SENATOR Sherwin Gatchalian expressed concern over the reduction in the financial assistance provided to beneficiaries of the Tertiary Education Subsidy, warning that it could lead to a higher number of college dropouts.

Although the completion rate for TES beneficiaries currently stands at 79.2%, Gatchalian fears this rate may decline due to the decreased TES grant amounts. He urged the Commission on Higher Education (CHED) to reconsider the allocation to ensure that grantees can complete their education.

“TES beneficiaries use the grants to fund their education-related expenses,” Gatchalian emphasized.

Previously, TES grantees from private higher education institutions received ₱60,000 per academic year, with ₱20,000 allocated for tuition and the remaining ₱40,000 covering expenses like transportation, food, lodging, and learning materials. TES grantees from public higher education institutions received ₱40,000 annually.

Currently, private school TES grantees receive only ₱27,000, while those from public schools receive ₱20,000.

CHED revealed that while there are approximately 200,000 TES slots annually, the Commission received 1.6 million applications in both 2021 and 2023. This demand prompted the Unified Student Financial Assistance System for Tertiary Education Board to reduce the grant amounts to accommodate more grantees. Despite this adjustment, only 250,000 students were accommodated.

“The amounts should be sufficient for students to graduate by their fourth year or at the end of the course. I believe that the ₱60,000 and ₱40,000 amounts incentivize students and cover their expenses to complete the school year,” Gatchalian stated.

“My take is that the original amounts are designed to prevent students from dropping out so they can graduate. That’s what we want—for them to graduate instead of us just giving subsidies, only for them to drop out mid-school year,” he concluded.