NEP, PM SHRI row: No funds, no staff as Tamil Nadu govt schools struggle amid Rs 2,152 crore SSA fund freeze

“We are running schools with the bare minimum. Whatever little the state government gives, we are stretching that to buy chalks, print worksheets, and sometimes even fix broken windows,” said a government school teacher in Villupuram, Tamil Nadu, on condition of anonymity. “Forget innovation or smart classrooms, we are just trying to keep the school day running.”

Government school teachers across Tamil Nadu are raising alarms over the non-disbursement of Rs 2,152 crore under the Samagra Shiksha Abhiyan (SSA), a centrally sponsored scheme aimed at universalising school education. The delay, attributed to the state's refusal to implement the National Education Policy (NEP) 2020 and the PM SHRI scheme, has left schools grappling with shortages of staff, infrastructure, and basic learning materials.

The PM Schools for Rising India (PM SHRI) scheme aims to strengthen more than 14,500 existing schools to “showcase” reforms under the National Education Policy 2020. Although a separate head under the umbrella National Education Mission in the union budget, it has been tied to the Samagra Shiksha Abhiyan, the main scheme for universalising school education in the country.

The union government is withholding SSA funds from any state government that has reservations about the PM SHRI schools and has dragged its heels on signing the agreement with the union government for implementing the scheme. This includes Kerala, West Bengal and Punjab.

Tamil Nadu has resisted arguing that the NEP undermines the state's education policies and linguistic diversity, a report suggests.

NEP, PM SHRI: Centre-Tamil Nadu standoff

“The Centre is supposed to release 60% of the funds, but even that is irregular,” explained educationist Prince Gajendra Babu, general secretary of the State Platform for Common School System in Tamil Nadu. “The larger problem is that most of the funds that do come are tied to salaries. But many schools don’t even have permanent staff. Contract teachers are paid late or not at all.”

Recently, a parliamentary panel has criticized the Centre's decision, calling the withholding of funds “unjustifiable” and recommending their immediate release to prevent disruption in salaries, teacher training programs, and school infrastructure maintenance.

Also read Education Budget 2025: Samagra Shiksha, PM SHRI see outlays rise while JNVs face cuts

SSA fund freeze: Impact on students

The Samagra Shiksha Abhiyan fund freeze has had a cascading effect on students, particularly those from underprivileged backgrounds. Parents report delays in receiving textbooks and inadequate school infrastructure.

“We were told that books would be given for free under Samagra Shiksha. But it’s already May-end and my daughter has not received any textbooks,” said Arulmozhi, a domestic worker and mother of a Class 4 student in Madurai. “Every year it’s getting worse. What’s the use of such a scheme if it doesn’t give children books?”

“There are three toilets for 300 students, and only one works. The classroom roof leaks during rain. These are not luxuries — they are basic needs. SSA is supposed to cover these, right?” asked Kumara (name changed), a parent from Thanjavur.

“The bigger issue is how little parents actually know about where the money is going," said a mother of two children studying in a government middle school. "Even if the Centre sends money, it gets stuck in layers of administration. We hear about funds in newspapers, but on the ground, nothing changes. No library, no computer lab, no regular teachers — only promises. And our children are the ones paying the price.”

The confusion over the scope of SSA funds adds to the frustration. While the scheme covers various aspects of school education, including infrastructure and learning materials, the lack of clarity on fund allocation and usage has led to unmet expectations among stakeholders, say a few parents.

Also read Maharashtra has received just 41% of central funds for mid-day meal, SSA, 3 other schemes

Samagra Shiksha Abhiyan funds: Legal action

In response to the fund withholding, the Tamil Nadu government has approached the Supreme Court, seeking the immediate release of Rs 2,291.30 crore under the Samagra Shiksha Scheme, including Rs 2,151.59 crore as the centre’s 60% share for FY 2024–25.

“To dissipate the unrest caused due to this issue, Rs 2,152 crores of Samagra Shiksha funds for Tamil Nadu for 2024-25 may be released immediately, without linking it to the implementation of NEP 2020,” chief minister MK Stalin wrote in a letter to prime minister Narendra Modi.

Opposition parties have also criticised the state's handling of the situation. AIADMK General Secretary Edappadi K. Palaniswami accused the Tamil Nadu government of not releasing Right to Education (RTE) reimbursement funds over the past two years, resulting in delays in RTE admissions for the current academic year.