NSFAS Allowance Cap Fuels Tension At Universities


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Universities across South Africa are not having a smooth start to the academic year, as students battle with various challenges, particularly the recently implemented blanket cap on NSFAS student accommodation allowances.


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Student protests have erupted at several public universities over the past few weeks, as students struggle with housing, fee blocks, academic and financial exclusions.

The National Student Financial Aid Scheme’s (NSFAS) decision to cap accommodation allowances at R45,000 per annum has left many students without housing.

They say the new allowance limits aren’t feasible because of the high costs of living and costs for housing across various geographic areas in the country.

The issue has escalated so much so that, at certain institutions, students are being forced to sleep on campus grounds and in lecture halls due to a lack of adequate housing procurement.

To discuss matters raised by students, Higher Education Minister Blade Nzimande met with Universities South Africa (USAf) last week, where they discussed among other things, the NSFAS R45 000 cap on student accommodation.

The meeting resolved to establish a committee comprising the DHET, USAf and vice-chancellors to consider solutions for the cap.

Nzimande adds, "The implementation of the cap must take into account contradictory facts, such as price collusion, differentiated costs of living, and unaccredited accommodation."

In doing so, we must take in account a number of contradictory facts affecting the implementation of the R45,000 cap, inter alia, evidence of price collusion by landlords to profiteering, the realities of differentiated costs of living in various localities where NSFAS students have to find accommodation and the continued existence of unaccredited accommodation establishment that imperil the affordability and safety of student accommodation.

Meanwhile, the South African Union of Students (Saus) has noted that based on their assessment of the student accommodation landscape and several other factors to ensure that it was possible to find adequate housing with the said allowance cap,  it was evident that this could be achieved.

However, the union also highlighted their concerns on the collusion between university officials and private student accommodation service providers who inflate student accommodation prices for NSFAS beneficiaries.

One of our revolutionary mandates is to broaden access to institutions of higher learning, and paying ridiculous and exorbitant accommodation prices to ruthless parasites who seek enrichment form a government social programme is unacceptable.

The Union continues, “We have therefore called on the Department and NSFAS to engage with universities, that after all is said and done, not one NSFAS student should sleep outside, they must for the millions we pay them annually for their salaries derive an expedited and workable solution.”

Nzimande said the committee would meet during this week to look at cases and practical solutions for the current student accommodation crisis.

 

Suggested Article:

NSFAS private accommodation student opening an empty wallet

NSFAS has been a consistent provider of basic accommodation needs for its beneficiaries. However, as of recently, accommodation price hikes have complicated their efforts.


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