Can A University Increase Tuition Fees Without Government Approval?

In India, the power of universities to increase tuition fees depends on whether the institution is public or private. Fee regulation is subject to oversight by regulatory bodies such as the University Grants Commission (UGC), state governments, and fee regulatory committees, especially to prevent arbitrary or exploitative hikes.

Steps and Conditions for Fee Increase

Public Universities: These institutions are largely funded by the government, and any increase in tuition fees generally requires approval from the state or central government, depending on their jurisdiction.

Private Universities: While private universities have more autonomy, they are still subject to state-level Fee Regulatory Committees which review and approve proposed fee structures to ensure fairness.

Professional Courses: In technical and medical colleges, fee hikes must often be approved by bodies like AICTE, MCI/NMC, or state fee authorities.

UGC Guidelines: All universities must adhere to UGC norms ensuring transparency and reasonability in fee structures.

Mandatory Disclosure: Universities must disclose fee structures publicly in their prospectus and on their websites, and cannot charge hidden fees.

Student Consent in Some Cases: Courts have held that mid-course fee hikes (after admission) can be challenged if they are not disclosed beforehand or are unreasonably high.

Legal Actions and Protections

Challenge in Court: Students can file a writ petition in the High Court if a university hikes fees without proper approval or violates fee norms.

Consumer Forum: Unjust fee hikes or non-transparent charges can be challenged under the Consumer Protection Act for deficiency in service.

Approach Fee Regulatory Committee: In case of private universities, students can directly approach the state’s fee regulatory committee.

File RTI: Students can seek information through RTI applications to determine if proper approval was taken for the hike.

UGC/AICTE Complaint: For centrally regulated courses, students can file a formal complaint with UGC or AICTE for arbitrary fee hikes.

Example

A private university offering an MBA program increases the tuition fee by ₹50,000 mid-semester without any prior notice or approval. Students are forced to pay under threat of withheld results.

In this case:

Students can file a complaint with the State Fee Regulatory Committee.

Approach the Consumer Forum for coercion and unfair trade practice.

File a writ petition in the High Court seeking stay on the fee hike and refund.

Use the Right to Information (RTI) to find out if approval was taken.