The controversial new university funding is student-centered and will rescue the cash-strapped institutions from the current financial hole, Education CS Ezekiel Machogu has said.
In a statement to Parliament in the wake of public uproar over the new higher education funding model, the CS made a case for the system.
“The model is student-centered. Under the new funding model, the funding will be awarded to students according to the need level,” the CS said.
According to the CS, the new model provides equity to students in the provision of scholarships, loans and bursaries as it’s based on need.
In addition, it will enhance inclusivity as every student who attains university entry grade will be funded according to the level of need.
“The model will increase cash-flow to universities as it eliminates the risk of underfunding of the institutions because the funding is student-centered and based on the actual cost of the programme,” he said.
Machogu said the new model will motivate universities to raise additional resources and enhance the quality of education so as to attract more students in a competitive environment.
The CS wrote to Parliament through Majority Leader Kimani Ichung’wa following uproar in the House last week.
The MPs had demanded the suspension of the new model saying it would lock out many students from government funding.
President William Ruto unveiled the new university and TVETs funding model on May 3.
He said it was aimed at primarily benefiting students from extremely poor backgrounds.
He said universities and TVETS will no longer receive block funding in the form of capitation based on a Differentiated Unit Cost.
But the lawmakers said the model would be prone to corruption.
"If we do not act as a House, I'm afraid we are going to lose so many brains that ought to have been plugged into classrooms that are going to be languishing out here," Nyando MP Jared Okelo said.
"I do not want to see a situation where we register several suicide cases who cannot access university education," he added.
Gilgil MP Martha Wangari called for the new capitation model to be subjected to public participation.
Wangari said students who used to survive on Sh20,000 in high school are finding it hard to raise hundreds of thousands of shillings to be able to pursue university courses.
"Right now, they have quotations and invoices of Sh300,000 to 400,000 for courses. This model needs better public participation and this House needs to lead that process," she said.
Under the model, learners from vulnerable and extremely needy families have equal opportunities at accessing university education.
Needy students will receive government scholarships of up to 53 per cent and loans of up to 40 per cent.
“Parents will only pay seven per cent of the total cost of their university education,” Ruto said.
Those joining TVETs will receive government scholarships of up to 50 per cent and 30 per cent in loans. Their households will pay 20 per cent of the costs.
Machogu said the model is turnaround in university education.
“The total funding requirement for the new funding model is Sh39.4 billion for financial year 2023-24. To support this model, the government has already increased resources by Sh12.5 billion,” he said.
The CS said the students will be awarded an allowance for their upkeep (accommodation and daily subsistence).
He added that model delinks placement from funding. Students will apply for funding after being placed by the Kenya Universities and Central and Placement Service.