VBSA Bill 2025: Regulatory Council's 'feedback' to ministry will decide funds to institutions, MoE clarifies

The feedback of the Regulatory Council on the institutional performance will be the major factor in determining the quantum of funds to be distributed through the Ministry of Education (MoE) to the Higher Educational Institutions (HEIs) under proposed Viksit Bharat Shiksha Adhishthan Bill, 2025, the ministry said in an official statement.

This change in funding mechanism has been adopted to ensure transparency and public accountability, according to an official press release.

Other academic and research support, including fellowships such as the Junior Research Fellowship (JRF), and Senior Research Fellowship (SRF), will continue through mechanism similar to those currently in place, the ministry said.

Currently, the grants to Central Universities are disbursed through the University Grants Commission (UGC), with funds released quarterly by the MoE and monthly to universities. Whereas, the Institute of National Importance (INIs) receives funds directly from the Government of India on a monthly basis.

Moreover, the National Education Policy 2020 (NEP 2020) calls for a clear separation between funding and regulatory functions , earlier known as the HECI, the bill proposes that grant disbursal will no longer be handled by regulatory or academic councils.

“The function of disbursal of grants to the centrally funded HEIs shall be accordingly ensured through mechanisms devised by the Ministry of Education (MoE) which will be similar to or better than the existing mechanisms,” the statement reads.