EXPLANATORY STATEMENT
Notice of approval pursuant to subsection 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval (No. 2 of 2008)
Issued by the authority of the
Minister for Education
Subject: Higher Education Support Act 2003
VET Provider approval pursuant to section 6 and subsection (11)(1) of Schedule 1A of the Higher Education Support Act 2003.
Notice of Approval
The Notice of Approval is made pursuant to subsection 11(1) of Schedule 1A of HESA. The purpose of this notice is to approve and give notice of approval of SAE Investments (Australia) Pty Ltd as a VET provider.
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 FEE-HELP arrangements.
VET FEE-HELP assists eligible, full fee-paying 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 which 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 their eligible students.
Commencement
In accordance with section 12 of Schedule 1A of HESA, the approval takes effect on the day after the last day on which a House of Parliament could have passed a resolution disallowing the notice.
Consultation
Consultation was not undertaken and was not considered necessary in this case because the notice confers a benefit on SAE Investments (Australia) Pty Ltd 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.
Overview
The Higher Education Support Act 2003, enacted to streamline and support the delivery of higher education and vocational education and training in Australia, addresses the need for a robust framework to ensure that eligible students can access financial assistance for their education. The Act provides a mechanism for approving vocational education and training (VET) providers to offer VET FEE-HELP, which is a loan scheme aimed at assisting full fee-paying students with their tuition fees. The VET Provider Approval (No. 2 of 2008), issued by the authority of the Minister for Education, serves to approve SAE Investments (Australia) Pty Ltd as a VET provider under this scheme. This approval allows SAE Investments to offer VET FEE-HELP to its students, thereby facilitating access to accredited VET courses. The notice of approval highlights the policy objective of ensuring that eligible students have the financial support necessary to pursue diploma, advanced diploma, graduate certificate, and graduate diploma courses, ultimately enhancing educational opportunities within the VET sector.
Scope and Application
The Notice of Approval issued under subsection 11(1) of Schedule 1A of the Higher Education Support Act 2003 concerns the approval of SAE Investments (Australia) Pty Ltd as a VET provider. This approval allows the entity to offer VET FEE-HELP assistance to eligible students studying certain accredited VET courses, including diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The approval is limited to SAE Investments (Australia) Pty Ltd, a body corporate that is also a Registered Training Organisation, and does not extend to other entities or individuals. The approval takes effect on the date after the resolution disallowing the notice could have been passed by a House of Parliament, as per section 12 of Schedule 1A of the HESA. Given the specific nature of the approval and its limited effect, consultation was deemed unnecessary. The approval does not impose any restrictions on competition or have substantial effects on business operations.
Key Provisions
The VET Provider Approval (No. 2 of 2008) notice, issued under subsection 11(1) of Schedule 1A of the Higher Education Support Act 2003 (HESA), grants SAE Investments (Australia) Pty Ltd approval to function as a VET provider (paragraph 1). This approval is pivotal for the entity's ability to offer VET FEE-HELP assistance to its students. VET FEE-HELP is a loan scheme designed to support eligible full fee-paying students in paying for their vocational education and training (VET) tuition fees for courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas (paragraph 2). SAE Investments (Australia) Pty Ltd, as a Body Corporate that is also a Registered Training Organisation (RTO), can now offer this financial assistance to its students, subject to the terms and conditions of the approval (paragraph 3).
The approval imposes specific obligations on SAE Investments (Australia) Pty Ltd. These include adhering to the guidelines and standards set forth by the Commonwealth under the VET FEE-HELP scheme, ensuring that the courses offered are accredited, and maintaining the necessary records to comply with the Higher Education Support Act 2003. Furthermore, the entity must ensure that its students meet the eligibility criteria for the VET FEE-HELP loans, including being full fee-paying students enrolled in approved courses (paragraph 4). The approval also entails ongoing compliance with any changes to the VET FEE-HELP scheme and HESA, ensuring that the entity continues to meet the legislative requirements (paragraph 5).
Breaches of the obligations imposed by this approval may result in significant consequences. Under the Higher Education Support Act 2003, any failure to comply with the terms of the approval, including providing inaccurate information or offering courses that are not accredited, could lead to the revocation of the approval. Such revocation would prevent SAE Investments (Australia) Pty Ltd from offering VET FEE-HELP assistance to its students. Additionally, there may be civil or criminal penalties for non-compliance, although the specific penalties are detailed within the Act itself (paragraph 6). The potential penalties for non-compliance can include fines and other civil sanctions, reinforcing the importance of adhering to the legislative requirements (paragraph 7).