Parliamentary Committee Welcomes Termination of NSFAS Headquarters Lease

Letsie stressed that the termination of the Cape Town lease is overdue and marks a positive step toward addressing long-standing issues of mismanagement within NSFAS.

The Portfolio Committee on Higher Education and Training has endorsed Higher Education and Training Minister Dr. Nobuhle Nkabane’s proposed plan to terminate the National Financial Aid Scheme (NSFAS) headquarters’ lease in Cape Town. This move is aimed at reducing operational costs and improving accessibility for students.

Committee Chairperson Tebogo Letsie expressed satisfaction with the decision, highlighting that the Cape Town office has been a contentious issue since NSFAS relocated from its previous leased premises in Wynberg to the city center. “While many students struggled with funding delays, allowances, and accommodation challenges, the entity occupied a building with scenic views,” said Letsie, underscoring the discontent.

The committee has been critical of NSFAS’s decision to position its headquarters in Cape Town, a location less accessible to the majority of students, particularly those based in Gauteng, which has the highest concentration of students. Letsie stressed that the termination of the Cape Town lease is overdue and marks a positive step toward addressing long-standing issues of mismanagement within NSFAS.

He further suggested that NSFAS offices should ideally be situated in Gauteng to serve a larger student base and advocated for the decentralization of NSFAS operations across all regions, which would improve student access to its services nationwide.

In addition to supporting the termination of the lease, the committee welcomed the upcoming opening of NSFAS’s 2025 online applications on September 20, 2024. This intake period is expected to include extensive consultations with educational institutions, stakeholders, and student organizations, ensuring a smoother application process for students in need of financial aid.

The committee remains committed to working with NSFAS to enhance service delivery and student support across the country.