The first half of the 2023 academic year concluded with a fierce contest between
student leadership, managers of institutions of higher learning, and the National
Student Financial Aid Scheme (NSFAS). This fierce fight was caused by the decision
of the scheme to take over key operations, in relation to disbursement of allowances
to students and accreditation of residences. This meant that these two important tasks
which were previously carried out by institutions of higher learning with the help of
external service providers, particularly for the former task, of disbursing allowances,
will now be taken over by NSFAS.
NSFAS announced that the task of disbursing allowances will now be outsourced to
five external financial service providers. Our observation in relation to the response by
the student movement in the country, suggests that it was this decision that agitated
student leaders and made them reject the so-called direct payments method
introduced by NSFAS. Hashtags like “away with Norraco” and “away with Ezaga” have
characterized the majority of the responses by the student movement to these
developments.
It is this reaction that made us resolve on penning this reflection, we are of the view
that, firstly, there is a lack of a clear ideological analysis of the developments in higher
education, rooted in class analysis, secondly, we are of the view that it is fake rage
to direct the fight towards service providers, as they do not award themselves tenders,
thirdly, it is hypocritical of student leaders to enter the battle of service providers, as if
this there is any progressive service provider who is not pursuing profit maximization
by any means necessary, even at the expense of poor working-class students.
To organize our thoughts, such that the objectives of penning this reflection are productively realized, we are going to first give a class analysis of the developments
in NSFAS, we are going to secondly expose the fallacy of the “direct payment method”
which is not direct and how NSFAS does not have the capacity to disburse allowances
and accredit residences, thirdly we are going to write against student leaders who are
misdirecting the fight and wittingly and/or unwittingly entering the battle of financial
companies who are pursuing profit for profit’s sake. We are going to conclude the article
with some thoughts on what is to be done immediately.
NSFAS assault against The Poor and Working class.
The truth of the matter is that NSFAS has contributed immensely to the struggle for access to higher education for the majority of poor working-class students, who are black
in their majority. Through the scheme, many students who do not have money to
pursue higher education are assisted with registration fees, tuition fees, book and
living allowances, and accommodation fees.
Be that as it may, the same NSFAS has been at the center of destroying many
education and career aspirations of many poor students, who were once a point of
hope not only for their families, but entire communities.
Since the Fees Must Fall
(FMF)-Rhodes Must Fall (RMF) moment, NSFAS has been on a very fierce assault
against the poor and working-class, through the development and implementation of
anti-poor policies, which are meant at minimizing access and excluding the poor in
their numbers.
Firstly, NSFAS introduced the so-called N+ policies, which essentially said the poor
will only receive funding from the scheme for a limited number of years, and that if the
poor experience challenges in their studies, they will lose their funding. A senseless,
unscientific, anti-poor policy, which is blind and deaf to the socioeconomic challenges
experienced by the poor and working class, which are a product of apartheid
capitalism and post-apartheid neoliberalism.
Secondly, NSFAS introduced accommodation funding caps, which limited the amount
of money received by the poor for accommodation purposes. This meant that poor
students had no choice but to settle for poor-quality accommodation, which lack basic
necessities like running water, WIFI, laundry, labs, etc. This is whilst children of the
rich stay in five-star accommodation on and off-campus.
Thirdly, NSFAS introduced the 60 Credits rule, which said that students who are
registered for modules less than 60 Credits for an academic year, will not receive living
and accommodation allowances. This rule, like the rest of the exclusionary anti-poor
policies, affected poor students the most, who experienced challenges throughout the
course of their studies but persevered, and were now left with a few modules to
conclude their qualifications.
NSFAS also amended their funding eligibility criteria, which among other things,
previously required students to pass 50% + 1 of their yearly registered modules.
NSFAS now wants students to obtain 60%, of course, this is after the student movement
correctly rejected the initial 75% which was senselessly proposed by NSFAS (the 60%
is still senseless). Again, it is the poor who cannot afford to buy all required textbooks,
who cannot afford to buy laptops, and other required learning materials, who face
challenges and will be disadvantaged by this senseless amendment.
NSFAS, this year, introduced the so-called direct payments which are not direct, which
in the process, defunded thousands and thousands of poor students, who had a
funded status at the beginning of the academic year. It is this issue that we are going
to speak about below. Otherwise, the trend is vividly clear, assault, assault, assault,
assault, and more assault on the poor and working class!!!
Direct payments which are not direct!
As indicated above, NSFAS announced late last year that they will be introducing the
so-called NSFAS card, which will be part of the so-called direct payments, a program
they implemented just before the first half of the academic year concluded. When this
was communicated by NSFAS, they acted as if direct payments meant that students
will now receive their allowances through their various bank accounts, something
students have been crying for, which would mean easier access to their allowances.
However, what NSFAS meant was those institutions of higher learning and the service
providers they worked with in disbursing students’ allowances, will cease doing so,
and NSFAS will take over the process, with the help of newly appointed service
providers. Thus, students and the general public were misled, and since then,
students have been subjected to higher charges and defunding. Companies like
Ezaga, Tenet, Norraco, and others, were awarded the lucrative tender of disbursing
allowances in this new system.
NSFAS's incapacity to disburse allowances and accredit residences.
As Marxists-Leninists, we are not opposed to state institutions building internal
capacity to be able to deliver services using internal resources, rather than outsourcing
services and paying senseless monies to businesspeople, who pursue profit for
profit’s sake, without contributing anything meaningful to society. However,
centralization for corruption and business purpose is not the centralization we
advocate for.
The centralization of key services like residences accreditation and disbursement of
allowances by NSFAS is proving to be not the centralization we advocate for, on two
grounds; firstly, NSFAS is not the one disbursing allowances to students, they have
appointed private financial companies to do this job, thus, this is not building internal
capacity, but centralization for corruption and business purposes, secondly, NSFAS
has proven time and again that they do not have the internal capacity to deliver quality
and timely services to students. This is seen in the delay of the release of funding lists
each academic year, delay in payments, delay in responding to appeals, and many
other administrative shortcomings. Thus, NSFAS cannot be trusted with the process of accrediting residences, the
centralization of appeals is a practical example in relation to NSFAS administrative
incapacity. Working-class students spend the entire academic year sleeping in
libraries, lecture halls, and cafeterias, attending class and showing up to tests and exams
on empty stomachs, study without textbooks and laptops, only because NSFAS did
not respond to their appeals.
Student leaders and the fight between service providers.
We are not going to waste time in this section, we are going to be brief, frank, and
straightforward. Student leaders who are directing the fight against this or that service
providers are being dishonest, wittingly, or unwittingly. Firstly, because these service
providers did not award themselves these tenders, they were appointed by NSFAS to
disburse allowances, any genuine war against these service providers, must be
directed to not only NSFAS, but the Department of Higher Education and Training,
under the pseudo-communist, Emanuel Nzimande.
Secondly, there is no student leader who can convincingly argue that there is a
capitalist that is good and a capitalist that is bad. The reality is that all these service
providers, including the ones who were disbursing allowances before, are only in it for
profit maximization for profit’s sake. Hence, all of them, charge students' senseless
charges whenever they make transactions.
Even if these so-called direct payments were direct, i.e., students were receiving their
allowances directly to their bank accounts (your Nedbank, Capitec, etc.) student
leaders cannot rejoice over that, it is not victory.
These established banks, which
charge our people high rates and deny them funding for housing purposes, starting
businesses, etc. would still charge students high rates and make money out of them.
We should take guidance from the President of the EFFSC, Commissar Lonzi, that the
only solution is the establishment of a state bank.
What is to be done immediately?
1. Ensure that students receive their allowances immediately, we cannot fight
Emanuel with hungry students.
2. Ensure that institutions of higher learning do not remove students from their residences and force them into deregistration.
3. Progressive SRCs of the EFFSC in the country must utilize their budgets to
provide aid (food and toiletries) to all affected students, particularly females.
4. The EFFSC must use all available legal platforms, like parliament and the
courts to fight NSFAS and Emanuel.
5. The EFFSC must organize itself at the branch level, regional level, provincial level,
and national level, have robust discussions about the status quo, and draft clear
demands.
6. Take to the streets and advocate for the identified demands.
