The state government's fee reimbursement program in Telangana made pursuing higher education in professional programs like engineering, medicine, business administration, pharmacy, and nursing more attainable. The objective of the program, which began in undivided Andhra Pradesh in 2008, is to assist students from marginalized communities in pursuing a professional career by covering their educational expenses.

This became necessary as private colleges were encouraged to teach professional courses in the 1980s. By 2009-10, the fee structure even for the so-called “government seats”, which were cheaper, was ? 27,000 per annum. Fees for the management quota were three times that amount, making it hard for students from poor families to study professional courses.

Through the fee reimbursement scheme, private colleges are reimbursed by the state government for the fees of students enrolled in these programs. Recently, private colleges have been facing significant financial hardship due to delays in payments. The functioning of these colleges has been disrupted, leading to increasing dissatisfaction among teachers and students.

The TPDMA, TEPCA, and PACA have all requested prompt payment of outstanding dues totaling around ?6,000 crore, pending since 2021.

“For private, unaided institutions, particularly colleges teaching professional courses, tuition fees are the primary source of revenue. Without these funds, colleges are unable to pay salaries on time or cover operational expenses,” he told South First. “This lack of financial support has led to a decline in the quality of education and the overall administration of these institutions.”