New Bill Proposes Heavy Fines but Removes Funding Power from Regulator
The landscape of higher education in India is on the verge of a historic transformation. The central government is poised to introduce the Viksit Bharat Shiksha Adhishthan Bill 2025 during the ongoing parliamentary session. This proposed legislation marks the end of the road for long-standing bodies like the University Grants Commission (UGC), the All India Council for Technical Education (AICTE), and the National Council for Teacher Education (NCTE).
While the Bill aims to streamline governance, it introduces a significant twist: the new regulatory authority will have no power to distribute grants or regulate fees, a sharp departure from the functions exercised by the UGC and AICTE.
Financial Powers Shift to Ministry
Under the previous system, the UGC held the purse strings for central and various other universities. However, the new roadmap envisions a clear separation of powers. The proposed umbrella body will focus strictly on setting academic standards and accreditation. The responsibility of funding and disbursing grants to centrally funded institutions will now rest directly with the Ministry of Education.
Furthermore, while the new regulator is tasked with creating policies to stop the "commercialization of higher education," it will not have the direct authority to dictate fee structures for colleges and universities.
Heavy Penalties for Non-Compliance
Despite losing financial control, the new regulator will wield a heavier stick regarding discipline. The Bill empowers the body to impose steep financial penalties on institutions that violate the Act. Fines are set to range from a minimum of Rs 10 lakh to a staggering Rs 2 crore. The harshest penalties are reserved for institutions that attempt to operate without proper central or state approval.
A "Light but Tight" Structure
Aligned with the National Education Policy (NEP) 2020, the Bill seeks to eliminate the "inspection culture" and multiple layers of red tape. Instead, it proposes a single commission—the Viksit Bharat Shiksha Adhishthan—to coordinate three distinct verticals:
The central government retains final authority in policy disputes and has the power to supersede the commission for up to six months if necessary. While medical, legal, and pharmaceutical education remain outside this Bill's purview, the legislation promises a digitized, single-window system for all other higher education institutions, prioritizing self-disclosure over constant inspections.
