EXPLANATORY STATEMENT
Approval and Notice of approval under clauses 6 and 11 of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval No. 26 of 2010
Issued by the authority of the
Minister for Tertiary Education, Skills, Jobs and Workplace Relations
Subject: Higher Education Support Act 2003 (HESA)
VET Provider approval and notice of approval under clauses 6 and 11 of Schedule 1A of HESA
Authority
Schedule 1A of 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) of HESA stipulates that a notice of approval of a body as a VET Provider is a legislative instrument.
Under section 238-5 of HESA the Minister has delegated his powers under clauses 6 and 11 of Schedule 1A of HESA to an APS employee in the Department.
Purpose
This instrument approves Allied Educational Services Pty Ltd as a VET Provider under Clause 6 of Schedule 1A of HESA and as a consequence decides the application of Allied Educational Services Pty Ltd for the purposes of paragraph 11(1)(a) of Schedule 1A of HESA. The instrument also gives Allied Educational Services Pty Ltd notice of that approval for the purposes of paragraph 11(1)(b) of Schedule 1A of 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 FEE-HELP 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 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 its eligible students.
Commencement
In accordance with subclause 12(2) of Schedule 1A of HESA and paragraph 12(1)(d) of the Legislative Instruments Act 2003, the notice and the decision to approve Allied Educational Services Pty Ltd 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 Allied Educational Services 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 (HESA) was enacted to provide for the financial support of students in the higher education and vocational education and training sectors. One of the key provisions of this Act is the VET FEE-HELP Assistance Scheme, which extends the income contingent loan scheme to the VET sector. The Act addresses the problem of limited financial access to vocational education by enabling eligible students to pay for all or part of their tuition fees. Enacted by the Australian Parliament, the policy objective of HESA is to ensure that higher education and vocational training opportunities are accessible to all Australians. The explanatory statement for the legislative instrument F2010L03325 provides for the approval of Allied Educational Services Pty Ltd as a VET Provider under clauses 6 and 11 of Schedule 1A of HESA. This approval process, delegated by the Minister for Tertiary Education, Skills, Jobs and Workplace Relations to an employee of the Department, allows the approved body to offer VET FEE-HELP assistance to its eligible students, thereby supporting their vocational education and training aspirations.
Scope and Application
The VET Provider Approval No. 26 of 2010 issued under the Higher Education Support Act 2003 (HESA) pertains specifically to the approval of Allied Educational Services Pty Ltd as a Vocational Education and Training (VET) provider. This approval is granted in accordance with clauses 6 and 11 of Schedule 1A of HESA, which facilitates the VET FEE-HELP Assistance Scheme. The approval enables Allied Educational Services Pty Ltd to offer VET FEE-HELP assistance to eligible students studying certain accredited VET courses, including diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The decision to approve and the subsequent notice of approval are legislative instruments under subclause 12(1) of HESA, and they come into effect the day after they are registered on the Federal Register of Legislative Instruments. The scope of this approval is limited to Allied Educational Services Pty Ltd, which is the sole entity affected by this notice, and consultation was deemed unnecessary as it does not have a direct or substantial indirect effect on business or competition.
Key Provisions
The main operative sections of this legislation are clauses 6 and 11 of Schedule 1A of the Higher Education Support Act 2003 (HESA). Clause 6 pertains to the approval of bodies as VET Providers by the Minister, while clause 11 outlines the decision-making process for approving an applicant as a VET Provider and the requirement to notify the applicant in writing of the decision. This notice of approval is considered a legislative instrument under subclause 12(1) of HESA. The approval of Allied Educational Services Pty Ltd as a VET Provider under clause 6 and the decision on its application for approval under clause 11, along with the notification of this approval, are the primary provisions of this legislative instrument.
The Act imposes several obligations and requirements on the parties involved. Primarily, it mandates the Minister to approve eligible bodies as VET Providers, which in this case, is Allied Educational Services Pty Ltd. This approval process is detailed in clause 6 of Schedule 1A of HESA. Additionally, clause 11(1)(a) requires the Minister to decide on the application for approval, and clause 11(1)(b) stipulates that the applicant must be notified in writing of the approval decision. The Minister has delegated these powers to an APS employee in the Department under section 238-5 of HESA. The approval and subsequent notification to Allied Educational Services Pty Ltd are to be documented as a legislative instrument, as per subclause 12(1) of HESA.
The legislation does not explicitly state offences or penalties for breaches; however, it operates under the framework of HESA, which may include provisions for sanctions in case of non-compliance. The approval process and the requirement to notify applicants in writing are critical to maintaining the integrity of the VET FEE-HELP Assistance Scheme. Any failure to comply with these provisions could potentially lead to administrative or legal consequences, though specific penalties are not detailed within this particular legislative instrument.