'The end of the competitive era' for tertiary education

Universities, polytechnics and all other forms of tertiary education will be brought more directly under the wing of the Government by decisions outlined in the Budget this afternoon.

The plan spells the most significant change to the tertiary sector since the late 1980s. It aims to end an era in which tertiary institutions have had to compete to attract students and the state funds that follow them.

While universities have welcomed the end of what they call the "competitive model," they are fiercely opposed to closer Government control.

Auckland University has already filed submissions questioning the role of the proposed Tertiary Education Commission as outlined by a Government advisory panel.

In the Budget the Government has raced ahead of the panel, which has yet to produce its final report.

The Tertiary Education Commission will be responsible for regulating and funding the entire sector, comprising universities, polytechnics, teachers' colleges, wananga, private training establishments, industry training and adult and community education providers.

A temporary supremo would be established within the Education Ministry by mid-year to take charge of the sector while the commission is being set up.

Finance Minister Michael Cullen said the Government intended to provide greater leadership to the sector as a key element of its aim to upgrade workforce skills and meet the needs of an economy geared to high technology.

The present system had succeeded in raising the proportion of New Zealanders with higher education to the levels of other developed countries, but participation was still too low among Maori and Pacific Islanders.

"To implement its tertiary education strategy, the Government will need effective mechanisms. All publicly funded providers and industry training organisations will be subject to a system of profiles and charters that set out their strategic direction and activities."

The commission would negotiate the charters and profiles with the institutions. It would also hold sway over their funding, make decisions about any increase in their capacity, and coordinate their services.

The NZ University Students' Association welcomed "the end of the competitive era."

But university administrators were more concerned about the Budget's predicted extension of the freeze on student fees for another year.

Auckland vice-chancellor John Hood said the 5.1 per cent increase in funding, offered on condition that fees are held, would leave the university $20 million worse off by the end of next year.

www.nzherald.co.nz/budget

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