Delhi Cabinet Approves Landmark Bill to Regulate Private School Fees

In a major push for transparency and accountability, the Delhi Cabinet on Tuesday cleared the draft of the Delhi School Education (Transparency in Fixation and Regulation of Fees) Bill 2025. The proposed legislation, described as “bold and historic” by Chief Minister Rekha Gupta, aims to end arbitrary fee hikes by private schools across the capital.

The bill will apply to all 1,677 private unaided schools in Delhi and introduces three sweeping reforms.

The first reform mandates a three-tier fee regulation mechanism at the school, district, and state levels. Each school will form a School-Level Fee Regulation Committee that includes parents, granting them direct participation in fee-related decisions. District- and state-level committees will hear appeals and ensure fairness across institutions.

The second reform establishes strict penalties for violations. Schools increasing fees without prior approval could be fined between ₹1 lakh and ₹10 lakh. Repeat offenders may face withdrawal of government recognition. “For too long, private schools raised fees at will. This bill ends that,” said CM Gupta.

Section 15 of the bill empowers the Director of Education to enforce penalties using stringent recovery methods. These include property attachment and sale, taking possession of school assets, and appointing receivers to manage or liquidate school property.

The third major reform sets clear parameters for fee determination—such as a school’s location, infrastructure quality, academic outcomes, and genuine financial need. This aims to bring long-needed consistency and transparency to fee fixation, an area frequently mired in disputes between schools and parents.

With these measures, the Delhi government hopes to rein in exploitative practices, empower parents, and make quality education more accountable and accessible.

Source: Hindustan