The Cabinet is expected to take up the Right to Education Bill, 2008 at its meeting scheduled for Friday. The Bill envisages free and compulsory education to around 19.2 crore children between 6 and 14 years.

Under the Bill, private unaided schools would have to obligatorily set aside 25% of the seats at the entry level (class one) for disadvantaged children in the neighbourhood. As per the human resource development (HRD) ministry?s proposal, the private unaided schools that do not receive funds from the government will not lose out financially. The government will foot the bill for the disadvantaged students on the basis of what it sets aside for every child in government-run schools.

The government spends roughly Rs 1,700 per child as against an average of Rs 1,100 by a private school. However, if the school has received some concession, such as cheaper land, in lieu of providing admission for disadvantaged children, then the government will not make any payment.

For private-aided schools that receive substantial grants from the government, more than 51%, would have to take in children from the neighbourhood, to the extent of the concession they get from the government, which might be to full capacity. These aided schools have a strong presence in Kerala and Tamil Nadu. In Kerala, this sector accounts for 60% of elementary schools and 20% in Tamil Nadu.

This step is in keeping with the Kothari Commission?s recommendation to introduce a common school system, as well as the Supreme Court?s judgement against commercialisation of private schools.

The suggestion to draw private schools into the net was first made by the NDA government in its draft Free and Compulsory Education for Children Bill. The CABE subcommittee on free and compulsory education refined the idea. This was further improved in the subsequent August 2005 version of the Right to Education Bill. Reservation of 25% seats at the entry level is aimed at ensuring social inclusion and bridging the socio-educational gap.

The law ministry had earlier asked the HRD ministry to look into certain issues like the proposal to reserve 25% seats for poor children in private-aided schools, as this could lead to litigation. The law ministry was of the view that since the right to education is a fundamental right under Article 21A, any infringement could immediately result in court cases.

The ministry had also asked the HRD to clarify whether 25% reservation for poor children would be applicable to Kendriya Vidyalayas, Sainik Schools and Navodaya Vidyalayas. Given the reluctance of the states to pay for the expenses, it is likely that the Centre would foot the entire bill while providing free and compulsory education to children in the age group of 6?14 years.

Punjab & Sind Bank on Cabinet?s agenda

Also on the agenda of the Cabinet is the issue to restructure state-owned Punjab and Sind Bank?s equity capital by converting a part of its existing paid-up capital into perpetual preference shares. Ahead of the planned initial public offering (IPO), PSB wants to convert around Rs 500 crore of its equity capital into perpetual preference shares. The bank had put in a request for the same with the finance ministry way back in 2007. Through capital restructuring, PSB hopes to command better price from investors in the IPO.

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