The Organisation Undoing Tax Abuse (OUTA) says despite the National Student Financial Aid Scheme (NSFAS) needing 397,000 beds for funded students in 2024, only 6.5% of the required beds were accredited by 4 October 2023. They describe this as a ticking time bomb as the 2024 academic year is around the corner.
OUTA concluded an investigation into student accommodation tenders at the NSFAS and discovered alarming findings. They believe there will not be enough beds to meet the demand for student accommodation in 2024.
NSFAS provides comprehensive bursaries to more than one million students attending Technical and Vocational Education and Training (TVET) Colleges and Universities. These comprehensive bursaries include money for tuition fees, registration fees, meals, stationery and accommodation.
The financial aid scheme wants to ensure that students live in accommodation that is conducive to their learning. This as inappropriate accommodation could have a negative affect on student progress.
To ensure students live in appropriate accommodation, the Department of Higher Education and Training (DHET) published the Policy on the Minimum Norms and Standards for Student Housing at Public Universities.
NSFAS launched the student accommodation portal which allows accommodation providers to register their properties for consideration for NSFAS students.
Once signed in, accommodation providers will be able to list their properties by providing their property names, locations and images. NSFAS will then contact them and send a panel of experts to accredit and grade the properties to ensure that they are suitable for student living.
Rudie Heyneke, Investigations Manager of OUTA Rudie Heyneke anticipates that thousands of students will not have accommodation at the beginning of the 2024 academic year. This is because it is unlikely that NSFAS will accredit enough beds accredited by the time classes commence at universities and Technical and Vocational Education and Training (TVET) colleges
To provide accommodation for any NSFAS-funded student it is compulsory for institutions like universities, TVET colleges and private accommodation providers to register their accommodation on the online portal. There is no alternative method to make accommodation available to NSFAS-funded students.
Heyneke explains that the difference between the number of accredited beds in October 2023 (25,800 beds ) and what's needed (497,000 beds) is a major cause of concern.
I cannot see that they are meeting the target and that will create an emergency. We are very concerned about what is going to happen at the beginning of the new academic year when students apply for accommodation.
Heyneke says stakeholders in the higher education sector must meet as soon as possible to resolve any potential issues before the start of the academic year. They add that NSFAS should also acknowledge the accreditation checks done by universities on property developers.
They said the accommodation cap of R45,000 further aggravated the situation, as developers found it economically unviable. The report suggests that the crisis is a result of mismanagement and calls for accountability.
OUTA plans to submit its report to the Department of Higher Education, the Higher Education Portfolio Committee, and relevant stakeholders. They also intend to share the findings with the Special Investigating Unit and the Auditor-General for further investigation into NSFAS tenders.
You can also access the 2024 school calendar.
