Noting that two-thirds of the engineering institutions are located in four southern states and Maharashtra, the NKC headed by Sam Pitroda wanted a framework for public-private partnerships to establish new quality institutions.
In a letter to Prime Minister Manmohan Singh, the Commission has also suggested that the elite institutions like IITs and NITs could "mentor" the new institutions in order to help raise their standards.
"Mentoring by its definition is a voluntary activity, but if we can create an atmosphere where institutions of distinction feel a sense of calling in the interest of the larger national good, it would transform our education," Pitroda said.
In this regard, he said elite institutions should consider some additional responsibilities such as adopting a few engineering institutions of their choice and helping them raise their standards.
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"In particular, the existing IITs could mentor the new ones being established. The latter, in due course, could play a similar role vis-a-vis others," the NKC said.
Similarly National Institutes of Technology and Regional Engineering Colleges could play a mentoring role for selected engineering institutions in their respective regions.
Suggesting integration of science and engineering education, Pitroda said "we have entered a period in history where the distinction between sciences and engineering has all but disappeared".
In order to reduce the perceived gap between sciences and engineering, there was a need to create mechanisms that allowed mobility between the two streams, the Commission said.
One option could be to start four year undergraduate programmes in sciences, initially in institutes of excellence where facilities for such courses already exist, it said, adding this would enable pursuing doctoral programmes in science and technology, without a Master's degree.
Observing that several initiatives were necessary to promote research in engineering discipline, he said vibrant and well funded PhD programmes with opportunities for international exposure should be provided to attract students who currently go abroad for their doctoral degrees.
The new academic and research institutions being established should be so located that they could optimise mutual collaboration, it said. To enhance employability, summer internships should be made an integral part of curriculum, the Commission said.
The Commission has also suggested several measures aimed at attracting and retaining faculty and said the most serious challenge in engineering education was the dearth of well-qualified faculty.
"We believe that the changes and reforms proposed in this letter are necessary to bring about a qualitative transformation in engineering education to meet present and future needs," Pitroda added.