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PETALING JAYA: Alliance for a Safe Community chairman Tan Sri Lee Lam Thye has urged the government to protect small tuition centres from ownership requirements that could force them to restructure or scale back their operations.
He said reports that tuition centres may be required to comply with equity conditions, including Bumiputera ownership, should be taken seriously, as many such centres were small neighbourhood businesses rather than large commercial entities.
“The recent proposal requiring tuition centres to meet equity rules, specifically mandating Bumiputera ownership, is a serious matter that merits careful consideration and timely action from the Prime Minister,” he said in a statement.
The issue surfaced after Petaling Jaya MP Lee Chean Chung called on the Education Ministry on Sept 15 to clarify whether an existing 30% Bumiputera equity requirement would apply to tuition centre registration renewals from 2027.
Reports said the condition appeared in the Education Ministry’s registration guidelines for private education centres, raising concerns that existing operators could be required to restructure their ownership to retain their licences.
The Education Ministry has since said the ownership requirement was detailed in the 2006 Private Education Institutions Policy Book and that it would submit a proposal to the Cabinet to review the structure of tuition centre ownership.
Lee Lam Thye said many tuition centres were founded by educators seeking to help students keep up with their schoolwork, build confidence and reach their potential.
He said the centres served families across communities, often at rates affordable to ordinary households, and should not be treated in the same way as large commercial entities.
“Applying strict equity ownership rules to these small operations places an unnecessary and disproportionate burden.
“Unlike large commercial entities, they do not have the resources to restructure ownership or navigate complex regulatory requirements,” he said.
Lee Lam Thye said such rules could force well-established, community-focused centres to close or reduce their operations, leaving students with fewer learning options and removing an important support system for families.
He said if the policy objective was to strengthen Bumiputera participation in the education sector, the government should consider measures that could achieve the objective without placing undue pressure on existing operators.
“The relevant ministry could focus on empowering educators through government-backed training programmes, start-up grants and accessible resources.
“These measures would directly encourage more Bumiputera teachers to open their own tuition centres, building participation from the ground up rather than through mandatory rules,” he said.
Lee Lam Thye said policymakers should distinguish between small independent education centres and larger businesses when designing regulatory requirements.
He said existing tuition centres should be allowed to continue serving students affordably, while the government expanded positive incentives such as funding, support and skills development to broaden participation in the sector voluntarily.
“This approach is proactive and does not disrupt the grassroots education service,” he said.
