Smit, F(June 1998) 'Private Education: Competitor or Partner in the provision of Education in South Africa' in SAIDE Open Learning Through Distance Education, Vol. 4, No. 2, SAIDE: Johannesburg
South Africa Contents

Private Education: Competitor or Partner in the provision of Education in South Africa

'The principle of freedom of education implies the co-existence of public and private education, as neither can always provide the necessary quality and quantity of education.'

- Higher Education and Research Committee, Council of Europe 1995.
By Flip Smit

INTRODUCTION

Education in general - but especially higher education - is presently going through the biggest transformation process in the history of South Africa. The Higher Education Act has, amongst other goals, removed the rigid boundaries between contact and distance education and made a much more flexible articulation process possible. Also, South Africa's Constitution makes specials reference to private education.

Article 29(3) of the Constitution states:
Everyone has the right to establish and maintain, at their own expense, independent educational institutions that:
a) do not discriminate on the basis of race;
b) are registered with the state; and
c) maintain standards that are not inferior to standards at comparable institutions.

Subsection (3) does not preclude state subsidies for private institutions. The inequalities and handicaps created during Apartheid, together with the high population growth and limited resources, have led to a situation where the government cannot provide for both the extent and diversity of learning needs of the growing number of learners.

The following figures give an indication of the need for education and training in South Africa:

•    An estimated 27% of the South African population is illiterate.
•    It is estimated that 2,3 million people under the age of 23 are unemployed, and 65% has never had a job.
•    The number of learners will increase from the present 12 million to 17,3 million by the year 2005.
•    Post-secondary student numbers will increase from the present 800 000 to 1,7 million by the year 2005.

Spending on education (R46,8 billion for 1997/98) already represents 22,8% of total government spending. In comparison it is of the highest in the world and, in view of the needs for social and health services, it will be difficult to increase it at a higher rate than economic growth (below 2% in 1997), while learner numbers increase at a rate of more than 4% per annum.

Consequently it is clear that private education will have to play a bigger role, lessening the load on the shoulders of government, to prepare the great number of learners for a knowledge-driven and knowledge-dependent world, should South Africa want to remain competitive with the rest of the world.

WORLD TENDENCIES IN HIGHER EDUCATION

It is surprising to see that universities and higher education institutions worldwide share similar problems in spite of differences in traditions and structures. Democratic and political rights are leading to mass education. In a competitive world, increasingly built on the knowledge industry, a post-secondary qualification has become a passport to a successful career.

Although the role that post-secondary education has to play is increasingly recognized world-wide, Unesco, in its Policy Paper for Change and Development in Higher Education, points out that almost all countries are in the process of '.drastic cuts in spending on public higher education, thus compelling institutions to design alternative, more cost-effective programmes and delivery systems'. Consequently, universities and other tertiary institutions progressively have to accommodate more students and undertake more relevant education and research.

Some experts believe that the traditional public university model may be considered inefficient and impractical as a tool for mass higher education in a post-industrial society. The university is simply not geared for a system of differential entry, differential process and progress to equal exit.

The above aims can only be achieved when tertiary institutions operate more cost-effectively by, amongst others, modernizing their training and teaching systems, utilizing technology to the maximum, and cooperating with other institutions, especially by entering into partnerships with the private sector.

In view of the foregoing, private education is making great strides in many countries in the world. The Higher Education and Research Committee of the Council of Europe made the following statement at a workshop in Prague in May 1994:

'Indeed education is not the monopoly of the State. The right to educate and the right freely to choose an education require also a passive State that allows and safeguards the existence of private education. The principle of freedom of education implies the co-existence of public and private education, as neither can always provide the necessary quality and quantity of education. It can be argued that this approach also implies that the State should encourage private education and even, under certain conditions, fund it on equal footing with public education.'

In many countries, private education not only relieves the pressure on public education, but also contributes to greater diversity, independence, and innovation in education and training, while it increases efficiency and quality, as it provides competition for public institutions.

In the 1980s, private education made especially great strides in South American countries. Some experts even believe that private education saved many countries from social revolution. Mungardy and Lopez (1994.4) summarizes as follows:

'How to accommodate a growing population pressing for higher studies has taken several forms. In Central America the presence of private universities is concentrated on the offer of careers strongly oriented to the market involving, for example, two-thirds of the enrolments in social sciences. In Chile, the increasing presence of private institutions has combined with a deconcentration process of the large public universities, the regional units of which have been granted autonomy. Thus, from 1980 to 1995 they grew from 8 to 27 institutions, which made it possible to increase enrolment by 113%.'

Mexico also serves as a good example. In 1994, 408 out of 826 institutions in higher education had a private nature and were responsible for 20% of all enrolments at this level. In the USA more than three million people or 22% of the total post-secondary student population, study at private higher education institutions. Universities such as Harvard, Princeton, and Stanford are private institutions enjoying international esteem.

The advantages of a private education sector, functioning in close cooperation with the public education sector, and with the necessary control mechanisms to uphold academic standards and guard against the exploitation of students are obvious.

However, private education does not hold advantages only. If a solid framework is not provided in which it can function side by side with public education, it may also hold many disadvantages:

•    In some countries private education institutions mushroomed, took the students' money on offer and disappeared.
•    Private institutions may ask higher fees, which may result in increasing inequality between rich and poor.
•    Usually, private institutions cater for courses for which there is a high demand and avoid more expensive courses, such as those in the natural sciences.
•    Normally private education does not undertake research, which is a prerequisite for ongoing quality in higher education.
•    In many instances, private education institutions, after a few years, also demand state subsidies, which may lead to the enrichment of companies and individuals.
•    Although market forces normally ensure service and quality, the self-regulating mechanisms that ensure quality education do not always exist in private education compared with public education.

TENDENCIES IN SOUTH AFRICA

A working committee of the Commission for Higher Education came to the conclusion that 'a sizeable and rapidly growing private HE sector exists in South Africa, and is generally regarded as a major future growth industry'

•    The number of learners in private education is probably about 500 000 currently and grows at more than 30% per year.
•    The number of private schools increased from two hundred in 1992 to more than a thousand.
•    Three companies offering, amongst others, private education facilities, have listed on the Johannesburg Stock Exchange, recently showing excellent growth on their listing prices.
•    The campus of a private university is under construction in Sandton and a Catholic university will open its doors in 1999.
•    An increasing number of overseas universities are offering their courses in South Africa. In 1990, students could choose between half a dozen MBA programmes at the state universities. Today nearly twenty such programmes are available, mainly franchized from foreign institutions.

Although a number of private institutions offer courses in their own right, an increasing number of courses is being offered in partnership with existing private or public institutions.

The following broad tendencies characterize the development of private education in South Africa:

•    Courses are relatively expensive, and ,to a large degree focus on higher income groups. For example, course fees for grade twelve (matric) may range from R6 000 to R20 000. Some institutions charge as much as R40 000 for an MBA programme.
•    The marketing focus falls mainly on international recognition and accreditation. There is growing concern about the quality of qualifications obtained from certain higher institutions in South Africa. Crowded classrooms, inadequate equipment and a perceived attitude of 'pass one, pass all' contribute to the problem.
•    International tertiary institutions active in South Africa fall into two main categories. A number have high status and international recognition, while the academic status of others is rather doubtful. Consequently, students should be wary when they make choices about institutions and courses.
•    At present, private education concentrates mainly on shorter courses, such as computer and accounting training and commercial and management programmes, for which there is not only a big demand, but also a corporate business sector willing to take up the cudgel and pay course fees on behalf of employees. Mass training, ensuring lower unit costs, is strongly favoured. Private education pays almost no attention to natural sciences, which demand a higher investment in infrastructure. It is especially here where the need for training lies.

Residential universities and technikons endeavour to counter competition by the private education sector and try to boost their own income resources by emphasizing short courses and a mixture of contact and distance education. Distance education institutions such as the University of South Africa and Technikon SA attempt to enter into partnerships to bolster their courses by means of contact tuition. Presently, higher education is truly a fermenting vat and the education landscape is changing rapidly.

The wider focus may alienate the present public tertiary institutions from their core business of basic teaching and research. Similarly, serious dangers may arise should the institutions establish their own infrastructure rather than entering into partnerships. Learning centres and studios for interactive training are expensive and can hardly be utilized cost-effectively by one institution. The same goes for tutors, who are appointed to assist especially distance education students after hours.

GUIDELINES FOR THE FUTURE

There is tremendous need for a flexible, effective and efficient higher education system that will meaningfully provide for the changing learning needs of diverse learners. In this regard, the following developments have to be supported:

•    The establishment of the Registrar of Higher Education Institutions, where every private higher education institution has to register.
•    Regulations and guidelines in terms of which all private higher institutions had to present their courseware to SAQA by 30 June 1998 to obtain interim registration of qualifications.
•    The Green Paper on Further Education and Training and proposals that will probably find final expression in legislation.

Broadly speaking, the foregoing has to be welcomed. It will contribute to:
a) giving wider recognition to private education;
b) guaranteeing standards; and
c) protecting students from exploitation.

There is a dire need especially to improve the quality of distance education, as was pointed out by SAIDE during its survey in 1994.

It is hoped that legislation will not be applied too rigidly, but that healthy economic market forces will be allowed to play their normal role.

There is plenty of room for improved cooperation between the private and public education institutions in South Africa to meet the needs for mass education required in a competitive world. Public and private educational institutions have to see each other as partners and not competitors.

References
1 Council of Europe. Higher Education and Research Committee. Regulation of Private Education, Workshop no. 4 Strasbourg, 1995.
2 Mungardy, A, and Lopez, R., 1996: Introduction to the Latin American Challenges. Higher Education Policy, Vol. 9 no. 1
3 Unesco, 1995: Policy paper for change and development in Higher Education, Paris.

Professor Flip Smit, a former Vice-Chancellor of the University of Pretoria, is currently heading National Private Colleges.


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