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Many expatriate and local parents have always believed they could cling to the English Schools Foundation (ESF) for affordable English-language education. The bombshell recently dropped by the city's only-subsidized international school institution, however, brought them back to their senses, when the announcement of a new debenture scheme certainly dashed their illusions.

The bad news is the recent announcement by ESF of a staggering HK$500,000 non-refundable debenture, offering priority admission to the children of donors, at its 10-odd primary and secondary schools. The schools will make available 150 places out of more than 1,000 every year from 2013 onwards, under the new ESF Nomination Rights Scheme. The new program replaces the previous Corporate Surety Scheme that required corporate applicants to pay six months' school fees in advance.

The foundation has of course a pretty good reason for imposing this blood-sucking scheme - it badly needs cash to upgrade its aging school buildings without further subsidies from the government. The foundation's HK$283-million annual subvention has been frozen for more than a decade, after a damning audit report on its management in 2004, which showed teachers' salaries were the highest of all international schools at that time.

The new scheme certainly has provoked the anger of expatriates as well as local parents who wish to put their children into ESF because of its "affordable" English-language education. The word "affordable" has a significant meaning to those who aspire to English-language education, given the notoriously-high fees that private international schools charge and the acute shortage of international school places.

As a government-funded educational institution, the new debenture scheme has virtually raised ESF to the ranks of profit-oriented private international schools, defeating its purpose of providing affordable English-language education to expatriates' children. There is no doubt that parents would deem this new policy as something skewing towards wealthy families while shunning the poor.

I am certainly appalled by the message behind this debenture scheme. It basically means the foundation welcomes only those who can afford to pay since the new debenture would be priced out of reach of those less-well-off families. I am surely aware of the foundation's plight - after years of a funding freeze, it is in dire need of cash to pay for the renovation of its aging campuses and pay for the rising costs over the years. Ironically, even with its highly sought-after status, its schools are paid far less than the Direct Subsidy Scheme (DSS) schools. Its primary schools receive only about half of what DSS schools get, while its secondary schools get only a tiny fraction of what their DSS counterparts enjoy. ESF certainly needs continued government funding at a sustainable level.

But squeezing more money out of the pockets of the rich and turning others away is not the right way of resolving its financial straits. This favor-the-rich policy will only further deepen the conflicts between the rich and the poor.

The foundation, therefore, needs to blow its trumpet about its unique role in bridging the gap between local and international schools, by providing affordable quality English education, as well as to lobby for continued government assistance to finance its renovations. Some critics have branded ESF a colonial legacy that should be denounced. They question why local taxpayers should fund the education of expatriates' kids, who have no attachment to Hong Kong and will leave sooner or later.

I would beg to differ. I don't care if ESF is a colonial legacy. From a practical point of view, the government needs to enhance international education which helps the city maintain its unique role and competitive edge as a world-class international city. It is undeniable that English proficiency has been declining all these years. We need the English input from expatriates to make Hong Kong a multi-cultural and colorful city as it is now. This helps to draw massive investments and millions of visitors every year. Expatriates who work in Hong Kong also pay tax but not all of them can afford the staggering school fees of private international schools. To lure more international talent to the city for the sake of the city's development, affordable English education is the key incentive.

There is obviously a huge demand for good quality, affordable English education and there is much more the government needs to do to improve the English education at government schools. The issue of affordability of education is one which it must address. The government should recognize the unique role of ESF in keeping Hong Kong's global competitiveness. It is hoped that the foundation will not be turned into another elite private school.

The author is a current affairs commentator.

(HK Edition 09/29/2012 page3)