The Odisha state government has released the second instalment of Rs. 14.34 Crore to eligible higher education institutions. This accounts for 15% of the approved assistance under the state government scheme for the 2026-27 academic year.
As per reports, officials have stated that the Higher Education Department has released the funds under the 'Gyanodaya – Shiksha Ru Samruddhi' (KG to PG Free Education) scheme through the Student Academic Management System (SAMS)
The department had earlier released the first instalment of Rs.9.56 Crore (10 Percent of the approved assistance) to eligible institutions. With both instalments, a total of 23.90 crore has been distributed so far.
Odisha State Higher Education Minister Suryabanshi Suraj has mentioned that phased release of the funds will support the effective implementation of the scheme and ensure that eligible students receive the benefits of free education without any financial barriers.
The Gyanodaya scheme covers eligible students enrolled in regular UG and PG programmes offered by state public universities, government colleges and government-aided private colleges. Students receiving this scheme are required to pay only the prescribed exam fee.
Gyanodaya – Shiksha Ru Samruddhi (KG to PG Free Education) - Highlights
The following are the details of the Gyanodaya Shiksha Ru Samruddhi Scheme
|
Name of Scheme |
Odisha Gyanodaya Shiksharu Samruddhi Scheme (KG to PG Free Education) |
|
Launch Year |
2026 (Effective from Academic Session 2026–27) |
|
Benefits |
100% waiver of admission fees. Free education from KG to PG in eligible institutions. Reduces the financial burden on students and families. Expected to benefit over 32 lakh students annually |
|
Beneficiary |
Students of Classes IX to XII. Undergraduate (UG) students Postgraduate (PG) students. Students enrolled in regular mode courses |
|
Nodal Agency |
Odisha School & Mass Education Department and Higher Education Department |
Funding Causing Cash Flow Problems
According to media reports, three months into the free education scheme from KG to PG, Gyanodaya – Shiksha Ru Samruddhi scheme, colleges are facing serious cash-flow crisis. Reports suggest that several institutions say that they have exhausted a sizeable chunk of their own funds to pay salaries and meet routine expenses while waiting for govt reimbursement.
As per reports, college heads have mentioned that the problem particularly lies in unaided and government-aided colleges where guest faculty and a part of teaching and non-teaching staff are outside the government payroll. Under the scheme. Students no longer pay fees, and colleges have lost an important source of revenue but continue to incur expenses on salaries and other amenities.
After the scheme was approved in July, Chief Minister Mohan Charan Majhi announced that the government will spend Rs 895.57 crore in the first year and Rs 5,467.55 crore over five years to implement it.
As per officials, the higher education department earlier released the first instalment of Rs 9.56 crore directly to higher education institutions after Phase-I UG admissions for 2026-27 through the Student Academic Management System (SAMS). The remaining amount is to be released in instalments of 15%, 25%, 25% and 25% during the academic year.
