AP Government scraps Rs 15 lakh corpus fund requirement for new courses

Metro India News | AMARAVATI

In a major relief to private higher educational institutions across Andhra Pradesh, the state government has abolished the mandatory Rs 15 lakh corpus fund requirement for introducing new courses in existing private degree and postgraduate colleges. The Higher Education Department has issued fresh guidelines aimed at encouraging academic expansion while reducing the financial burden on educational institutions.

With the latest decision, private college managements seeking to introduce additional undergraduate or postgraduate courses will no longer be required to deposit the corpus fund that was previously mandatory for obtaining approval. The move is expected to benefit hundreds of institutions planning to diversify their academic offerings and respond to changing educational and employment trends.

However, the government has clarified that the relaxation applies only to already established colleges. Institutions seeking permission to establish new private degree or postgraduate colleges will still be required to pay the Rs 15 lakh corpus fund as per existing regulations.While removing the corpus fund requirement, the government has introduced a revised fee structure for granting approval to new courses. Under the new system, colleges located in tribal areas must pay Rs 30,000 for permission to start a Bachelor of Arts (BA) course. Institutions in rural areas will pay Rs 40,000, while those in urban areas will pay Rs 50,000. Separate fee structures have been prescribed for other courses such as B.Sc. and B.Com.

The government has simultaneously issued a series of new guidelines aimed at improving transparency and accountability in the higher education sector. Colleges operating from rented buildings must now possess a lease agreement valid for at least 30 years. Institutions with lease agreements exceeding 30 years will be treated as operating from owned premises.

Authorities have also made annual renewal of approvals mandatory. To enhance transparency, every private college must maintain an updated website and upload comprehensive institutional information by September 30 each year. Details such as sanctioned intake, admissions, pass percentages and faculty qualifications for the previous three years must be publicly available.

The Higher Education Department further announced that advanced technologies, including data analytics and artificial intelligence, will be used for inspections and monitoring. Institutions found submitting false information or forged certificates will face a penalty of Rs 1 lakh in addition to criminal prosecution. The government also warned that colleges remaining inactive for six consecutive years will not be eligible for renewal of recognition.