Page 1435 - Week 04 - Wednesday, 28 March 2012

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training. But there is recognition of the central place that TAFE plays in our training system and the need for TAFE to continue at the centre of delivery of VET training. TAFE is present across the country and collectively delivers 80 per cent of VET training. The commonwealth government’s proposals encompass TAFE and, indeed, all of vocational education and start with a very simple proposition—that is, skills are no longer an optional extra but a necessity.

The commonwealth have announced an education and training entitlement. There is now a taxpayer-funded training place up to certificate III level for every Australian. It is a national training entitlement for every Australian. They have also announced the establishment of a HECS-type scheme for VET. This changes the equation significantly. VET diploma students will now have the same rights as university students: no up-front fees, access to interest-free loans to pay for their study and only having to pay back the loans when their incomes reach a certain level.

The commonwealth have been very clear that they cannot pour in extra money and provide extra places into a patchy and inflexible system. There has been a significant amount of work at the COAG level and through the various ministerial councils to establish the National Skills Standards Council and the Australian Skills Quality Authority, and there is work to ensure that the qualifications delivered by the VET sector are independently assessed over the next two years.

What the Prime Minister has been very clear in saying is that the commonwealth government will:

… require the States and Territories to set out a plan for navigating their TAFE systems through these reforms so that the important role of public providers is maintained.

That is a very critical point and clearly the subject of the considerations at COAG next month. The Prime Minister went on to say:

… the truth is the States and Territories remain the majority funder for VET training and share a profound interest in delivering quality outcomes. So these are reforms requiring the support and endorsement of the whole Federation.

Accordingly, she will be presenting her proposals to the first ministers at a COAG meeting on 13 April. On behalf of the commonwealth she will offer the states and territories $7.2 billion over five years to underpin Australia’s training system, and she has put another $1.75 billion on the table to support and drive these reforms.

This was a significant announcement from the Prime Minister made on 19 March, so only very recently. Combined with all of the other work, including unique student identifiers and a seamless transition between vocational education and training and higher education, it is a game changer and must be responded to.

News reports in the Financial Review indicate that the ACT is in line to receive something like $145 million as part of this package. That is a significant amount of funding. When you consider also the money that is on the table for structural adjustment, in my view it is common sense for the ACT government to work through these processes at COAG.


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