The Stellenbosch University (SU) Council on Monday (28 November 2016) unanimously approved the institution’s integrated budget for 2017, which makes provision for an 8% general increase in tuition fees and a 10% increase in accommodation fees. However, students from families with a household income of less than R600 000 per annum will pay exactly the same tuition and accommodation fees next year as in 2015 and 2016.

On approval of the budget, the University Council expressed its reluctance to increase tuition and accommodation fees, but added that it had no other option as its governance and oversight role determines that the long term financial sustainability of the institution is of paramount importance.

“The academic excellence of SU, our provision of bursaries and support services must be safeguarded for future generations, but we strongly support the University management’s stance that academically deserving students from poor and working class families should receive substantial financial support,” University Council Chairperson Mr George Steyn said.

Council therefore approved an accommodation bursary for the 2% adjustment over and above the 8% (gap-funding committed by the government) for students from families with a joint household income of less than R600 000 per annum (‘missing middle’). Due to the announced top-up state funding and the SU accommodation bursaries, students in this income bracket will not have any increase in tuition and accommodation fees.

The 10% increase in accommodation fees was necessitated by the University’s decision to follow a policy of viable sourcing after protest action in 2015. The University is providing top-up funding to outsourced workers to ensure that their cost-to-company remuneration amounts to R5 000 per month, exactly the same as University staff members on the same post level.

Last year, Stellenbosch University managed bursaries and loans worth R658,7 million, of which R115 million came from its main budget. Approximately 38% of all undergraduate students – and 70% of undergraduate black African, Coloured and Indian students – received financial assistance.

Mr Steyn emphasized that as a national asset, Stellenbosch University makes an invaluable contribution to the country.

“We deliver sought-after graduates, maintain a high research output and provide innovative student support services. Whereas the average first-year throughput rate in South Africa is 50%, more than 85% of our students progress to their second year. Adequate funding is a prerequisite to sustain such support, which in turn assist our students to complete their studies. In that way, the institution helps students keep their study costs as low as possible.

“Stellenbosch University supports affordable higher education for the poor, but until adequate funding becomes a reality, we support a differentiated approach with an emphasis on financial support for academically deserving, poor students. Fund-raising from the private sector for bursaries is also a priority for the University.”

Mr Steyn added that government initiatives should be lauded and that Stellenbosch University supports the achievement of sustainable solutions.

“We share the very real concerns of poor and working class families about the cost of higher education and the general cost of living. Therefore, the University will explore every possible avenue to ensure that academically deserving students do not miss out on study opportunities based on their socio-economic background,” Mr Steyn said.