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Madras High Court Tells Centre To De-Link RTE Funds From NEP 2020, Reaffirms State’s Independent Responsibility

Chennai – In a significant judgment, the Madras High Court has directed the Central Government to consider de-linking funds under the Right to Education (RTE) Act from the National Education Policy (NEP) 2020, emphasizing that the RTE Act is a standalone statutory obligation and must not be tied to broader education reforms that the state has not adopted.

“It is true that implementation of the Samagra Shiksha Scheme (SSS) is aligned to NEP 2020. But then, obligation under the RTE Act is independent by itself,” the court observed.

A division bench of Justices G.R. Swaminathan and V. Lakshminarayanan passed the order on a public interest litigation filed by V. Eswaran, who sought immediate initiation of the RTE admission process in Tamil Nadu for the current academic year.


Background of the Case

The Government of Tamil Nadu, led by the DMK, has consistently opposed the NEP 2020, citing concerns over central overreach and lack of alignment with state priorities. The petition argued that no online applications for RTE admissions had been initiated by mid-May, well past the typical schedule.


Court’s Key Observations

The court highlighted Section 7 of the RTE Act, which mandates shared financial responsibility between the Centre and states:

“Section 7(3) of the Act mandates that the Central Government shall provide to the State Government as grant in aid of revenues such percentage of expenditure referred in sub-section 2 as it may determine… in consultation with the State Governments,” the court quoted.

“Therefore, funds payable… towards discharging the RTE obligations need not be linked to NEP 2020.”

Although the state government has approached the Supreme Court on the broader issue, the high court clarified:

“We are not in a position to issue any binding direction in this regard.”

Still, the court urged the Centre to de-link the RTE component from the Samagra Shiksha Scheme and release the required funds.


Funds and Reimbursements in Question

  • Total allocation for SSS for FY 2024–25: ₹3,585.99 crore
  • Centre’s share: ₹2,151.59 crore
  • Estimated RTE component: Less than ₹200 crore

The court said:

“There cannot be any difficulty in releasing the Central Government’s share under this head.”


State’s Position

Additional Advocate General J. Ravindran, representing Tamil Nadu, admitted that the state has been forced to bear RTE reimbursements alone, citing non-release of central funds.

“Due to non-release of funds by the Union government, the expenditure towards RTE reimbursement to the schools… to the tune of ₹188.99 crores for the year 2022-23 was borne in entirety by the Government of Tamil Nadu,” he submitted.


Centre’s Response

Additional Solicitor General ARL Sundaresan countered that since Tamil Nadu has not adopted NEP 2020, fund disbursement issues have emerged. He also pointed to Section 7(5), which places primary implementation responsibility on state governments.


⚖️ Final Directive

In a strong reminder of the state’s constitutional and statutory responsibility, the court said:

“Non-receipt of funds from the Union government cannot be cited as a reason to wriggle out of this statutory obligation.”

The bench concluded:

“Having issued the aforesaid directions to the state government, we call upon the Central Government to discharge its obligations under the Act.”

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