How to Open a New University in India? The Salient Facts to Know before FINAL DECISION!

Abstract

The University Grants Commission (UGC) was established by an Act of Parliament in 1956 to coordinate, determine, and maintain standards of teaching, examination, and research in university education. Now, UGC has become an important pillar of higher education.

As per the UGC act and the regulations, private universities are established by an act of a local legislative assembly and listed by the UGC in the Gazette upon receiving the act. As confirmed by ruling of the Supreme Court of India, recognition by the UGC is required for the university to operate.

The contents of this blog cover the following

1. Introduction

2. Kinds of universities 

3. Formalities for conversion of a college into a university

4. Cost to open a university in India

5. Nature of sponsoring body

6. Factors to be fulfilled

 for opening a new University

7. Statutory organizations

8. Determination of Fee

9. University Curriculum Composition

10. Submission of Information to UGC

11. Examining the Documents

12. Inspection of University

13. Major Problems with Opening University in India

14. Land requirements

15 Additional Value Adding Factors

16. Factors for Rejection or Acceptance: One must know

17. Conclusions 

So let's get set go!

1. Introduction: How to start a private university?

The laws state that a private university should be a singular entity that has sufficient teaching, examination, and research facilities in addition to extension services. A private university created as per a State Act operates generally within the territorial boundaries of the state where it is inaugurated.

However, there are many issues which required to understand fully before deciding to open a new private university.

So let's start exploring step by step about opening a new private university.

2. How many kinds of universities are there in India?

There are five kinds of universities in India,

1. First being the Central Public Universities, there are the universities are established by the Government of India.

2. Next, are Institute of National Importance these universities are also established by the Government of India like IIT and IIMs.

3. The third kind is the State Public University established by State Government under State Policy, these policies differ from state to state.

Deemed Universities are private institutes having infrastructure and quality of a university and 

5. Lastly, State Private Universities which are established by the State Government by passing a special act passed in State Legislative Assembly and is further published in the State Government’s official gazette, without this process, University is considered as a fake university by UGC a regulatory authority.

3. What's the formalities for conversion of a college into a university?

If any institution wants to establish itself as a self-financed or private university, then they must approach to the concerned State Government and Higher Education Ministry and start the following process. 

1. Then they must apply to become a State Private University by following the guidelines and format provided by the particular state. 

2. The institution also has to approach the concerned higher education ministry to obtain format of application, fill the data with correct information about the land owned, funding and/or sponsoring bodies, required physical infrastructure and academic infrastructure (in the form of professors and faculty that is required with their qualification), programmes that will be offered. 

3. This document is filled as per the guideline of the concerned state government and higher education ministry of the state.

4. How much does it cost to open a university in India?

The investment required for your venture would range from 2 to 3 Crores. So, you need secure funding options. You can either borrow money from the moneylenders or approach banks that provide loans to aspiring edupreneurs.

5. What's the nature of The Sponsoring Body?

The proposal for the establishment of Private University shall be submitted by a Sponsoring Body along with a demand draft of Rs.as fixed in favor of the Director, Higher Education.

The constitution of sponsoring body shall be:-

(a) A Society registered under the Societies Registration Act, 1860 (Central Act No. 21 of 1860); or

(b) Any Public Trust registered under the State Public Trusts Act, or the Indian Trusts Act, 1882 (Central Act No. 2 of 1882) or under the relevant laws in any other State or Union Territory or

(c) A Company registered under Sec 25 Companies Act, 1956.

So, by virtue of the definition of “sponsoring body”, anyone who wants to setup a private university can only do it through a non-profit entity – a society, trust, or a Section 25 company.

 6. Factors to be fulfilled

 for opening a new University

The private universities of India need to satisfy the minimum guidelines for several areas such as:

• Programs
• Infrastructure
• Faculty
• Financial feasibility

7. Statutory organizations

Following are the statutory organizations, aside from the University Grants Commission (UGC) whose guidelines have to be followed by the new universities in India:

• All India Council for Technical Education (AICTE): engineering courses
• Indian Nursing Council (INC): Nursing courses
• Bar Council of India (BCI): Law. courses
• Medical Council of India (MCI): , Medical courses
• Distance Education Council (DEC): Open university 
• National Council for Teacher Education (NCTE): Teacher Education 
• Dental Council of India (DCI): Dental courses
• Pharmacy Control of India (PCI): Pharmacy courses 

8. How to determine Fee?

With regards to fees and process of admission, the university in question will be required to follow the norms laid down by the UGC and other relevant statutory bodies.

9. University Curriculum Composition
The degree and diploma programs of a new university at the undergraduate and postgraduate level need to have the formal consent of the following constituent bodies of the same:

• Board of Studies
• Governing/Executive Council
• Academic Council

The university will be required to adhere to the norms related to curriculum laid down by the UGC or any other relevant statutory body. It will also need to follow all the modifications that are done to the existing norms in this regard. 

10. Submission of Information to UGC?

The private organization will have to provide detailed information regarding the following areas of its various programs to the UGC before initiating them:

• Curriculum structure
• System of evaluation and examination
• Content
• Eligibility criteria for admitting students
• Process of teaching and learning

11. Examining the Documents?

The UGC will conduct a thorough analysis of the information thus provided and also look into the feedback and complaints from the students regarding the curriculum. 

It will also seek additional opinion on whether the proposed programs have followed the UGC norms and all the possible problematic areas.

The UGC will then inform the concerned university about the shortcomings – the university will consequently need to address these areas and then offer the modified versions of the concerned programs.

12. How Inspection of Universities in India are carried out?
The UGC conducts inspection of the university at definite intervals. This is also applicable for the off campus centers, offshore campuses, and study centers of the same.

The UGC will also collect important information in this regard from the university in question. This is done as per the UGC (Returns of Information by Universities) Rules, 1979 – the amendments to the same will also have to be followed as and when applicable.

13. What are the major Problems with Opening University in India?
The major factor for opening a university in India is to present a new dimension to technology, science, and other emerging disciplines. Infrastructural requirements are another major issue in this regard.
The Indian government normally provides special incentives for inaugurating universities in remote areas. In recent times several deemed universities have been de-affiliated for being unable to satisfy the required guidelines regarding faculties.

14. What are the major challenges new universities face?

1. The cut-throat competition between universities. 
2. Getting admissions is another big challenge for a new university since a new university has to create a brand name, a positive image and clientele which attracts students. 
3. Admissions are a big challenge for new universities.
4. Non availability of qualified faculty 
5. Not preferred by students 

So, New universities should focus on getting quality faculty that can become guides to the students and also create an ambience of research culture. Because,

1. “Teaching and Research are backbones of every university”

2. “Students and parents are becoming more choosy when it comes to courses”

Colleges turned universities have an advantage over new universities as they have a legacy attached to it. 

“New Universities can also create a mark”

The research phase should include studying other universities in the neighbourhood, state and internationally, study their programs, visions, missions, strategies etc.. Aspiring universities should also survey the students around the neighbourhood to understand what all courses attract them, what new courses they want etc. 

“Universities should have both Global and Local missions”

16. Land requirements for opening a university 

Land norms are a contentious issue, since land constitutes the majority of the initial capital expenditure incurred to establish a university. The greater the minimum requirement of land, the more unattractive it becomes to the private players. It is tough to buy contiguous land near cities,

Sponsoring body must acquire 1. Not less than 10 acres of land for its main Campus if single domain 

2. 25 acres of land if multi-domain.

17. The Additional Value Adding Factors

The following items can add value to the proposal for setting up a university

1. Availability of Books, Journals and other information

2. Provision of Endowment Funds

3. Justification for establishment of university.

4. Prior experience in education sector 

18. Factors for Rejection or Acceptance of a university proposal: One must know

1.financial soundness

2. background of sponsoring body

3. Potentiality of courses.

4. Reputation 

5. Commitment to follow norms.

6. Operations and Accreditation

7. Granting of affirmation to the colleges

8. Growth possibility

9.  Norms for Dissolution of a private university

19. Conclusions 

Education plays a significant and remedial role in balancing the socio-economic fabric of the Country. The Dept of higher education is engaged in bringing world class opportunities of higher education and research to the country so that Indian students are not finding lacking when facing an international platform. For this, the Government has launched joint ventures such as university, institute and signed MoUs to help the Indian student benefit from the world opinion.