CRUCH presents arguments before the TDLC and maintains that the determination of tariffs complies with current legislation

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The Council of Rectors and Rectors submitted a technical document today arguing that financing instruments and tuition regulation are not arbitrary, but rather respond to legal mandates and the public function of universities.

The Council of Rectors of Chilean Universities (CRUCH) today submitted a key technical report to the Court for the Defense of Free Competition (TDLC) for case file No. 553-2025. In the document, CRUCH defends the legitimacy of the current financing and regulatory mechanisms of the higher education system, which have been challenged before the court by a group of seven private universities.

The decision to participate stemmed from a consultation submitted by the universities Finis Terrae, Mayor, de Las Américas, Santo Tomás, Central, Autónoma de Chile, and Bernardo O'Higgins. These institutions argue that tuition regulation linked to free tuition and the Direct Fiscal Contribution (AFD) would create structural advantages for CRUCH universities, supposedly affecting free competition.

In response, the CRUCH (Council of Rectors of Chilean Universities) emphasized that the higher education system cannot be analyzed as an ordinary market of homogeneous goods. As stated in the document released today, universities fulfill a social function that transcends commercial logic, involving research, knowledge creation, and territorial development, which justifies the existence of a regulatory framework with public objectives.

Regarding the setting of fees, the Council argued that the authority is not acting arbitrarily, but rather is executing an express mandate of Law No. 21,091. The report details that the legislator defined objective variables for these charges, such as institutional complexity and regional location, thus dismissing any accusation of arbitrariness. It was also noted that joining the tuition-free education system is a voluntary process for each institution.

Regarding the Direct Fiscal Contribution (AFD), the CRUCH clarified that it is a historical instrument in place since the 1980s, whose allocation is public and regulated by the Budget Law. This fund aims to finance structural functions and does not have an exclusionary effect, since the sustained growth of private universities outside the CRUCH, during the instrument's existence, demonstrates that there are no barriers to entry.

Finally, CRUCH reaffirmed its willingness to continue providing background information that provides institutional certainty and safeguards the public interest involved in the education of the country's students.

Text: CRUCH Communications.