The review of an existing partnership between three stakeholders for the delivery of the Student Housing Infrastructure Programme (SHIP) has reached its final stages.
These stakeholders include the Department of Higher Education and Training (DHET), National Treasury, and also the Development Bank of Southern Africa.
A total budget of R2.136 billion has been approved for the funding of Phase 2 SHIP projects at four institutions of higher learning and the planning of these projects has also kicked off.
The Nelson Mandela University, NorthWest University, University of Western Cape, Nelson Mandela University, University of Fort Hare, and Vaal University of Technology are institutions that received just over 8000 beds at a cost of R2.13 billion
In this year’s budget vote speech, Minister of Higher Education, Science, and Technology Dr. Blade Nzimande has announced:
Our budget for the 2023/24 financial year (for the entire sector) is R133.8 billion, with an annual average increase of 5.3%.
As of the 2023 academic year, the National Student Financial Aid Scheme (NSFAS) continues to pay for the full cost of study which includes full tuition, and accommodation limited to R45 000 per annum.
The NSFAS student accommodation cap exists as a measure to ensure that the department curbs overreaching by student accommodation service providers.
“It stands to reason, that NSFAS should be involved in the student accommodation space and introduce controls as it spends approximately R14 billion a year on student accommodation, “ added Nzimande.
The government bursary scheme has opened its accreditation portal to accommodation providers to apply for accreditation.
Currently, a total of 8196 beds have been accredited covering the Eastern Cape, Gauteng, and KwaZulu Natal provinces.
How Has NSFAS Student Been Affected By The Housing Cap?
The government bursary scheme pointed out that the student accommodation allowance cap of R45,000 for the 2023 academic year for university students has caused some students to struggle to find affordable housing near their campuses.
This came after NSFAS discovered that there had been price fixing and in some instances collusion from university staff for high housing tertiary costs.
