Press Releases
Fee Protection Options to Safeguard Welfare of Students Enrolled in Private Schools
To better protect student welfare, fee protection options will be made available to the private education institutions (PEIs) when the new regulatory regime for the private education sector is launched on 21 December 2009.
As a result of feedback gathered from the public consultation exercises and dialogues with stakeholders, the Council for Private Education (CPE) has refined the Enhanced Registration Framework to incorporate fee protection options for all PEIs which are registered under the new framework. With this move, students enrolled in CPE-registered PEIs could benefit from protection of fees as a contingency against school closure.
Under the refined Enhanced Registration Framework, PEIs are given the option to either:
Limit their collection of fees to a maximum of two months; OR
Purchase fee insurance protection for their students under an industry-wide group insurance scheme. PEIs that opt for this will be allowed to collect fees up to a maximum of six months. They will be required to show proof of their participation in the common insurance pool to the CPE during the registration process in order to be registered.
In the event of a school closure, the industry insurance scheme will ensure that affected students would be able to receive an insurance payout. Students should however not expect the payout to be equivalent to what they have paid for the courses as the amount of payout would also depend on the portion of tuition fees consumed. The CPE will work closely with the industry associations to assist and facilitate the placement of these affected students to a course in another PEI in such an instance.
Mr S Iswaran, Senior Minister of State, Ministry of Trade and Industry and Ministry of Education, said, “Student welfare is a key consideration in our efforts to uplift the private education sector with the new regulatory regime. The establishment of industry-wide insurance is a significant enhancement which will provide an additional safety net for students, over and above legislative provisions under the Private Education Act. As we take steps to enhance our private education sector, we need the support and collective ownership of all stakeholders - industry players, students and parents - to make the learning experience in Singapore an attractive and enriching one.”
Prior to this refinement, there was already provision for all students enrolled in EduTrust-certified PEIs to enjoy fee protection under the Private Education Act. PEIs that apply for the EduTrust mark are required to participate in a Fee Protection Scheme, with the option of either an ESCROW account for the fees, or purchasing fee insurance protection. However as EduTrust certification is voluntary, PEIs that choose not to obtain the EduTrust mark will not be bound by these requirements.
Even with the enhanced refinements, the new regulatory regime cannot by itself prevent regulatory infringements or avert school closures. Students themselves should be discerning and carry out due diligence before deciding on their choice of PEIs and course of study.
Establishment of the CPE
The CPE was officially established as a statutory body of the Ministry of Education on 1 December 2009. Beyond its regulatory functions, the CPE will promote consumer awareness through public education initiatives; provide student services and support channels that prospective and current students of PEIs could turn to for assistance; and facilitate industry development and promotion. The list of Board members of the Council for Private Education is at the Annex.
Annex
Council for Private Education
- Mr Lin Cheng Ton
Chief Executive Officer, Nanyang Polytechnic International - Mr Choe Peng Sum
Chief Executive Officer, Frasers Hospitality Pte Ltd - Mr John Gregory Conceicao
Director, Strategic Planning, Singapore Tourism Board - Ms Choy Sauw Kook
Assistant Chief Executive (Research, Capabilities and Planning), SPRING Singapore - Mr Khoo Chin Hean
Deputy Chairman, National Institute of Education Council - Mr Edmond Khoo
Deputy Principal, Temasek Polytechnic - Mr Leong Keng Thai
Deputy Chief Executive & Director-General (Telecoms), Infocomm Development Authority of Singapore - Mr Andrew Lim
Senior Partner & Co-Head of Corporate Mergers and Acquisitions, Allen and Gledhill - Professor Lim Mong King
Senior Advisor on Globalisation, Nanyang Technological University - Ms Tan Gee Keow
Director, Higher Education, Ministry of Education - Mr Teo Eng Cheong
Chief Executive, Competition Commission of Singapore - Mr Toh Wee Khiang
Executive Director, Human Capital and Professional Services, Economic Development Board - Dr Gary Willmott
Executive Director, Institute for Adult Learning, Workforce Development Agency - Mr Zainudin Nordin
Mayor, Central Singapore District, and Executive Secretary, Education Services Union - Mr Henry Heng
Chief Executive Officer, Council for Private Education