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Home Business & Finance Economic Policies

‘More of a luxury than a right’: DU’s fee hike decision sparks concerns amongst faculty, student fraternities todayheadline

March 10, 2025
in Economic Policies
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'More of a luxury than a right': DU's fee hike decision sparks concerns amongst faculty, student fraternities
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Delhi University (DU) has set its sights on a significant revenue target of over Rs 246 crore from student fees for the 2025-26 academic year. The projected revenue marks a continued upward trend as the university seeks to offset rising operational costs and increase its financial sustainability.

In the 2024-25 fiscal year, DU generated Rs 237.3 crore from student fees, which is a noticeable rise of Rs 33 crore compared to the previous year.

This surge is mainly attributed to sharp increases in several fee categories. Notably, the University Students Welfare Fund saw a dramatic hike from a budgeted Rs 3 crore to an actual Rs 12 crore. In addition, fees related to university services jumped from an estimated Rs 16 crore to Rs 70 crore, highlighting a more than 300% increase.

The university’s reliance on student fees has become a major revenue source, as it looks to counterbalance rising operational costs. However, these increases are facing mounting criticism from students and faculty members who are concerned about the growing financial burden on students, particularly those from economically disadvantaged backgrounds.

Fee hikes across various categories

As part of its annual financial strategy, DU raises its fees by an average of 10% to keep up with inflation. This policy has become a point of contention, especially as more services and facilities are being offered to students, but at a higher cost. Academic-related fees, which include tuition, admission, laboratory, and library charges, amounted to Rs 6.1 crore in 2024-25, up from Rs 5.7 crore in 2023-24. The university projects this figure will climb to Rs 6.9 crore in the next fiscal year.

Similarly, examination-related fees, such as those for transcripts, degrees, and migration certificates, saw a modest increase, generating Rs 130 crore in 2024-25, compared to Rs 127 crore in the prior year. For the upcoming year, this category is expected to remain steady at Rs 130 crore.However, the most considerable increase was observed in the fees for university services and campus facilities. The university collected Rs 70 crore in 2024-25, up sharply from Rs 33.4 crore in the previous fiscal year. Projections indicate a further rise to Rs 75 crore in the 2025-26 fiscal year, underscoring the growing reliance on fees for infrastructure maintenance and other campus services.

Welfare fund and other charges

The Students Welfare Fund, which provides support services to students, also saw a significant uptick. The fund grew from Rs 9.7 crore in 2023-24 to Rs 12 crore in 2024-25, and DU is forecasting a collection of Rs 13 crore in 2025-26.

Meanwhile, DU’s miscellaneous charges, including sports and other unclassified services, contributed Rs 19.2 crore in 2024-25, with a slight increase projected for the following year, bringing the total to Rs 21.7 crore. However, this category showed a decrease from the previous year’s Rs 27.3 crore, likely due to the reclassification of some fees or a reduction in the utilization of certain services.

Concerns over affordability and accessibility

Despite the university’s assertions that these fee increases are necessary to maintain and enhance services, the steady rise in costs has raised concerns over the accessibility of education.

Faculty members have voiced their worries, with some pointing out that the increasing fees may make public institutions like DU increasingly unaffordable. Abha Dev Habib, a faculty member at DU, said, “The continuous rise in fees is making education more of a luxury than a right, especially for students from lower-income backgrounds.”

Professor Maya John also highlighted the broader implications of the fee hikes, noting that the reduction in funding from the University Grants Commission (UGC) and the shift towards self-financing has placed a disproportionate burden on students, especially those from marginalized communities. “With reduced UGC funding, DU has shifted from grants to HEFA loans and a self-financed system, leading to higher fees that disproportionately affect students from marginalized communities,” she explained.

Student reactions and the strain of rising costs

Students, who already face high living costs in Delhi, have expressed frustration over the continued fee hikes.

“With such annual fee hikes projected to continue, how will students cope with the growing costs in the city?” asked one concerned student.

Another added, “I took admission in DU because of its affordable fees, but now it’s getting costly.”

While DU has defended the increases as essential for maintaining quality services, the rising costs have triggered an ongoing debate about the balance between financial sustainability and equitable access to higher education.

(With inputs from ToI)

Tags: affordability of education Delhiconcernscost of living students DelhidecisionDelhi UniversityDelhi University fee hikeDU financial sustainabilityDU revenue target 2025-26DUsfacultyFeefraternitieshikeLuxurysparksstudentstudent protests Delhi Universitystudents welfare fund DUtodayheadlineUGC funding impactuniversity students welfare fund
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