Hyderabad: With the state planning to impose a cap on school fees and introduce stricter regulations, private school managements across Telangana, especially in Hyderabad, halted their expansion plans. Many school owners argue that the financial constraints under such circumstances will make running schools unsustainable under the proposed rules.
“When our average annual salary hikes for teachers are between 10% and 12%, how can we operate by limiting fee increases to just 6.5% per year? This is why I’m reconsidering my plan to open another branch in the western corridor,” said a school owner from Medchal-Malkajgiri district.
He added that most school managements are hesitant to expand, fearing that fee caps and regulations will impact their ability to maintain quality education.
Another school owner, who charges approximately Rs 5 lakh fee per annum, shared a similar sentiment. “I’ve decided to postpone plans for a new branch in Hyderabad,” he said, emphasising that the regulatory environment has created uncertainty.
In 2023, the state issued a govt order inviting applications for new school openings. Despite receiving about 200 applications, the department of school education is yet to grant any approvals. Permissions were expected by Jan 15, 2024, but none have been issued so far.
“The reality is, even if the govt sanctions permissions now, no one wants to start a school in Telangana under these circumstances,” said Y Shekhar Rao, president of the Telangana Recognised School Managements Association. “It takes at least Rs 20 lakh to establish a small school, and if the state regulates every aspect without considering ground realities, it will become impossible to run schools.”
Rao added that no new private schools are likely to open in Telangana in the 2025-26 academic year if the regulatory trends come to fore.
