26 Feb 2026·Source: The Hindu

4 min

Polity & GovernanceNEWS

Bill to Replace UGC and AICTE Under Review by Ministries

Viksit Bharat Shiksha Adhishthan Bill circulated among ministries for consultations, government informs JPC.

The draft Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, designed to replace the University Grants Commission (UGC) and the All India Council for Technical Education (AICTE), has been circulated among 39 Union Ministries for inter-ministerial consultations. The Bill proposes establishing a 12-member commission to supersede the UGC, AICTE, and the National Council for Teacher Education (NCTE). A key change is that the proposed commission will not disburse grants; instead, the Education Ministry will handle funding. The government's rationale for separating grant disbursal from regulatory authority is to eliminate potential conflicts of interest and enhance transparency.

This move aims to streamline higher education regulation and funding in India. By centralizing funding within the Education Ministry, the government intends to improve efficiency and accountability in resource allocation. The inter-ministerial consultations are a crucial step in refining the Bill before it is presented to Parliament.

This development is significant for India's education sector, potentially reshaping the regulatory landscape for higher education institutions. It is relevant for UPSC aspirants, particularly under the Polity & Governance section of the syllabus (GS Paper II).

Key Facts

The draft Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, is under review.

The Bill aims to replace the UGC and AICTE.

It proposes a 12-member commission.

The commission will not disburse grants.

Funding power goes to the Education Ministry.

The Bill has been circulated among 39 Union Ministries for consultations.

UPSC Exam Angles

GS Paper II (Polity & Governance): Regulatory bodies in education, government policies and interventions

GS Paper III (Education): Issues relating to development and management of education

Potential question types: Analyzing the impact of the VBSA Bill on higher education, comparing the functions of UGC and the proposed commission

In Simple Words

The government wants to change how colleges and universities are run. Right now, bodies like the UGC and AICTE oversee them. The new plan is to create one big commission to handle this, but it won't give out money. The Education Ministry will do that instead.

India Angle

This affects every student in India. If the new system works well, colleges could become better and more affordable. It could also mean changes in what you study and how your degree is valued.

For Instance

Imagine your apartment complex has a management committee that also decides who gets funding for repairs. Now, imagine those roles are split – a separate finance team handles the money. That's similar to what's happening with education.

This change could impact the quality and cost of education for your children or yourself. It's about making sure colleges are well-run and that everyone has a fair chance to learn.

Education is getting a makeover – who pays and who decides is about to change.

The draft Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, intended to replace the UGC and AICTE, has been circulated among 39 Union Ministries for inter-ministerial consultations. The Bill proposes a 12-member commission to replace the UGC, AICTE, and NCTE, but unlike the UGC, it won't disburse grants; funding power goes to the Education Ministry. The government explained the rationale behind separating grant disbursal from regulatory authority to remove potential conflict of interest and ensure transparency.

Expert Analysis

The proposed Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, signals a major shift in the governance of higher education in India. To fully understand its implications, several key concepts need to be examined.

The University Grants Commission (UGC), established in 1956, has been the primary body responsible for the coordination, determination, and maintenance of standards of university education in India. The VBSA Bill aims to replace the UGC with a new commission, signaling a move away from the UGC's traditional role. The key change is that the new commission will not handle grant disbursal, a function that will now be managed by the Education Ministry. This separation of regulatory and funding roles is intended to address potential conflicts of interest and improve transparency, as stated by the government.

Similarly, the All India Council for Technical Education (AICTE), established in 1945, is the statutory body and a national-level council for technical education. It is responsible for the planning, formulation, and maintenance of norms and standards, accreditation, funding, and monitoring of technical education in India. The VBSA Bill proposes to subsume AICTE's functions into the new 12-member commission, indicating a more integrated approach to higher education regulation, encompassing both technical and general education.

The National Council for Teacher Education (NCTE), established in 1995, is another body slated to be replaced by the VBSA. The NCTE is responsible for setting standards and regulating teacher education in India. By including NCTE in the new commission, the government aims to create a unified regulatory framework for all aspects of higher education, from teacher training to technical education.

The rationale behind separating grant disbursal from regulatory authority is rooted in the concept of conflict of interest. The government believes that having the same body responsible for both regulating and funding institutions can lead to biased decision-making and a lack of transparency. By assigning funding responsibilities to the Education Ministry, the government aims to ensure a more equitable and transparent allocation of resources.

For UPSC aspirants, understanding the roles and functions of the UGC, AICTE, and NCTE is crucial. The VBSA Bill represents a significant policy shift, and questions related to its objectives, structure, and potential impact on higher education can be expected in both the prelims and mains exams, particularly in GS Paper II (Polity & Governance) and GS Paper III (Education).

Visual Insights

Evolution of Higher Education Regulation in India

Timeline of key events leading to the Viksit Bharat Shiksha Adhishthan Bill, 2025.

The evolution of higher education regulation in India reflects a continuous effort to improve quality, coordination, and relevance. The Viksit Bharat Shiksha Adhishthan Bill, 2025, is the latest attempt to streamline the regulatory landscape.

1944Sargent Report recommends a University Grants Committee.
1945AICTE established as an advisory body.
1948University Education Commission (Radhakrishnan Commission) suggests reconstituting UGC.
1956University Grants Commission Act establishes UGC as a statutory body.
1986National Policy on Education emphasizes the need for a statutory body for teacher education.
1987AICTE given statutory powers through an Act of Parliament.
1993NCTE Act passed.
1995NCTE established as a statutory body.
2018Government proposes HECI Bill to replace UGC, but it faces criticism and is not passed.
2020National Education Policy (NEP) 2020 proposes significant changes to the higher education system.
December 2025Viksit Bharat Shiksha Adhishthan Bill, 2025 introduced in Lok Sabha.
February 2026Joint Parliamentary Committee gets extension to submit report on VBSA Bill, 2025.

More Information

Background

The University Grants Commission (UGC) and the All India Council for Technical Education (AICTE) have been central to the higher education landscape in India for decades. The UGC Act of 1956 established the UGC, giving it the mandate to coordinate, determine, and maintain standards of university education. Similarly, the AICTE Act of 1987 conferred statutory powers on AICTE for the regulation and accreditation of technical education institutions. Over time, concerns have been raised about the overlapping functions and potential conflicts of interest within these regulatory bodies. The existing system has been criticized for being fragmented and lacking a unified vision for higher education. The proposal to replace the UGC and AICTE with a single, overarching body reflects an attempt to address these issues and create a more streamlined and efficient regulatory framework. The move towards the Viksit Bharat Shiksha Adhishthan (VBSA) aligns with broader reforms aimed at improving the quality and accessibility of higher education in India. This includes initiatives like the National Education Policy (NEP) 2020, which emphasizes a holistic and multidisciplinary approach to education. The VBSA Bill can be seen as a step towards implementing the NEP's vision for a more integrated and effective higher education system.

Latest Developments

In recent years, there has been a growing emphasis on reforming the higher education sector in India. The National Education Policy (NEP) 2020 has been a key driver of these reforms, advocating for a more flexible, multidisciplinary, and research-oriented education system. The proposed VBSA Bill is in line with the NEP's vision of creating a more streamlined and effective regulatory framework for higher education. Several committees and expert groups have also contributed to the ongoing discussions on higher education reform. These bodies have highlighted the need for greater autonomy for higher education institutions, improved quality assurance mechanisms, and a more transparent and accountable funding system. The VBSA Bill seeks to address some of these concerns by separating regulatory and funding functions. Looking ahead, the successful implementation of the VBSA Bill will depend on effective coordination between the Education Ministry and the proposed 12-member commission. The inter-ministerial consultations are a crucial step in ensuring that the Bill is well-designed and addresses the needs of all stakeholders. The government has set a target of transforming India into a global knowledge hub, and reforms in the higher education sector are essential to achieving this goal.

Frequently Asked Questions

1. Why is the government choosing to replace the UGC and AICTE now, especially since they've been around for so long?

The move aligns with the National Education Policy (NEP) 2020's vision for a more streamlined and effective higher education regulatory framework. There's a growing emphasis on reforming the sector to be more flexible, multidisciplinary, and research-oriented. Separating grant disbursal from regulatory authority aims to eliminate potential conflicts of interest and enhance transparency.

2. The proposed commission won't handle funding. Why is this separation of powers considered a good idea?

Separating funding from regulation aims to prevent conflicts of interest. When the same body both regulates and funds institutions, there's a risk that funding decisions might be influenced by regulatory considerations, or vice versa. This separation is intended to make the process more transparent and impartial.

3. How does the Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025 connect with the National Education Policy (NEP) 2020?

The VBSA Bill is directly in line with the NEP 2020's goals. The NEP advocates for a more flexible, multidisciplinary, and research-oriented education system. The VBSA Bill aims to create a streamlined and effective regulatory framework to support these goals.

4. If a Mains question asks me to 'critically examine' the VBSA Bill, what are some potential arguments I could use, both for and against it?

Arguments for: Streamlined regulation, reduced conflict of interest, alignment with NEP 2020. Arguments against: Potential for over-centralization of power in the Education Ministry, disruption of established institutions, uncertainty about the effectiveness of the new commission.

5. What specific details about the VBSA Bill could be potential traps in a Prelims MCQ?

Focus on the number of members in the commission (12), the year the bill was introduced (2025), and the number of ministries consulted (39). A likely distractor would be to confuse the number of members in the commission with the number of ministries consulted.

Exam Tip

Remember: 12 members in the commission, 39 ministries consulted. Use 'Commision Dozen' to remember 12.

6. How might the separation of grant disbursal from the regulatory body affect the autonomy of higher education institutions?

It could lead to increased government control over funding, potentially influencing research priorities and academic programs. Institutions might become more dependent on the Education Ministry's priorities. However, it could also lead to fairer distribution of funds, as regulatory capture is reduced.

7. What are the potential implications of this bill for technical education specifically, considering AICTE is being replaced?

The VBSA Bill could lead to a more integrated approach to higher education, blurring the lines between technical and general education. This could encourage multidisciplinary programs and research. However, there's also a risk that the specific needs of technical education might be overlooked in a broader, more generalized framework.

8. Given that the bill is under review by a Joint Parliamentary Committee (JPC) with 31 members, what are the chances of significant changes to the original draft?

The involvement of a JPC suggests that the bill is likely to undergo significant scrutiny and potential revisions. With 31 members from different parties, diverse perspectives will be considered, increasing the likelihood of amendments before it's finalized.

9. Which GS paper is this news most relevant to, and what specific aspects should I focus on for Mains?

This is most relevant to GS Paper II (Governance, Constitution, Polity, Social Justice & International relations). Focus on the governance and polity aspects, particularly the structure and functioning of regulatory bodies, government policies and interventions for development of education sector. Also, focus on potential impact on quality of education and access to it.

Exam Tip

For Mains, prepare points on the potential benefits and drawbacks of the new structure, and how it compares to the existing system.

10. How does the concept of 'conflict of interest' relate to the restructuring of higher education regulatory bodies?

The core rationale for the VBSA Bill is to address the conflict of interest that arises when the same body is responsible for both regulating and funding educational institutions. This can lead to biased decision-making and a lack of transparency. By separating these functions, the government aims to ensure fairer and more objective oversight of the higher education sector.

Practice Questions (MCQs)

1. Consider the following statements regarding the Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025: 1. It aims to replace the University Grants Commission (UGC) and the All India Council for Technical Education (AICTE). 2. The proposed commission will be responsible for disbursing grants to higher education institutions. 3. The Bill has been circulated among 39 Union Ministries for inter-ministerial consultations. Which of the statements given above is/are correct?

A.1 and 2 only
B.1 and 3 only
C.2 and 3 only
D.1, 2 and 3

Show Answer

Answer: B

Statement 1 is CORRECT: The VBSA Bill, 2025, is indeed designed to replace the UGC and AICTE, aiming to streamline higher education regulation. Statement 2 is INCORRECT: The proposed commission will NOT disburse grants; this function will be handled by the Education Ministry. Statement 3 is CORRECT: The Bill has been circulated among 39 Union Ministries for inter-ministerial consultations, a crucial step in the legislative process.

2. Which of the following is NOT a stated rationale for separating grant disbursal from regulatory authority in the Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025?

A.To eliminate potential conflicts of interest
B.To enhance transparency
C.To improve efficiency in resource allocation
D.To reduce the overall budget for higher education

Show Answer

Answer: D

Options A, B, and C are all stated rationales for separating grant disbursal from regulatory authority in the VBSA Bill. The government aims to eliminate potential conflicts of interest, enhance transparency, and improve efficiency in resource allocation by centralizing funding within the Education Ministry. There is no indication that the Bill aims to reduce the overall budget for higher education.

3. The Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, proposes to replace which of the following bodies? 1. University Grants Commission (UGC) 2. All India Council for Technical Education (AICTE) 3. National Council for Teacher Education (NCTE) Select the correct answer using the code given below:

A.1 and 2 only
B.2 and 3 only
C.1 and 3 only
D.1, 2 and 3

Show Answer

Answer: D

The VBSA Bill, 2025, proposes to replace all three bodies: the University Grants Commission (UGC), the All India Council for Technical Education (AICTE), and the National Council for Teacher Education (NCTE). The aim is to create a unified regulatory framework for higher education in India.

4. Assertion (A): The Viksit Bharat Shiksha Adhishthan (VBSA) Bill, 2025, proposes to separate grant disbursal from regulatory authority. Reason (R): This separation aims to eliminate potential conflicts of interest and enhance transparency in the allocation of resources. In the context of the above statements, which of the following is correct?

A.Both A and R are true, and R is the correct explanation of A
B.Both A and R are true, but R is NOT the correct explanation of A
C.A is true, but R is false
D.A is false, but R is true

Show Answer

Answer: A

Both the assertion and the reason are true, and the reason correctly explains the assertion. The VBSA Bill does propose separating grant disbursal from regulatory authority, and the stated aim is to eliminate potential conflicts of interest and enhance transparency in resource allocation.