University & Technical and Vocational Education and Training Colleges Registrations and Enrolments 2014; National Students Financial Aid Scheme briefing on allocations to Universities & FET colleges

Meeting report

Chairperson’s opening remarks

The Chairperson welcomed Members and officials from the Department of Higher Education and Training (DHET) to the meeting. He acknowledged the presence of the Minister of Higher Education and Training, Dr Blade Nzimande. He said student representatives from various universities had also been invited and their contribution was welcome.

Overview by Minister Blade Nzimande

Minister Nzimande, Minister of Higher Education and Training (DHET) thanked the Committee for the invitation and welcomed all members to the meeting. He said the purpose of the meeting was to brief the Committee on the progress made by the DHET on registrations at universities and colleges, and also to highlight some challenges the DHET faced and then provide the interventions implemented. He reminded Members that registrations at these institutions were not yet closed.

Minister Nzimande said the National Students’ Financial Aid Scheme (NSFAS) presented one of the most impressive achievements, not only over the last 20 years but more recently over the last 5 years. The NSFAS budget had tripled from R 3.1 billion to just over R 9 billion over the last 5 years. Of this, about R 2.1 billion was recently allocated to technical colleges. With regard to headcount, he said there were more students enrolling in Further Education and Training (FET) Colleges than at universities. The DHET therefore needed to work towards meeting the rapidly increasing needs of the country. He said the majority of students who came from poor families were receiving NSFAS, however there were still many leakages in the system. For example, many students who did not qualify for NSFAS were still able to access funding and this was one of the serious challenges. In an attempt to curb this challenge, the DHET was looking to partner with the Committee.

With regards to the student demonstrations around NSFAS, Minister Nzimande said the DHET had engaged with universities in 2013 to discuss funding allocations and projections for the coming year; all student organizations were invited to meet with the Minister and to discuss how the registration process could be better handled. However some student organisations such as the Democratic Alliance Student Organisation were not at the meeting. He said a task team had also been set up by the DHET to work with students in an attempt to deal with some of the challenges students faced. Minister Nzimande said he had also personally paid visits to some of the more problematic universities such at the Durban University of Technology. However, some of the root causes of the problems at these universities were institutional weaknesses. In addition, NSFAS did not have a relationship with the students. Money was given directly to universities and each institution responded differently to the needs of its students and NSFAS had no control around how the money was allocated. There was therefore a need for NSFAS to move towards having a direct relationship with students. However, the disturbances at some universities were not as out of hand as the media had portrayed them to be. He said students who were destroying property were completely out of line and that kind of behavior was unacceptable.

Mr Gweninkundla Qonde, DHET Director-General, thanked the Minister for providing the overview and introduction to the Committee. He said the headcount for overall patterns for enrolment and registration for FET colleges had increased by 131% from about 345 000 in 2009 to around 800 000 in 2014. Student headcount enrolments at universities would increase by 19% from 837 779 in 2010 targeting 1 000 328 in 2014. In addition the NSFAS budget for the 2014 academic year would assist more than 435 000 students at all 25 public universities and 50 FET colleges. He said the NSFAS student bursary funding at FET colleges increased from R 318 million in 2010, which benefitted 61 703 students. The NSFAS student bursary funding at universities increased from R 2.2 billion in 2010 to R 7.6 billion, benefitting over 235 000 students.

DHET Presentations on University Registrations and Enrolments 2014

Dr Diance Parker, DHET Acting Deputy Director-General: University Enrolments thanked the Committee for the invitation. She said the Department negotiated enrolment figures with universities in cycles. The previous cycle resulted in a national enrolment plan and output targets for the 2011 to 2013 academic years. It had since been decided that the DHET needed to have a longer term planning of about 6 years, with a mid-term review. She explained that the presentation would outline the enrolment figures for the total number of First Time-Entering (FTEN) students and FTEN students enrolled in scarce skills areas.

For the FTEN students enrolled in scarce skills areas (2012 -2014 academic years), she said the total preliminary and unaudited headcount for 2013 was 158 007 students while the projected target for 2014 was 197 946 students; an 8% increase between 2012 -2014. She explained that for engineering the preliminary figures indicated that 12 911 students would be enrolled in the faculty nationally, 9 169 enrolments for life and physical sciences, 7 933 enrolments for animal and human health while 12 324 FTEN enrolments were expected for teacher education for 2013.

She explained that registrations consisted of 3 types; year courses, first semester courses and second semester courses therefore because the individual headcount enrolments in the academic year occurred at different times in the year the final preliminary registrations for the 2014 academic year would only be available in August 2014. The audited data would be available in October 2015. She said as at 14 February 2014, FTEN registrations were at 126 811, total undergraduate registrations were at 638 044 while total postgraduate registrations were at 100 789 students. The total number of registered students as at 14 February 2014 was 742 416 while the enrolment target for the DHET was 972 000. She explained that the DHET through the Central Applications Clearing House (CACH) had been in contact with universities on spaces available at universities; 16 universities had indicated that they had registered their full complement of FTEN students. The CACH targeted grade 12 learners who had not applied but found they were eligible for university studies as well as grade 12 learners who were not successful at the institution of their choice. The purpose was to ensure that in 2014 applicants received better guidance than in the past.

Dr Parker said despite massive NSFAS budget increases between 2011 and 2014, the demand still exceeded the funding available. She highlighted some of the challenges around NSFAS to be as follows:

1. NSFAS shortfall: Universities reported a shortfall of R 2.6 billion on their 2013 allocation, the DHET provided an additional R 1 billion from the National Skills Fund (NSF).
2. Disbursements by universities: Disbursements of funds are done by institutions. Inconsistencies within the system in allocating NSFAS funding. Each university has its own processes. Students also signed Loan Agreement Forms (LAF) without  knowing the award size
3. Policy of only granting BTech funding to students where it was a requirement to register with a professional council to practice a profession.
4. Late payments by NSFAS to institutions.
5. NSFAS central application process
6. Fraud and corruption
7. Late/ no repayment of loans by former NSFAS students.

DHET Presentation on Technical and Vocational Education and Training (TVET) Colleges, Registrations and Enrolments

Dr Maboreng Maharaswa, DHET Deputy Director General: Vocational and Continuing Education and Training (VCET), greeted all members present and thanked the Committee for the invitation. She said as at 8 February 2014, VCET colleges had enrolled 344 806 students. She explained that the top three provinces with the highest number of enrolments were Gauteng, Kwa-Zulu Natal and Limpopo while the provinces with the least number of enrolments were North West, Mpumalanga and Northern Cape. She said the DHET assisted VCET colleges in planning for 2014 enrolments, particular attention was given to the Eastern Cape and Limpopo provinces where additional personnel and technical assistance was deployed. The staff seconded to these two provinces was trained by the DHET to support, monitor and verify the enrolment process.

With regards to enrolment information and access she said clear signage was displayed at all appropriate areas at the colleges. Also all prospective students arriving at campus for registration were given information packs outlining the enrolments process and the layout of the campus for example. In addition a special desk was provided to provide comprehensive financial services information such as bursaries, accommodation and study fee matters. She said there were some issues which arose from the 2014 enrolments, and these were raised primarily due to incident reports submitted by the DHET monitors at the colleges. Some of the issues raised related to:

• Registration fees. Students were being turned away due to their inability to pay registration fees. An instruction was given to all colleges to register students qualifying for financial support without them paying registration fees.
• Accommodation of students continues to be a challenge during and after the enrolment process. Rural and peri-urban campuses had limited accommodation facilities.

Dr Maharaswa said the R 2.1 billion NSFAS allocation for FET colleges would be insufficient to cover accommodation and travel bursaries for recipients. In addition the administration of the bursary remained a challenge at some colleges, therefore NSFAS was piloting a centralized bursary scheme in five colleges to improve the administration of the bursary. The implementation of the Bursary Rules and Guidelines was faced with challenges at some colleges. The guideline on accommodation and travel has also been met with some challenges. Students whose homes are within 40km radius of the campus do not qualify for accommodation.

She concluded that individual reports would be made available to all colleges. Weaker colleges would be identified for additional support in the April 2014 enrolment process and verification reports on each college would be submitted to the DHET on 3 March 2014.

The Chairperson thanked the DHET for the presentations.

Discussion

Mr A Mpontsane (IFP) thanked the DHET and NSFAS for the presentations. He said university autonomy with regards to enrolment and registration policy was a challenge in many respects. For example the university point system was preventing students from registering and this challenge needed to be addressed. What discussions had the DHET had with universities about their point systems? With regard to increased enrolments of scarce skills; how many of these new enrolments were previously disadvantaged students? Not a lot of students from previously disadvantaged backgrounds were enrolling into the engineering faculty for example. On the professionalizing of teaching he asked that the DHET explain how it would go about achieving this. What criteria were in place to measure progress in this regard? 

Dr L Bosman (DA) congratulated the Minister and the DHET on the report. On university entrance, he asked about the DHET’s plans to improve scarce skills development especially around human health and teaching. Was the DHET satisfied with the number of students who were receiving training in the field of teaching; seeing that quality teachers were such a vital necessity? What was the DHET doing to improve the enrolment of students into engineering studies? He argued that the R 9.1 billion allocation to NSFAS was a lot of money, even though it’s been highlighted as not being enough. He said there needed to be stricter selection criterion for funding and a means test must be strictly adhered to. If students did not qualify for funding, funding would therefore not become the universities responsibility. Students needed to be encouraged to do well academically in order to receive NSFAS funding. He said the ratio between NSFAS funding allocation to universities and to FET colleges was not a balances one. He acknowledged that universities were more expensive, but he argued that college students needed more funding, especially because accommodation for FET students was such a challenge. FET students therefore needed to be give food and travel allowances.

Mr S Makhubele (ANC) agreed with the DHET that students who disrupted property during protests demonstrated unacceptable behavior. He said these students needed to be arrest and expelled for the destruction of university property. On the matter of corruption around NSFAS allocations he said most students who tampered with the application forms were students who fell into the category of qualifying students but who could not receive NSFAS funding because their parents were civil servants. What was the DHET doing to address this problem? On the BTech matter he said the BTech was equivalent to a degree and these students therefore needed to be allocated funds to further their studies if they wished to. Because institutions of external funding such as the National Research Fund (NRF) did not fund all students. He raised a concern around the Walter Sisulu University which had experienced major disruptions over the last few years; was this university still sustainable and how was the DHET addressing the challenges of maladministration?

The Chairperson asked that all Members who had question raise them so that the Minister could respond. The Minister had another engagement to attend and would not be present for the duration of the meeting.

Mr S Radebe (ANC) asked whether the 2014 enrolment figures for university registrations included the two new universities at Mpumalanga and Northern Cape. He suggested that students who defrauded the NSFAS system be charged with a criminal offence and/or expelled from their studies because they were robbing qualifying students from receiving the much needed funding from NSFAS. Students should first be awarded amnesty to return the monies, if they fail to do so they should be charged. Seeing that DHET took R 1 billion from the NSF to cover the R 2.6 billion shortfall; where would the remaining R 1.6 billion come from?

Dr Nzimande thanked Members for the engagements with the presentations. He said the Committee was a very useful platform for engagements, as the DHET received very useful feedback from Members. The problem however was that the Committee was meeting at the same days as Cabinet, therefore Ministers were required to attend Cabinet, subsequently missing out on the Committee meetings. This matter had been raised with Cabinet. He responded to the question on the point system and agreed with Members that there needed to be more transparency about admission requirements. On the R 1.6 billion shortfall, he said R 5 billion had been taken from the NSF to fund FET colleges and universities over the next 5 years. The NSF was meant to address the issues of youth unemployment, seeing that there were about 3.4 million unemployed youth in the country. He said a summit would be held at the Walter Sisulu University to address the seriousness of the challenges facing the institution. The Committee would be updated on the progress and outcomes of the engagements. He replied that the University of Mpumalanga opened for classes on 19 February 2014. He argued that the DHET was determined to deal with the corruption around NSFAS. However the DHET’s plans could not yet be disclosed to Members or the public.

Mr Gwebinkundla replied to the question on scarce skills and said a study was being commissioned to look at the role of professional bodies in the area of scarce skills. Each professional body was therefore working out an action plan on how it would be responding to the DHET’s recommendations, especially with regard to the training of black students from previously disadvantaged communities in the areas of engineering, health, education etc. the DHET was also working to develop a regulatory framework in this regard. In addition, the DHET was undertaking audits to identify systemic blockages and devising strategies on how these would be addressed. On the remaining R 1.6 billion, he said the DHET had engaged National Treasury and the details of these engagements would be shared with the Committee at the appropriate time.

Dr Parker said the information on the racial breakdown of new students being enrolled for scarce skills would be made available to the Committee at the end of the meeting. On the question of whether the DHET was doing enough to attract students to the teaching profession, she replied and said in 2008 the DHET produced 6112 new teachers into the system but this fell far short of what the country required. In 2012 the DHET produced 13 141 into the system, more than double the number of graduates who were coming into the system. She said the enrolment showed that by 2019 the DHET would be providing 24 000 new teachers into the system annually. The DHET therefore would be providing more or less of what was needed. The key issue however was the type of issue which was required. The DHET therefore introduced the Foundation Teacher Education Programme.

She acknowledged that the DHET was not producing enough graduates around health sciences and the DHET therefore needed to work out an integrated plan in a way which would start matching these needs. Teacher education was also very important. She said the DHET was currently working towards establishing a Joint Health Sciences Committee between the DHET, the Department of Health and Treasury to enable the DHET to work towards understanding the needs of the health profession and their development needs. In terms engineering, she said the DHET produced 9387 engineers into the system in 2012, and it was expected that by 2019 the DHET would be producing nearly 13 500. FTEN were however increasing annually.

Mr C Moni (ANC) asked whether the university strikes were being adequately managed by the DHET.

Presentation: Student Financial Aid Allocations to Universities and FET Colleges 2014, NSFAS

Mr Msulwa Daca, Executive Officer, National Students’ Financial Aid Scheme (NSFAS), gave an overview of the mandate of NSFAS. He said the mandate of NSFAS was to disburse funds to students at the 25 public universities and 50 (FET) colleges. Applicants needed to meet the NSFAS eligibility criteria of financial need and academic ability in order to qualify for funding. He agreed with the DHET officials that despite the substantial increases in NSFAS funding over the last 5 years, funding still fell short of the demands from eligible students. Disbursements to students were done by each university differently. He said over R 7 million was allocated by NSFAS to about 235 000 students during 2014.

The universities which received the most funding were the Tshwane University of Technology (R 874 342), University of Johannesburg (R 517 196), University of Kwa-Zulu Natal (R 477 123) and the University of Fort Hare (R 397 325). The universities which had the least allocations were the Central Johannesburg College (R 49 637), Rhodes University (R 47 314) and Stellenbosch University (R 134 069). He explained that in the pilot programme the challenges related to the provision of student financial aid had become visible much earlier in the academic year and these problems included:

• Student historic debt. Over R 230 million was provided from the R 1 billion allocated by the National Skills Fund to pay student debt.
• Prior year claims in excess of allocation. Universities claim R 370 million more than what was allocated while FET colleges claimed R 161 million more during 2013.
• Current year funding shortfall. It was estimated that a R 2 billion shortfall of funding for around 50 000 students. NSFAS was however collecting data from institutions to quantify the funding shortfall for registered, unfunded and underfunded students.
• Unfunded programmes. Students for the BTech required around R 500 million per year and some universities did not fund this programme.

Mr Daca explained that NSFAS provided advance payments to universities and colleges; universities were provided with up to 30% of their annual allocation while colleges were provided with up to 10% of their annual allocation for 2014. These upfront payments were based on requests by institutions and were funded from loan recoveries. Upfront payments ensured that registration fees were not required from NSFAS students; however some universities still demanded that NSFAS students pay registration fees.

Discussion

Mr Teboho Thothela, Deputy President, South African Union of Students (SAUS) thanked NSFAS for the presentation and thanked the Committee for the invitation. He said student leadership at universities were not being consulted by NSFAS or by universities, however universities expected students to fully cooperative with university policy even though they were mostly in the dark about the entire processes. Student leadership needed to be consulted around the NSFAS piloting process. On student protests he said student leadership did not condemn the violence or the disruptions. However it was important that adequate communication be forwarded to students especially around NSFAS funding. The DHET needed to realize that many institutions of higher learning were victimizing students; students were being suspended without their concerns being heard. The issue of institutional autonomy was a serious concern. On the BTech, he said students were graduating but there were no employment opportunities afterwards, which was why students were registering for postgraduate studies but there was no funding available. He also raised a concern around the exorbitant fees and said the good gains around funding were being undermined by the constant rise of student fees. 

Mr Banele Mzwali, Secretary General, South African Further Education and Training Student Association (SAFETSA) thanked the DHET and NSFAS for the presentations. He said students who lived outside the 40km radium from the institution of higher learning did not receive the NSFAS travel grant; these students were therefore expected to walk long distances to attend classes. 

Ms Nelisile Ginindza, a member of SAUS said NSFAS needed to settle outstanding student fees in time because these outstanding fees were preventing students from registering. She argued that the fraud around NSFAS funding was preventing many eligible and needy students from receiving funding; how was the DHET planning to address this matter?

Mr Makhubele said the BTech issues were being raised by student leaders for their own gain. He argued that no academically deserving student should be excluded from their studies.

Mr J Dikobo (AZAPO) asked that the DHET provide information about funding allocations to the Committee. He said it was not reasonable that students were expected to walk 40 kilometers to attend their classes. He said because accommodation was such a problem, students needed to be incentivized to live at home, and it would work out cheaper if NSFAS provided funding for transport to these students than to pay for accommodation. On the NSFAS upfront payments, he said even though these payments were made so that NSFAS students did not pay registration fees, however some universities were still expecting students to pay registration fees. This was illegal. He also added that student leadership should not be intimidated for advocating for student rights and needs. The DHET needed to intervene.

Mr Mpontsane asked what corrective measures NSFAS took to ensure that students were protected from signing loan agreement forms they did not fully understand.

Closing remarks

The Chairperson said financial exclusions were a matter which needed to be done away with. Increased student fees also needed to be addressed. Increased funding however was not a solution to all the challenges. He said the student pass rates were also a serious concern and the DHET needed to pay much more attention to this factor, rather than thinking that more funding was to solution to the challenges faced at institutions of higher learning.

The meeting was adjourned.