ACT Independent Senator David Pocock is calling on the Government and Coalition to back vital amendments to legislation that will limit the number of international students or risk enormous economic and educational damage.
Senator Pocock said the bill was an especially big concern in the ACT, which is home to five university campuses, and where international education is a billion dollar export industry that accounts for 53 per cent of services industry exports.
“We absolutely need to improve the domestic student experience, as well as the quality and integrity of international education in Australia but without serious amendments, this bill will do more harm than good,” Senator Pocock said.
“Universities around the country, including the ANU and the University of Canberra here in the ACT are in dire financial positions following the COVID-19 pandemic.
“UC is facing a $36m deficit, and ANU announced last week that it too is having to take serious action, including cutting jobs, in the face of a $200m operating deficit. The new international student caps and the manner in which they are being introduced are compounding these difficulties.
“We need to have a sensible conversation about migration and then develop a plan that takes into account housing, infrastructure and the impact on the environment, but I am concerned this bill is a knee jerk reaction and poorly thought through.
“At the same time that the government is rushing this it is going slow on other big reforms that will make a huge difference to students, like abolishing the failed Job Ready Graduates program that is driving up the cost of degrees, and changing the date on which student loans are indexed so we don’t charge interest on debts already repaid.
“In addition to adverse impacts on universities and the broader economy, this bill will also devastate a range of independent higher education providers who have not done anything wrong and are not part of the problem the government is seeking to fix.
“The bill is a blunt instrument with poorly drafted policies put together on the run for political reasons.
“It appears that once again we will see the major parties do a deal on major reform that ignores the views of stakeholders and the community around the need for some really sensible changes.
“After failing to stand up for Canberrans for decades, the Liberals lost their only ACT senate seat at the last election, and it looks like they are ignoring our needs again now.
“Labor meanwhile seems to again be taking Canberra for granted. While South Australia got a generous deal and the NT has been carved out altogether, the ACT is going to be hit hard despite all of the investment our universities have put into student accommodation over the last decade.”
Following a comprehensive senate committee inquiry process and in-depth consultation with stakeholders, Senator Pocock is putting forward a range of amendments to mitigate the most harmful aspects of the bill while still achieving its worthwhile objectives.
Senator Pocock said the weight of evidence tendered to this inquiry leads firmly to the conclusion that this Bill should not pass without significant amendments, including winding back, and putting guardrails around, the extraordinary powers this Bill confers on the Minister.
List of proposed amendments:
Recommendation 1: Delay commencement of Parts 7 & 8 of the Bill to 1 January 2026 to enable an orderly transition without further damaging Australia’s international reputation and the longevity of our international education sector.
Recommendation 2: Include ‘sunset provisions’ in relation to the Minister’s powers so that they sunset at the sooner of two years, or when a relevant Mission Based Compact entered into.
Recommendation 3: Amend the Bill to require the use of formulas and rules in the legislative instrument and remove the power to cap providers or vary legislative instruments independently of the Parliament. Establish legislated criteria for setting caps and require the Minister to provide and publish a statement of reasons for each cap.
Recommendation 4: Insert a provision creating an independent process for providers to challenge and/or request a formal review of any cap they are given.
Recommendation 5: Set a floor on the annual international student caps to give providers a minimum level of certainty to plan their budgets. The floor is proposed to be a cap that is not more than 15% lower than the previous year’s cap or the average of the previous three calendar years, whichever is higher.
Recommendation 6: Amend the breach provisions, so that they are more proportionate, and so that suspensions are not automatically triggered for minor breaches. Include a range in the international student cap allocations to each institution to provide flexibility and minimise unintentional breaches of the cap. Include at least one warning of potential breaches prior to penalties being enforced.
Recommendation 7: Insert a provision that annual international student cap limits must be provided no later than 1 July of the preceding year and be publicly notified.
Recommendation 8: Require the formula for setting caps to take into account the provision of existing student accommodation, including any arrangements through third party providers.
Recommendation 9: Remove the Minister’s power to set caps at a course level.
Recommendation 10: Provide clarity to providers around the priority categories of students to be excluded from the caps including postgraduate research students, exchange/study abroad/mobility students, and students in transnational education (TNE) programs.
Recommendation 11: Require the Minister to consult with a registered provider before determining a limit for that provider
Recommendation 12: Insert a new provision requiring the government to maintain a public register of all notifications provided. Notifications to providers should be directed to be immediately included in the register.
Recommendation 13: Amend the definition of education agent to make it clear that an agent is an entity that engages in the specified activities in relation to a provider in exchange for a commission, and that is listed in the PRISMS system.
Recommendation 14: Better define enrolment for the purposes of setting annual international student caps.
Recommendation 15: In consultation with stakeholders, develop and legislate a workable system for reallocating unused places.
Recommendation 16: Narrow the reasons why the Minister can suspend or cancel a course to those with systemic integrity issues.
Recommendation 17: Ensure the legislation allows new independent higher education providers to enter the market with appropriate quality and integrity safeguards.
Recommendation 18: The government should develop a national plan for population and immigration that sets specific targets through consultation with Australians and consideration of impacts on housing accessibility and affordability, infrastructure, the environment and water, and our priority work skills needed.