Memorandum from the Parliamentary Office
NATIONAL ASSEMBLY
FOR WRITTEN REPLY
QUESTION 1163
DATE OF PUBLICATION OF INTERNAL QUESTION PAPER: 22/04/2016
(INTERNAL QUESTION PAPER 12 OF 2016)
Prof B Bozzoli (DA) to ask the Minister of Higher Education and Training:
(1) (a) Who is chairing the task team looking into (i) the provision
of a new model for the funding of the missing middle and (ii)
the revamping of the model currently being used by the National
Student Financial Aid Scheme (NSFAS) for funding poor students,
(b) what are the terms of reference of the specified task team,
(c) who is on the reference group for the specified task team,
(d) what are the time lines for the (i) completion of the report
of the specified task team and (ii) implementation of its
recommendations and (e) which private sector bodies are involved
in the specified process;
(2) does he intend to replace the NSFAS with a new organisation as a
result of the work of the specified task team; if not, why not;
if so, what are the relevant details?
NW1302E
REPLY:
1 (a) (iâiii) Mr Sizwe Nxasana is the Chairperson of the
Ministerial Task Team.
(b) The terms of reference of the task team is as follows:
The Ministerial Task Team shall determine and advise on
alternative financing and operating models for funding poor and
âmissing middleâ students, having regard to:
⢠the Constitution of the Republic of South Africa;
⢠all relevant higher and basic education legislation;
⢠all relevant public policy, legislation and regulations;
⢠all findings and recommendations of the various Presidential
and Ministerial Task Teams; and
⢠all relevant educational policies, reports and guidelines.
In developing the proposals, the Ministerial Task Team
must address the following issues:
⢠Whether or not the existing NSFAS Act, structure and mandate
is still suitable to address the funding and other forms of
support to poor and âmissing middleâ students;
⢠Raise sufficient funding from the public sector, private
sector and other sources to offer a complete solution to fund
poor and âmissing middleâ students at universities, and
Technical and Vocational Education and Training (TVET)
colleges;
⢠The feasibility of granting fully subsidised loans to poor
students and loans with progressive reducing subsidies as
household income increases for the âmissing middleâ students;
⢠The funding of occupations in high demand;
⢠Develop proposals which contribute towards the improvement of
the success and graduation rates for poor and âmissing
middleâ students and reduce drop-out rates; and
⢠Create an efficient and robust model with appropriate
internal controls to minimise leakage, fraud and risk in the
granting and disbursement of bursaries and loans to deserving
students whilst improving collection of the loan portion
granted to students.
(c) The reference group will include but is not limited to high
level membership from:
⢠Department of Higher Education and Training;
⢠Department of Planning, Monitoring and Evaluation;
⢠National Treasury;
⢠Department of Trade and Industry;
⢠Universities South Africa;
⢠Universities Council Chairs Forum-South Africa;
⢠Council on Higher Education;
⢠National Credit Regulator;
⢠South African Union of Students and other student formations;
⢠A representative from the Sector Education and Training
Authorities; and
⢠National Student Financial Aid Scheme.
(d) (i) The Ministerial Task Team must present its final
recommendations and blueprint to the Minister of Higher Education
by 30 September 2016.
(ii) It is envisaged that the model will be piloted at
universities which will be agreed upon with Universities South
Africa and the Department by January 2017, and to be fully
implemented in 2018.
(e) Mr Nxasana is being assisted by the Banking Association of
South Africa.
2. The Terms of Reference as indicated above stipulates that
the Ministerial Task Team must advise on any possible changes to
the NSFAS Act and rules, and present its final recommendations and
blueprint to the Minister of Higher Education and Training by 30
September 2016 for consideration.
The Department as part of its mandate has included the review of
the NSFAS Act in the 2017/18 financial year.
COMPILER/CONTACT PERSONS:
EXT:
DIRECTOR â GENERAL
STATUS:
DATE:
QUESTION 1163 APPROVED/NOT APPROVED/AMENDED
Dr BE NZIMANDE, MP
MINISTER OF HIGHER EDUCATION AND TRAINING
STATUS:
DATE: