Higher Education Support Act 2003 - VET Provider Approval (No. 10 of 2012)

Administered by Department of Industry, Science and Resources

Legislation au F2012L01210 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Approval and Notice of Approval under clauses 6 and 11 of Schedule 1A

to the Higher Education Support Act 2003

 

VET Provider Approval No. 10 of 2012

 

Issued by the authority of the

Minister for Tertiary Education, Skills, Science and Research

 

Subject: Higher Education Support Act 2003 (HESA)

VET Provider approval and Notice of Approval under clauses 6 and 11 of Schedule 1A to HESA

 

Authority

Schedule 1A to HESA makes provision for the VET FEE-HELP Assistance Scheme.  Clause 6 of Schedule 1A provides for the approval of bodies as VET Providers by the Minister, while clause 11 of Schedule 1A provides that the Minister must decide an application for approval as a VET Provider (paragraph 11(1)(a)) and cause the applicant to be notified in writing whether or not the applicant is approved as a VET provider (paragraph 11(1)(b)).

Subclause 12(1) Schedule 1A to HESA stipulates that a Notice of Approval of a body as a VET Provider is a legislative instrument.

Under section 2385 of HESA the Minister has delegated his powers under clauses 6 and 11 of Schedule 1A to HESA to an APS employee in the Department.

 

Purpose

This instrument approves Minister for Employment, Higher Education and Skills (ABN: 43 266 201 237) as a VET Provider under Clause 6 of Schedule 1A to HESA and as a consequence decides the application of Minister for Employment, Higher Education and Skills for the purposes of paragraph 11(1)(a) of Schedule 1A to HESA.  The instrument also gives Minister for Employment, Higher Education and Skills notice of that approval for the purposes of paragraph 11(1)(b) of Schedule 1A to HESA.

 

Background

VET FEE-HELP is an income contingent loan scheme for the vocational education and training (VET) sector that is part of the Higher Education Loan Program (HELP).  It is an extension of the higher education FEEHELP arrangements.

VET FEE-HELP assists eligible students to pay for all or part of their VET tuition fees when studying one or more of the following eligible accredited VET courses of study: diploma; advanced diploma; graduate certificate; and graduate diploma.

 

Bodies corporate that are also Registered Training Organisations (RTOs) are able to apply to become approved as VET providers.  If approved, a VET provider will be able to offer VET FEE-HELP assistance to its eligible students.

 

Commencement

In accordance with subclause 12(2) of Schedule 1A to HESA and paragraph 12(1)(d) of the Legislative Instruments Act 2003, the notice and the decision to approve Minister for Employment, Higher Education and Skills as a VET provider take effect on the day after the notice is registered on the Federal Register of Legislative Instruments.

 

Consultation

Consultation was not undertaken and was not considered necessary in this case because the notice confers a benefit on Minister for Employment, Higher Education and Skills and this body is the only body affected by the notice.  This notice will not have a direct or substantial indirect effect on business, nor will it restrict competition.


Statement of Compatibility with Human Rights

 

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Notice of Approval - VET Provider Approval

 

This Legislative Instrument (the Instrument) is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

Overview of the Legislative Instrument

 

The Instrument is made by the Minister under subclause 6(1), paragraph 11(1)(b) and subclause 12(1) of Schedule 1A to the Higher Education Support Act 2003 (the Act).

 

The purpose of the Instrument is to approve Minister for Employment, Higher Education and Skills as a VET provider for the purposes of the VET FEEHELP Assistance Scheme under the Act.

 

For the Minister to approve a body corporate as a VET provider the Minister must be satisfied that the body meets the requirements of subclause 6(1) of Schedule 1A to the Act.

 

Human rights implications

 

Right to education

 

The Instrument engages the right to education, contained in Article 13 of the International Covenant on Economic, Social, and Cultural Rights. In particular, this Instrument has an effect on the provision of vocational education and training by Minister for Employment, Higher Education and Skills by approving it as a VET provider for the purposes of the VET FEE-HELP Assistance Scheme under the Act, enabling it to offer VET FEEHELP Assistance to its eligible students.

 

The objective of the Instrument is to approve Minister for Employment, Higher Education and Skills as a VET provider under the Act and thereby enable eligible students of Minister for Employment, Higher Education and Skills to access VET FEE-HELP Assistance for VET courses of study.

 

To the extent that the right to education is engaged, this right is promoted by the Instrument as the Instrument approves Minister for Employment, Higher Education and Skills as a VET provider, thereby extending VET FEEHELP Assistance and the availability of education to its eligible students.

 

Conclusion

 

This Instrument is compatible with human rights because it advances the protection of human rights.

Overview

The Higher Education Support Act 2003 (HESA) was enacted to establish a framework for the Higher Education Loan Program (HELP) and its associated schemes, including VET FEE-HELP. The legislation was introduced to address the gap in financial assistance for vocational education and training (VET) students, allowing them to access income contingent loans to cover their tuition fees. Enacted by the Parliament of Australia, the Act aims to facilitate the provision of educational loans and support to students in the higher education and vocational training sectors. This legislative instrument, issued under the authority of the Minister for Tertiary Education, Skills, Science and Research, serves to approve specific entities as VET providers, thus enabling them to participate in the VET FEE-HELP Assistance Scheme and offer financial assistance to eligible VET students. The policy objective is to enhance access to vocational education and training by providing financial support, thereby promoting the right to education for eligible students.

Scope and Application

The VET Provider Approval No. 10 of 2012 under the Higher Education Support Act 2003 (HESA) pertains specifically to the approval of the Minister for Employment, Higher Education and Skills as a VET Provider for the purposes of the VET FEE-HELP Assistance Scheme. This legislative instrument approves the Minister for Employment, Higher Education and Skills, a body corporate and a Registered Training Organisation (RTO), as a VET Provider under clause 6 of Schedule 1A to HESA and notifies the Minister of this approval in accordance with clause 11 of Schedule 1A. The approval and notification process under this instrument is designed to facilitate the provision of VET FEE-HELP Assistance to eligible students of the approved entity, thus extending the availability of education and training within the vocational education and training sector. The instrument, which is a legislative instrument under subclause 12(1) of Schedule 1A to HESA, takes effect on the day after it is registered on the Federal Register of Legislative Instruments, as stipulated in subclause 12(2) of Schedule 1A and paragraph 12(1)(d) of the Legislative Instruments Act 2003. The scope of this Act is limited to the approval of the Minister for Employment, Higher Education and Skills as a VET Provider and the notification of this approval. The Act does not extend to other entities or individuals, and no consultation was deemed necessary as the notice solely benefits the Minister for Employment, Higher Education and Skills. Additionally, the Act does not have a direct or substantial indirect effect on business or restrict competition. The approval process engages the right to education under Article 13 of the International Covenant on Economic, Social, and Cultural Rights, promoting the provision of vocational education and training by the Minister for Employment, Higher Education and Skills and enabling eligible students to access VET FEE-HELP Assistance for VET courses of study.

Key Provisions

The Higher Education Support Act 2003 (HESA) contains provisions for the approval of bodies as Vocational Education and Training (VET) Providers, as outlined in Schedule 1A. Specifically, clause 6 provides the mechanism for the Minister's approval of such bodies, while clause 11 mandates that the Minister must decide an application for approval and notify the applicant in writing of the decision (clauses 6(1) and 11(1)(a), (b)). The approval process culminates in a Notice of Approval, which is a legislative instrument under subclause 12(1) of Schedule 1A. The Minister has delegated the powers under clauses 6 and 11 to an Australian Public Service (APS) employee in the Department. This legislative instrument approves the Minister for Employment, Higher Education and Skills as a VET Provider under clause 6 of Schedule 1A, and notifies the Minister of this decision in accordance with clause 11(1)(b). The approval and notification take effect on the day after the notice is registered on the Federal Register of Legislative Instruments (subclause 12(2) of Schedule 1A and paragraph 12(1)(d) of the Legislative Instruments Act 2003). The approval process under the HESA imposes certain obligations on the entities seeking to become VET Providers. These entities must meet the specified requirements under subclause 6(1) of Schedule 1A to be eligible for approval. The Minister must be satisfied that the applicant meets these requirements before granting approval. The obligations include, but are not limited to, demonstrating compliance with the criteria set forth in Schedule 1A, such as being a body corporate and being a Registered Training Organisation (RTO). Once approved, the VET Provider must adhere to the terms and conditions of the VET FEE-HELP Assistance Scheme, ensuring that eligible students can access the assistance for their tuition fees. The approval and the subsequent obligations are integral to the proper functioning of the VET FEE-HELP scheme, which is designed to support students in the vocational education and training sector. In terms of potential consequences for non-compliance, the HESA does not explicitly outline offences, penalties, or civil/criminal consequences for breach within this particular legislative instrument. However, it is reasonable to infer that failure to comply with the obligations and requirements imposed by the Act and the legislative instrument could result in the revocation of the VET Provider approval. This revocation would prevent the entity from offering VET FEE-HELP assistance to its students, thereby impacting its operations and the educational opportunities available to its students. While the specific penalties for non-compliance are not detailed in the explanatory statement, the overarching legal framework of HESA and associated regulations would apply to ensure adherence to the approved terms and conditions.

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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.