, thus seeks to: 1. Establish independent Fee Regulatory Committees to scrutinize and approve proposed fee increases; 2. Mandate submission of financial statements and obtain prior approval before any fee revision; 3. Promote financial transparency through regular audits and disclosures; 4. Protect parents' interests by providing a grievance redressal mechanism; 5. Impose stringent penalties for violations, including capitation fees and profiteering; 6. Ensure uniform regulation of all private unaided schools, including minority institutions and those not allotted government land. The Bill is inspired by models successfully implemented in other states, such as Maharashtra and Rajasthan, and upheld by the Hon'ble Supreme Court. It aims to balance the autonomy of educational institutions with the rights of parents and the imperative of accessible, quality education. The Bill seeks to achieve the aforesaid objectives. ASHISH SOOD, Minister (Education) FINANCIAL MEMORANDUM The Bill empowers the Government of the National Capital Territory of Delhi to constitute Committees for the purpose of fixation, regulation, and collection of fees in private unaided recognized schools situated within its jurisdiction. The implementation of the provisions of the Bill does not involve any major recurring expenditure. However, the recurring expenditure towards remuneration and allowances for the members of the committees, as applicable, is estimated to be approximately 02 crores per annum. Further, the constitution and functioning of the said Committees will be supported through reallocation of existing resources and leveraging the current administrative infrastructure of the Education Department of the Government of the National Capital Territory of Delhi. Any marginal expenditure arising out of the implementation of the provisions of the Bill will be absorbed within the existing budgetary allocation of the Education Department. No additional financial assistance will be required from the Consolidated Fund of India. ASHISH SOOD, Minister (Education)