PABSON Demands Removal of Non-Profit Clause from Private School Education Bill in Nepal

The Private and Residential Schools’ Organization Nepal (PABSON) calls for amendments to the Private School Education Bill, opposing the non-profit requirement for private schools and advocating for continued scholarship support.

Kathmandu — The Private and Residential Schools’ Organization Nepal (PABSON) has demanded the removal of certain provisions from the current draft of the Private School Education Bill, particularly those requiring private schools to gradually become non-profit institutions.

At a press conference in Kathmandu on Sunday, PABSON urged the government to delete the phrase mandating private schools to operate on a non-profit basis. They also called for the removal of the term “full scholarship” from the bill, emphasizing the continuation of the existing practice of providing scholarships to 10 percent of the total student population.

PABSON General Secretary R.B. Katuwal warned that if their demands are not addressed by August 13 (Saun 28), protests would begin from August 14 (Saun 29). Katuwal said if the government views private schools as obstacles to implementing the Free and Compulsory Education Act, then nationalizing private schools or providing all students with vouchers to choose schools would be the only alternatives.

The bill’s provision to convert privately funded schools into non-profit institutions contradicts the legal framework under the Company Act, which allows schools to operate as companies. PABSON argued that mandating full scholarships covering tuition, examination fees, textbooks, uniforms, and transportation contradicts the Company Act’s intent.

PABSON also criticized the bill for shifting state responsibilities to private entities under misleading pretexts, calling the provisions impractical, investment-unfriendly, biased, and harmful to the education sector.

According to PABSON, such a law will discourage investment, hamper the country’s development, and dishearten private investors. They stressed that in a democratic state like Nepal, laws should not imply that private sectors will fully implement constitutional mandates, nor should they make the state unaccountable by transferring its duties to private institutions.

PABSON’s position is expected to increase pressure on the government to amend the Private School Education Bill soon.