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IPTS will not be affected when PTPTN is abolished

April 24, 2012

FMT LETTER, From S Gobi Krishnan, via e-mail

Power would like to refer to the statements made by BN leaders on the issue of PTPTN abolishment.

It is said that the abolishment of PTPTN will affect the survival of private educational institutions (IPTS) as the students depend on the loans provided by PTPTN.

Power would like to remind all parties that PTPTN abolishment will not affect private college and universities. To the contrary, it will actually strengthen the tertiary private education system in this country.

Firstly, it will ensure that the wealth in the private higher education is shared equally among all private higher education providers, and not only benefit the select few as in practice presently.

Secondly, it will ensure that only the quality providers remain and weed off fly-by-night operators who are only interested in making a quick buck. We have seen many such operators.

Thirdly, PKR has stated very clearly that a special fund will be created to cover the cost of study and living allowances for students in private higher education institutions. As such, IPTS will continue to survive based on demand and supply mechanism.

However, excessive profiteering must not be practiced. Education is a birthright and not a privilege.

The government must remember that providing higher education is part of its core responsibilities. As such, privatising it and forgetting its responsibility, is not the solution.

For an example, the government has provided a soft loan of RM300 million to a private education provider to build its new campus. Firstly, why the need to do this when the government can easily utilise the money to build a public university? Secondly, why only given to one IPTS whereas many others are not assisted?

This kind of questions reveal the real reason why PTPTN must be abolished as it has veered off from its original aims.

In conclusion, students must be given enough access to higher education without burdening them. And private providers must be able to create niche areas for study and make substantial profit by providing such education without the need to look at private education as money making machine only.

As such, providing free education and abolishing loan schemes such as PTPTN, MARA, JPA etc is the only way forward.

The writer is the chairman of Power.