Under what conditions are Schengen short-stay student visas issued free of charge?

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I do not know on what page of the website you found the link you quote stating short study visas have a fee, but I could not find such requirement on the vfs-france website. On the Visa Fees page, I can read:

... Student Long Stay : 50 EUR (3788 INR) ...

and no other fee for short stays. I double checked by looking at the French consulate in Montreal and on the page for student trainees, it states, in the fee section:

Application fees (non-refundable): the value of €99 in Canadian currency for long-stay visa, payable only by debit card, cash or money orders (exact amount) payable to “consulat de France à Montréal”.

It is clear to me that short-stay student visas actually are issued free of charge.

Vince 20890

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Under what conditions are Schengen short-stay student visas issued free of charge?

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