The Union human resource development ministry has asked various Central Universities, IITs, IIMs and other autonomous educational institutions under its jurisdiction to not only observe austerity but also generate additional resources through a gradual revision of tuition fee, levy of user fee and withdrawal of hostel subsidies.
If implemented, it will substantially raise the cost of higher education in the country which at present is highly subsidised. HRD ministry’s secretary (higher education) R.P. Agrawal, in a three-page detailed circular to the educational institutions, has also stated that for 2009-10, there shall be a mandatory cut of 10 per cent in non-plan expenditure. This effectively means that these institutes need to cut back on their “domestic and foreign travel, publications, professional services, advertising and publicity, office expenses and other administrative expenses.”
“Given the constraint of resources leading to mandatory cuts in non-salary expenditure, it is expected that the institutions would make efforts to generate additional resources by gradual revision of tuition fee, levy of user fee, withdrawal of hostel subsidies and through other measures,” the directive states. He also advised that there should be strict monitoring of construction projects to avoid cost overruns.
“All domestic air travel should be done in economy class as suggested by the finance ministry,” the circular adds. Purchase of new vehicles has also been banned.
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