FINANCING OF THE PROGRAMME
97. The expert groups were requested to work out the norms of cost for various items for each subject. The norms suggested by the groups are tentative and will vary In the context of local conditions. In some Institutions, it might for instance, be possible to provide space for installation of computer terminals or housing additional laboratory equipment. In others it might be necessary to create workshop facilities for institution-based practical training. Each institution will have to undertake a systematic exercise of determining, as realistically as possible, what it can deploy from its existing resources and what minimum additional resources it will require for the introduction of a specific subject. The possibility of using resources available in nearby institutions, particularly those which have specialised facilities - like equipment for instrumentation and those which engage in production activities, must be taken into consideration while projecting resource requirements. It is suggested that, in the first instance Institutions should aim at introducing vocational courses which do not require large scale creation of infrastructure. The success of the programme should be guaged by first making a modest beginning.
98. The subject-wise requirements, worked out by experts are indicated in Volume I-III. Annexure-I indicates the norms for UGC's support. Each institution should be required to submit its requirements in the format given below:
Subject:
A.Non-recurring i) Space (Workshops/Workshed, class-rooms, Laboratories etc.)
ii) Equipment
iii) Books
B.Recurring per year i) Faculty Remuneration
a) Additional Positions
b) Guest faculty
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ii) Stipends/scholarships
iii) Materials Production
a) Workshops
b) Zeroxing/Printing
iv) Teacher Preparation
v) Transportation
vi) Books and Journals
vii) Consumables
viii)Contingencies
ix) Miscellaneous
99. The Committee has estimated that the requirement of funds to finance the proposed programme would be of the order of about Rs.111.20 Crores in the remaining four years of the Eighth Five Year Plan. The breakdown into recurring and non- recurring components would be Rs.46.05 Crores and Rs.65.15 Crores respectively. Annexure-I indicates the assumptions which have been adopted to estimate the cost of the programme.
100. The Committee would like to make general observations about financing the programme. It feels that, in the prevailing constraint of resources, the suggestions given below need serious consideration.
101. As a matter of policy and practice in the past, innovative programmes of educational intervention have been financed mainly by Central Government. Many items of expenditure have been highly subsidized. This leads to initial acceptance of the scheme by some states/universities. The fate of the scheme after the end of a given five year plan, when central assistance ceases, causes problems such as unenthusiastic acceptance, insufficient financial support from their own resources and the lack of politico-administrative commitment. On the other hand, in the absence of substantial financial support from the Centre, a new programme remains virtually a non-starter.
102. In view of the above problems the present scheme, the Committee feels, should be based on near total financial backing for only the first 3 years for building infrastructure, curriculum development, staff preparation and other significant requirements. Subsequently, colleges and universities providing vocational subjects should aim at financial self-sufficiency to the extent possible on a subject to subject basis. The main success of the programme, to be evaluated after a five-year period, should be judged among other things on the basis of absorption of the graduates into the work force in their respective areas of specialization and the ability of an institution to be self supporting. These two parameters are closely linked to each other since if a college or a university is able to raise its own resources though productive commercial ventures, it would reflect in the quality of its graduates, particularly the relevance of their knowledge and skills.
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103. Vocational education programme in those trades and institutions where a strong infrastructural base is provided by central financing would have to take upon themselves the role of resource generation since a model based on massive monetary input from outside suffers from the intrinsic fault of being shortlived. Massive funding would, without any doubt, never be enough to meet the requirements of large scale intervention. For these programmes to sustain themselves for long, it is imperative that they recognize the following principles of financing:
a) UGC funds will be provided initially forinfrastructure and other purposes needed to start the activity. This may broadly follow the pattern of vocationalization of +2 stage, of course with higher initial inputs as necessary, keeping in view the stage of education.
b) Direct beneficiaries - students and employment establishments - should share a major burden of providing running expenses. In the present period of severe financial constraint for higher education, there may be no other option. This is true for any programme which is implemented on a fairly large scale in order to have meaningful impact. It also conforms to the new measures of economic reforms and market orientation of the economy. A differential fee structure, coupled with loan facilities and generally higher fees than those charged for general education courses, will not only add prestige to vocational options but would also ensure their effective implementation.
c) The facilities, faculty and student resources of the institution be deployed to meet some economic needs of the community on commercial or partly commercial basis. This would help students to earn while they learn, the teachers to receive incentive money and an institution to improve its programmes and facilities. As an added benefit, this will help students to receive entrepreneurial and on the job training. As a matter of fact this may be the only modality to provide practical experience of running an enterprise on commercial lines in rural and remote areas.
104. The above three cardinal principles would demand greater community linkage and decentralized implementation even when the basic model is centrally recommended. This modality has been successfully implemented in many countries and it is high time that it finds acceptance in the Indian context.
105. The concept of resource generation by vocational institutions was discussed with the representatives of employees who participated in the workshops organized by the Core Committee. A number of instances of income generation by educational institutions were brought to the knowledge of the Committee and the idea was strongly recommended. A word of caution was added viz. to always keep in mind the managerial and organizational aspects. It was suggested that in order to make this concept operational on ground, the techno- managerial competence of an institution must be developed through training, wherever necessary. This could become part of the entrepreneurial development course which the Committee has suggested.