Private colleges on the brink of collapse

Slamet Susanto, The Jakarta Post/Yogyakarta

Hundreds of private higher learning institutions in Yogyakarta, considered by many as the nation's education center, are on the brink of collapse due to a lack of students.

The shortage of students has reduced revenues at the institutions, and they are having difficulties covering operational costs. Some of them have even suffered losses and it is predicted that around 40 percent could close down in two to three years, according to a senior educator.

The head of Yogyakarta's Private Institute Association, Sugiyanto, said that the shortage of students was due, in part, to the fact that the more prestigious Gadjah Mada University had expanded its diploma programs, and the status of the state-run Teacher's College (IKIP) had been changed to that of a university.

In previous years, candidates who failed the state university entrance exams would immediately seek places in the private institutes. "But, now, they prefer to enroll in the UGM extension/vocational programs, so the allotment for private colleges has decreased," he said.

He also added that parents were now afraid to send their children to Yogyakarta to study, because of reports on rampant drug abuse and fornication among the students in that city.

"A survey once showed that 40 percent of parents preferred not to send their children to Yogyakarta because they were afraid their children would become involved in sex and drugs," said Sugiyanto, who is also a rector at the Ahmad Dahlan University (UAD).

He said that almost all private institutes grouped in the association were having difficulties bringing in new students. Only UAD and the Yogyakarta Muhammadiyah University (UMY) made it to 100 percent of their quotas last year.

The main reason for this trend is that the private institutes depend entirely on student fees. If student numbers continue to dwindle, they would surely have problems covering their costs.

"What happens now is natural selection. Only renowned and prominent private institutes will be able to continue to exist. Around 40 percent of the private institutes in Yogyakarta could collapse within the next few years," he predicted.

A staff member at the Proklamasi University's (UNPROK) registrar's office, Mawaruddin, said from the initial allotment for 800 new students in its five departments and seven study programs, only 15 percent had been filled. Only 90 students were registered as of Aug. 26, the deadline for the third phase of the registration.

"No more than 15 students have been registered at the mechanical engineering department, which has a capacity of 80 students, and this decline is similar in the rest of the departments and study programs," Mawaruddin told The Jakarta Post.

The decline in student enrollment, he said, had been felt since 2002. "Our income is very small and not enough to cover operational costs. We have difficulties even paying our employees now. It was a reverse situation before 2002. Before 2002, the institute had always had to turn away students," he said.

Wangsa Manggala University (Unwama) spokesman Manasyir concurred, saying that less than 75 percent of the 1,000 seats available had been filled by new students. While only 10 students from the quota of 100 had enrolled in the agribusiness school thus far. "We are facing difficulties right now without being supported by the university foundation," he said.