The Minister of Higher Education, Science and Innovation, Dr Blade Nzimande welcomes the launch of the Chancellors Forum, which is a forum of Chancellors of all 26 public Universities in South Africa.
Minister Nzimande addressed the hybrid Chancellors Forum launch and Roundtable Discussion comprising of Chancellors, Vice Chancellors, Chairs of Council and SRC Presidents of South African universities today, the 22nd June 2021.
The Forum was held under the theme of “Multi-stakeholder approaches to solving the challenges within the higher education sector”.
Minister Nzimande said that although the office of the Chancellor has no executive powers, given the context of our higher education system, the chancellors role is more than just being a titular head.
“The Chancellor participates in outreach and philanthropic initiatives. The Chancellor acts as an ambassador for the University, advocating to raise its profile, and advancing its interests nationally and internationally,” Minister Nzimande said.
Minister Nzimande appealed to chancellors to join hands with government in finding solutions to funding for the “missing middle”, which comprise of students who do not meet the NSFAS financial eligibility criteria, but still struggle to afford higher education.
“Although the debt profile of students is something that needs to be better understood, it is presumed that much of the debt is carried by missing middle students, both current and past students,” said Minister Nzimande.
Minister Nzimande said there are different estimates of the numbers of students in this category, as the institutions do not have accurate socio-economic data.
However, the Ministerial Task Team (MTT) appointed in 2016 estimated the figure to be approximately 20% of undergraduate students.
“Greater in-depth analysis and data collection is necessary to understand better the issues facing students who fall outside NSFAS eligibility and are self-paying. It is also difficult to know how many students are not accessing public higher education at all, because of financial difficulty,” said the Minister.
Minister Nzimande said that government currently fully subsidised tuition fees all students on DHET bursary scheme.
Students are subsidised as follows:
- Learning Material allowance of about R5200 for all students on DHET bursary scheme;
- Fully subsidised accommodation for contact students in university-owned, leased or private accredited accommodation;
- Living allowance of about R1500 per month for contact students inclusive of R2900 incidental allowance;
- Incidental allowance of about R2900, for those who live in catering residences (where meal costs are covered) and distance education students who carry an equivalent full-time course load; and
- Transport allowance of about R7500 for students living at home: students not in accommodation receive living and transport allowance.
“It is necessary to re-examine the proposals of both the 2016 MTT and the Heher Commission to explore possible funding models for the future, taking into account current circumstances and future requirements,” said Minister Nzimande.
Minister Nzimande said that work also needs to take into account the substantial changes in the student funding environment since 2018, the student debt issues in the system, and the many other demands on State funding for higher education and training (e.g. postgraduate funding support), as well as the fiscal context.
The Minister said that government implemented other initiatives to support poor and missing middles students.
In 2016 there was a 0% increase on university tuition fees. The funding to cover this came primarily from the State;
In 2017 and 2018, tuition fees increased by a maximum of 8% across the system, in accordance with an agreed compact across the system;
In 2019-2021, tuition and accommodation fees were agreed in terms of a CPI- linked compact;
The department is working on a fee regulation policy framework to be introduced for the period 2022-2024;
In 2019, Minister Nzimande approved funding for transfer to NSFAS to address the historic debt of NSFAS-qualifying students registered in 2018 following a due diligence process announced at the time of the announcement of the new bursary scheme. This process is being managed by NSFAS with the support of universities.
Minister Nzimande indicated that In March 2021, in approving the reprioritisation of funds from the Department’s budget to support the NSFAS shortfall for 2021, Cabinet requested the Department to conduct a policy review of student funding.
At the conclusion of this process, Minister Nzimande will present the policy review to Cabinet.
Enquiries:
Ishmael Mnisi
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