Explanatory Statement
Australian Skills Quality Authority instrument fixing fees No. 1 of 2011
Authority
This instrument is made under subsection 232(1) of the National Vocational Education and Training Regulator Act 2011 (the Act). That subsection provides that the Minister may, by legislative instrument, determine the amounts of fees the National VET Regulator may charge for goods and services it provides in performing its functions (other than the service mentioned in subsection 35(2) of the Act). Subsection 232(5) of the Act provides that the Minister's determination under subsection 232(1) may determine other matters relating to the payment of fees.
In accordance with subsection 155(2) of the Act, the National Vocational Education and Training Regulator Regulations 2011 specified that the National VET Regulator may also be known as the Australian Skills Quality Authority (ASQA).
In accordance with section 44 and Part 6 of the Legislative Instruments Act 2003, the Australian Skills Quality Authority instrument fixing fees No. 1 of 2011 (the Instrument) is not subject to disallowance or sunsetting to the extent that the Instrument determines fees.
Purpose and Operation
The objective of the Instrument is to enable the recovery of the costs of services provided by ASQA in performing its functions under the Act, in accordance with the Australian Government’s Cost Recovery Guidelines.
On 1 July 2011, ASQA assumed regulatory responsibility for functions that were previously performed by the states and territories in relation to the matters dealt with by the Act (Victoria and Western Australia retain regulatory responsibility for some organisations residing within their jurisdictions).
Description of the provisions
The Instrument has two Schedules.
Schedule A of the Instrument sets out the fees payable. The Schedule includes fees that are specifically referred to in the Act, such as fees to accompany particular applications (for example applications for registration as an NVR registered training organisation under the Act: see section 16(3)).
It also includes other fees for services provided by ASQA in performing its functions. ASQA's functions are listed in section 157 of the Act and include functions that are conferred on ASQA by or under the Education Services for Overseas Students Act 2000 (the ESOS Act) or any other law of the Commonwealth. ASQA is a designated authority for the purposes of the ESOS Act, and the Instrument sets out fees payable for services provided by ASQA as a designated authority.
The implementation of the ASQA fees and charges will be staggered to facilitate a smooth transition to the new system for registered training organisations, registered providers and course owners. This is consistent with the policy agreed by the Australian Government in 2010 to establish ASQA on the basis that it would initially be funded by partial cost recovery, and progressively transitioned to full cost recovery by 2014-15.
Schedule B of the Instrument sets out matters relating to the payment of the fees listed in Schedule A. For example, the Schedule sets out how NVR registered training organisations are required to pay their annual registration fee, the circumstances in which refunds of fees will be payable, and the circumstances in which certain fees are waived.
Development of Fees and Charges
The Instrument has been developed in accordance with the Australian Government Cost Recovery Guidelines (Cost Recovery Guidelines), administered by the Department of Finance and Deregulation.
Consultation
Before the Minister made the Instrument, the following consultation was undertaken:
> On 18 April 2011 a draft of the Instrument was posted on the ASQA website together with the Cost Recovery Impact Statement (CRIS) exposure draft inviting public comment. In April 2011, a message was emailed to all RTOs and listed industry personnel to alert them to the posting on the ASQA website. Over 140 submissions were recorded when invitations to submit feedback closed on 6 May 2011.
> On 21 April 2011 a consultation meeting was held with key industry stakeholders to include discussion of a draft version of the Instrument. Representatives from the following industry bodies were present at this meeting:
- Australian Council for Private Education and Training
- Enterprise RTO Association
- Victorian Automobile Chamber of Commerce
- Australian Chamber of Commerce and Industry
- Construction, Forestry, Mining and Energy Union
- Master Builders Association
- National Centre for Vocational Education Research
- TAFE Directors Association
- State and Territory VET Regulators.
The Instrument was subsequently recalibrated in response to the feedback that was received via the consultation process.
> The CRIS was presented to the Department of Finance and Deregulation (DoFD) for comment. On 27 May 2011, DoFD recommended that the CRIS proceed for approval. A copy of the CRIS is to be published at www.asqa.gov.au
Consultation required by the Act
> The Act also contains particular consultation requirements relating to the Instrument. The Minister was required to:
- obtain the Ministerial Council's agreement to the amount of certain fees (per subsection 232(2) of the Act). The fees were endorsed by the Ministerial Council on 30 June 2011.
- consult with ASQA about the amount of certain fees (per subsection 232(3) of the Act). These fees listed in the Instrument were prepared by the National VET Regulator Taskforce (DEEWR) when working on the implementation of ASQA and were agreed by the Minister on 15 June 2011.