Troublesome NSFAS will be held accountable, says newly elected chair of higher education oversight committee

(Image: Supplied)

By Daily Maverick Reporter

12 Jul 2024

After being elected chair of Parliament’s higher education oversight committee, Walter Tebogo Letsie wasted no time in criticising the National Student Financial Aid Scheme for how poorly it has handled student funding.

The new chair of Parliament’s Portfolio Committee on Higher Education and Training, Walter Tebogo Letsie, has described NSFAS as “a pain”.

Stepping into his role after being elected on Wednesday, Letsie immediately set the stage for the vexed issue that is likely to take up a chunk of the committee’s agenda in the months to come, and which has dominated student protests over the past few years.

The challenges around NSFAS were aired before the committee and then subsequently to Daily Maverick, where Letsie said that no student should go to sleep without having eaten because NSFAS was not distributing allowances.

“It’s a pain for a poor child who seeks only to go to university and get a better education to be subjected to such. We must prioritise service delivery. This Parliament should do things a little bit differently, we are hoping to hold them (NSFAS) accountable while holding the department accountable also,” he said.

Daily Maverick has reported that universities have raised concerns about the payout of allowances for the fund scheme. National Student Financial Aid Scheme (NSFAS) beneficiaries. Earlier this year, some universities said they were still dealing with issues such as outstanding NSFAS payments from 2023 and waiting for NSFAS to finalise students’ funding status for 2024.

The board of NSFAS was dissolved and placed under administration earlier this year.

Read more in Daily Maverick: Universities struggle with ‘perennial’ NSFAS issues as they focus on admission and registration

Letsie (ANC) was a member of the committee during the previous administration.

Discussing the department’s Annual Performance Plan for the upcoming year, committee members Mandla Shikwambana (EFF) and Mnqobi Msezane (MK party) wanted to know how the Department of Higher Education and Training will work with NSFAS as the department aims to increase the targeted number of university students receiving funding through NSFAS bursaries from 417,938,000 in 2024/25 to 434,823 in 2026/27.

Equally, the targeted number of TVET college students receiving funding through NSFAS bursaries will increase from 400,000 in 2024/25 to 440,000 in 2026/27.

Shikwambana questioned what plans were in place for NSFAS to deal with the accommodation and payment issues that have affected students. Msezane asked why NSFAS was responding after it had closed its enrolment cycle when unfunded and funded individuals sent queries to the bursary scheme.

(Image: Supplied)

Although more than 87,000 students were projected to lose funding after NSFAS told Parliament that budget cuts were going to be introduced this year, the department still plans to complete 50% of the two new universities in Ekurhuleni and Hammanskraal in 2026/27 and enrol students in them.

When asked if NSFAS will be able to cope with new students who might be enrolled in the new universities, NSFAS spokesperson Ishmael Mnisi said: “NSFAS has always raised issues of funding, the quantum of funding given to NSFAS does not always equate to the task that is given to it.

“There is a shortage of budgets and we hope that the department and Parliament will help NSFAS get all necessary resources to fund all the students who are currently on the system, and the ones who will join the system for the 2025/26 application season,” said Mnisi.

Read more in Daily Maverick: ‘History in the making,’ says Nzimande as he promises two new universities and community colleges

After the meeting, Baxolile Nodada (DA) told Daily Maverick that the proposed plans largely extended the current financial year’s agenda, with some being achievable. Almost 87,000 students would face significant constraints due to the 10% budget cuts on NSFAS.

“We will have to see the real priorities when the adjustments come through and when the Government of National Unity (GNU) comes through,” said Nodada.

New Minister of Higher Education and Training, Dr Nobuhle Nkabane, was present during the meeting – and undertook to answer all questions raised by new committee members. Nkabane represents the ANC in President Cyril Ramaphosa’s new GNU. Her two deputies are Buti Manamela (ANC) and Mimmy Gondwe (DA).

Read more In daily Maverick: Very big, very bloated, but will the GNU Cabinet be better?

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This article was compiled by reporter Siyabonga Goni.

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