Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006

Administered by Department of Education

Legislation au C2006A00144 In force Act

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Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006

 

No. 144, 2006

 

 

 

 

 

An Act to amend the law about education services for overseas students, and for related purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedule(s)

Schedule 1—Membership of tuition assurance scheme as prerequisite for registration

Education Services for Overseas Students Act 2000

Schedule 2—Reporting by registered provider

Part 1—Early termination of studies

Education Services for Overseas Students Act 2000

Part 2—Breach of prescribed conditions of student visa

Education Services for Overseas Students Act 2000

Migration Act 1958

Schedule 3—Refunds to students etc.

Education Services for Overseas Students Act 2000

Schedule 4—National code

Education Services for Overseas Students Act 2000

 

 

 

Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006

No. 144, 2006

 

 

 

An Act to amend the law about education services for overseas students, and for related purposes

[Assented to 6 December 2006]

The Parliament of Australia enacts:

1  Short title

  This Act may be cited as the Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1.  Sections 1 to 3 and anything in this Act not elsewhere covered by this table

The day on which this Act receives the Royal Assent.

6 December 2006

2.  Schedule 1

1 January 2007.

1 January 2007

3.  Schedule 2, Part 1

1 January 2007.

1 January 2007

4.  Schedule 2, Part 2

1 July 2007.

1 July 2007

5.  Schedules 3 and 4

1 January 2007.

1 January 2007

Note: This table relates only to the provisions of this Act as originally passed by both Houses of the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

 (2) Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.

3  Schedule(s)

  Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.


Schedule 1—Membership of tuition assurance scheme as prerequisite for registration

 

Education Services for Overseas Students Act 2000

1  After paragraph 9(2)(b)

Insert:

 (ba) either:

 (i) the provider is a member of a tuition assurance scheme that is established in accordance with the regulations made for the purposes of paragraph 22(1)(a) and that covers the course; or

 (ii) the provider is exempt from the requirements of section 22 under regulations made for the purposes of subsection 22(3); and

2  Application

Paragraph 9(2)(ba) of the Education Services for Overseas Students Act 2000 applies in relation to the registration of providers on and after the commencement of this Schedule.


Schedule 2—Reporting by registered provider

Part 1—Early termination of studies

Education Services for Overseas Students Act 2000

1  Paragraph 19(1)(d)

Omit “studies by an accepted student”, substitute “an accepted student’s studies (whether as a result of action by the student or the provider or otherwise)”.


Part 2—Breach of prescribed conditions of student visa

Education Services for Overseas Students Act 2000

2  Subsections 19(2) and 20(1)

Omit “student visa condition relating to attendance or satisfactory academic performance”, substitute “prescribed condition of a student visa”.

3  Application

The amendment of subsections 19(2) and 20(1) of the Education Services for Overseas Students Act 2000 made by this Part applies to breaches of conditions of visas that occur on or after the commencement of this Part.

4  Subsection 104(1) (penalty)

Omit “60”, substitute “50”.

5  Subsection 104(3) (penalty)

Omit “60”, substitute “50”.

6  Subsection 104(4) (penalty)

Omit “60”, substitute “50”.

Migration Act 1958

7  Subsection 137J(1) (note)

Omit “relating to attendance or satisfactory academic performance”, substitute “that is prescribed by regulations made for the purposes of that Act”.


Schedule 3—Refunds to students etc.

 

Education Services for Overseas Students Act 2000

1  At the end of subsection 27(2)

Add:

 ; or (c) the registered provider of the course refuses to provide, or continue providing, the course to the student because of one or more of the following events:

 (i) the student failed to pay an amount he or she was liable to pay the provider, directly or indirectly, in order to undertake the course;

 (ii) the student breached a condition of his or her student visa;

 (iii) misbehaviour by the student.

2  Subsection 27(3) (at the end of the definition of default day)

Add:

 ; or (d) the day on which the registered provider of the course refuses to provide, or continue providing, the course to the student, if paragraph (2)(c) applies.

3  Application

The amendments of section 27 of the Education Services for Overseas Students Act 2000 by this Schedule apply to refusals because of acts and omissions by overseas students and intending overseas students occurring on or after the commencement of this Schedule.

4  At the end of section 28

Add:

 (4) Despite subsection (1), this section does not apply if:

 (a) the student was refused a student visa; and

 (b) the refusal was a reason for one or more of the following acts or omissions by the student that directly or indirectly caused subsection 27(2) to apply:

 (i) the student’s failure to start the course on the agreed starting day;

 (ii) the student’s withdrawal from the course;

 (iii) the student’s failure to pay an amount he or she was liable to pay the provider, directly or indirectly, in order to undertake the course.

5  Application

Section 28 of the Education Services for Overseas Students Act 2000 as amended by this Schedule applies in relation to agreements made on or after the commencement of this Schedule.

6  After subsection 76(1)

Insert:

 (1A) The Fund Manager must not make a determination under subsection (1) if the time when the Fund Manager becomes aware that the circumstances described in paragraphs (1)(a), (b) and (c) may exist is more than 12 months after the default day relevant to the requirement mentioned in paragraph (1)(a).

7  Application

Subsection 76(1A) of the Education Services for Overseas Students Act 2000 applies in relation to default days that are on or after the commencement of this Schedule.

8  Subsection 76(2)

Omit “However”, substitute “Despite subsection (1)”.

9  After subsection 77(1)

Insert:

 (1A) However, the amount that the Fund Manager must pay out of the Fund under paragraph (1)(b) is reduced by the amount worked out under the regulations if:

 (a) the student undertook (but did not complete) the course (the old course) to which the call made on the Fund relates; and

 (b) since undertaking the old course, the student has been enrolled in another course (the new course); and

 (c) the work required of the student in undertaking the new course is reduced on account of the student’s work in undertaking the old course.

10  After section 77

Insert:

77A  Fund Manager may ask provider of new course about academic credit or recognition of prior learning

 (1) This section applies for the purposes of enabling the Fund Manager to work out:

 (a) whether subsection 77(1A) applies to reduce the amount payable out of the Fund because:

 (i) since undertaking a course (the old course) to which a call made on the Fund relates, the student concerned has been enrolled in another course (the new course); and

 (ii) the work required of the student in undertaking the new course is reduced on account of the student’s work in undertaking the old course; and

 (b) the amount of any reduction of a payment out of the Fund under subsection 77(1A).

 (2) The Fund Manager may request a registered provider whom the Fund Manager believes has enrolled the student in the new course to inform the Fund Manager within a specified reasonable period:

 (a) whether the provider has enrolled the student; and

 (b) whether the work required of the student in undertaking the new course is reduced on account of the student’s work in undertaking the old course; and

 (c) if the work is reduced, the extent and monetary value of the reduction.

 (3) The registered provider must comply with the request.

Note: The Minister may take action under Division 1 of Part 6 against a registered provider that has breached this section.

11  Application

Subsection 77(1A) and section 77A of the Education Services for Overseas Students Act 2000 apply in relation to calls made on the Fund on or after the commencement of this Schedule.


Schedule 4—National code

 

Education Services for Overseas Students Act 2000

1  Section 5 (definition of national code)

Repeal the definition, substitute:

national code means the National Code of Practice for Registration Authorities and Providers of Education and Training to Overseas Students in force under Part 4.

2  Subsection 9(8)

Repeal the subsection, substitute:

 (8) Paragraph (2)(ca) does not apply when there is not a national code in force.

3  Subsection 33(1)

Repeal the subsection, substitute:

 (1) The Minister may make a national code by legislative instrument expressed to commence on a day at least 28 days after it is registered in the Federal Register of Legislative Instruments.

Note: The Minister may amend the national code by legislative instrument with that kind of commencement provision, after consultations like those the Minister must undertake under section 36 before making the code. See subsection 33(3) of the Acts Interpretation Act 1901.

4  At the end of section 33

Add:

 (3) The Minister must ensure as far as practicable that there is a national code in force at all times.

5  Section 35

Repeal the section.

6  Subsection 36(2)

Omit “establishing the”, substitute “making a”.

7  Sections 37 and 39

Repeal the sections.

8  Subsections 41(1) and (2)

Repeal the subsections, substitute:

 (1) The Secretary must give each registered provider written notice of:

 (a) the making or amendment of the national code; and

 (b) the day on which the code or amendment takes effect for the provider; and

 (c) the way in which the provider can get access to the text of the code in force on that day.

 (2) A notice given under subsection (1) is not a legislative instrument.

9  At the end of subsection 41(3)

Add “or an amendment of the code”.

10  Section 42

Repeal the section.

11  Transitional provision

The national code that was in force immediately before the commencement of this Schedule continues in force after that commencement as if it had been made under Part 4 of the Education Services for Overseas Students Act 2000 as amended by this Schedule.

 

 

 [Minister’s second reading speech made in—

House of Representatives on 6 September 2006

Senate on 14 September 2006]

(112/06)

 

Overview

The Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006 was enacted by the Parliament of Australia to address specific issues related to the regulation and administration of education services for overseas students. This legislation was introduced to amend the Education Services for Overseas Students Act 2000, aiming to enhance the quality and standards of education services provided to overseas students in Australia. The policy objective behind this amendment is to ensure that educational institutions meet certain criteria and obligations, particularly in relation to the assurance of tuition, reporting requirements, refunds to students, and the implementation of a national code of practice. By making membership in a tuition assurance scheme a prerequisite for registration and introducing reporting requirements for early termination of studies and breaches of student visa conditions, the Act seeks to provide greater protection and assurance for overseas students. Furthermore, the Act amends provisions related to refunds and the national code to streamline the regulatory framework and improve the overall experience for overseas students in Australia.

Scope and Application

The Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006 applies to entities and individuals involved in providing education services to overseas students in Australia. This includes educational institutions, registered providers, and students themselves. The Act amends the Education Services for Overseas Students Act 2000 to impose new requirements and enhance existing obligations related to tuition assurance schemes, reporting of student visa breaches, refunds to students, and the implementation of a national code of practice for providers of education and training to overseas students. The jurisdictional reach of the Act is at the Commonwealth level, impacting all entities and individuals within Australia. Certain provisions of the Act, such as those concerning reporting of breaches of prescribed student visa conditions, have specific commencement dates, with different parts of the Act commencing on various dates from January to July 2007. The Act does not explicitly state any exclusions or exemptions but operates through subordinate instruments, such as regulations, to further define and refine the application of its provisions.

Key Provisions

The Education Services for Overseas Students Legislation Amendment (2006 Measures No. 2) Act 2006 amends the Education Services for Overseas Students Act 2000, primarily by introducing new requirements for education providers and altering the circumstances under which refunds are due to students. Under section 1 of Schedule 1, a new requirement is introduced that education providers must be members of a tuition assurance scheme, or be exempt from this requirement, to be eligible for registration. Schedule 2 modifies the reporting obligations of registered providers. Specifically, it broadens the scope of events that must be reported, such as early termination of studies by students and breaches of prescribed visa conditions, to ensure better oversight of student welfare and compliance with visa conditions. Schedule 3 introduces changes to the refund provisions for students, including situations where a provider may refuse to provide or continue a course, such as failure to pay fees or breaching visa conditions, and outlines the circumstances under which a refund is still due. The amendments also affect the calculation of refunds, particularly where a student has undertaken another course that may reduce the work required in a subsequent course. The Act imposes several obligations on education providers, including the necessity to be members of a tuition assurance scheme or be exempt from such membership. Providers are also required to report specific events, such as early termination of studies by students and breaches of visa conditions, to the relevant authorities. Furthermore, providers must adhere to new refund provisions, ensuring that they provide refunds under certain conditions even if they refuse to continue providing a course to a student. These obligations are aimed at enhancing the quality and oversight of education services provided to overseas students, ensuring compliance with visa conditions, and protecting the rights of students to refunds under specified circumstances. Breaches of the provisions in this Act can lead to significant penalties. For instance, under the amended subsections 104(1), 104(3), and 104(4) of the Education Services for Overseas Students Act 2000, the maximum penalty for certain offences has been reduced from 60 penalty units to 50 penalty units. Additionally, the amendments to the Migration Act 1958 ensure that breaches of prescribed student visa conditions are properly addressed. Failure to comply with the new requirements and obligations can result in civil or criminal consequences, including financial penalties and other enforcement actions as stipulated by the Act.

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Area of Law
Education Law
Immigration & Refugee Law
Instrument
Act
Concepts
Commencement Provisions
Reporting & Disclosure Obligations
Licensing & Registration
Repeal & Amendment
Enforcement Powers

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.