Punjab higher education minister Surjit Singh Rakhra said in the Assembly that a regulatory commission would be formed for private universities.
"Law in this regard will come in next session," he said.
Rakhra noted that rules and regulations of University Grants Commission (UGC) and Medical Council of India (MCI) will be implemented by private universities in the state.
Agitated members of Congress had hit out at the Parkash Singh Badal government for allowing "huge business" to thrive in the name of education and accused the ruling party of helping the private institutes to "loot" the people.
Speaking at the Assembly, BJP MLA Manoranjan Kalia put forward the demand for a regulatory commission to supervise the functioning of private colleges including their admission, fee structure, appointment of teacher etc.
Another BJP MLA Som Parkash wanted to know what the state was doing to raise the standard of private universities, as 25 such universities have come up in the state.
BJP MLA Navjot Kaur Sidhu also stressed upon maintaining standards in private educational institutions in order to ensure quality education and employment to youths.
"Private hospitals and educational institutions have become source of making money. People are being looted which is quite unfortunate," Congress MLA Kuljit Nagra said.
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