MANILA, Philippines — President Ferdinand Marcos Jr. has signed a new law that seeks to ensure that government financial assistance for higher education reaches the country’s poorest and most disadvantaged students first.
Marcos signed Republic Act No. 12325 on Friday, September 4, amending the Universal Access to Quality Tertiary Education Act, or Republic Act No. 10931. The measure introduces a prioritization system for students seeking assistance under the Commission on Higher Education’s (CHED) Tertiary Education Subsidy (TES) program.
Under the new law, qualified students from households enrolled in the Pantawid Pamilyang Pilipino Program (4Ps) will receive the highest priority for available subsidies. Remaining slots will then be distributed based on household income.
The changes were pushed after data from the Second Congressional Commission on Education (EDCOM 2) showed that the share of TES grants received by students from the poorest households declined significantly. Their share fell from 74.24% in 2018 to 30.74% in 2022, despite the program’s original goal of prioritizing students with the greatest financial need.
“The amendments ensure that government assistance reaches those who need it most,” Marcos said during the signing ceremony at Malacañang, emphasizing the need to support students from poor and disadvantaged families, including qualified 4Ps beneficiaries.
The law also establishes a new Private Education Assistance (PEA) program. It will provide support to qualified low-income students who are pursuing priority courses but are not covered by other government grants, allowing them to enroll in CHED-recognized private colleges and TESDA-registered technical-vocational institutions.
Another major change is the adjustment of subsidy amounts. Instead of providing a uniform amount to students regardless of their degree program, financial assistance will now vary depending on the course being taken. Students enrolled in government-priority programs may also receive additional funding.
EDCOM 2 previously noted that the existing flat-rate subsidy could limit students’ choices to programs that were more affordable to pursue, including business administration, education and information technology.
The expanded assistance will also cover internship and clinical training expenses for nursing and other health-related programs—costs that students previously had to shoulder themselves.
Marcos directed CHED, the Technical Education and Skills Development Authority (TESDA), and the Unified Student Financial Assistance System for Tertiary Education to formulate the implementing rules and regulations for the new law.
RA 12325 amends the 2017 Universal Access to Quality Tertiary Education Act, which provides free tuition and mandatory fees in state universities and colleges. Aside from free tuition, the law’s TES component provides additional assistance for expenses such as books and instructional materials, transportation, board and lodging, and daily living costs.
The law is expected to strengthen the government’s efforts to make higher education more accessible to students whose financial circumstances could otherwise prevent them from completing college or technical-vocational education.
