EXPLANATORY STATEMENT
Notice of approval pursuant to subsection 11(1) of Schedule 1A
of the Higher Education Support Act 2003
VET Provider Approval (No 4 of 2009)
Issued by the authority of the
Minister for Education
Subject: Higher Education Support Act 2003
VET Provider approval pursuant to clause 6 and subclause (11)(1) of Schedule 1A of the Higher Education Support Act 2003.
Notice of Approval
The Notice of Approval is made pursuant to subclause 11(1) of Schedule 1A of HESA. The purpose of this notice is to approve and give notice of approval of Australian Business Academy 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 clause 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 Australian Business Academy 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 VET Provider Approval (No 4 of 2009) was issued under the Higher Education Support Act 2003 (HESA) to facilitate the approval of vocational education and training (VET) providers for the VET FEE-HELP scheme. This scheme, part of the Higher Education Loan Program (HELP), extends FEE-HELP arrangements to the VET sector, assisting eligible students with their tuition fees. The Act, enacted by the Parliament of Australia, aims to enhance access to vocational education by providing financial assistance to full fee-paying students enrolled in accredited courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The policy objective is to support eligible students by enabling them to manage their tuition costs through income contingent loans. The Notice of Approval, issued by the Minister for Education, specifies the approval of Australian Business Academy Pty Ltd as a VET provider, allowing it to offer VET FEE-HELP assistance to its students. The approval process does not require consultation as it only affects the specific body approved.
Scope and Application
The VET Provider Approval (No 4 of 2009) Notice, issued under the Higher Education Support Act 2003, pertains specifically to the approval of Australian Business Academy Pty Ltd as a VET provider. This approval allows the entity to participate in the VET FEE-HELP scheme, which is an extension of the FEE-HELP arrangements designed to assist eligible students in paying for vocational education and training (VET) tuition fees. The act applies to Australian Business Academy Pty Ltd, a body corporate that is also a Registered Training Organisation (RTO). By becoming an approved VET provider, the entity can offer VET FEE-HELP assistance to its students who are enrolled in eligible accredited VET courses such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The notice comes into effect on the day following the disallowance resolution period, as stipulated in clause 12 of Schedule 1A of the Higher Education Support Act 2003. The decision to proceed without consultation was based on the fact that the notice solely benefits the specified entity and does not impose any restrictions on competition or have a substantial effect on business.
Key Provisions
The main operative sections of the notice, as per clause 11(1) of Schedule 1A of the Higher Education Support Act 2003 (HESA), provide for the approval of Australian Business Academy Pty Ltd as a VET provider. This approval allows the entity to offer VET FEE-HELP assistance to its eligible students studying eligible accredited VET courses, such as diplomas, advanced diplomas, graduate certificates, and graduate diplomas. The approval comes into effect on the day after the last day on which a House of Parliament could have passed a resolution disallowing the notice, as per clause 12 of Schedule 1A of HESA.
The Act imposes certain obligations on Australian Business Academy Pty Ltd now that it has been approved as a VET provider. These obligations include complying with the conditions of the approval, ensuring that only eligible students who are enrolled in the approved courses are provided with VET FEE-HELP assistance, and maintaining accurate records and reporting as required by the Department of Education, Skills and Employment. The entity must also ensure that its practices adhere to the standards and requirements set out in the Higher Education Support Act 2003 and any related regulations.
Failure to comply with the obligations imposed by the Act may result in various consequences. While specific offences and penalties are not detailed in the notice, breaches of the conditions of approval could lead to the revocation of the approval, resulting in the inability to offer VET FEE-HELP assistance. Additionally, there may be civil or administrative penalties imposed by the Department of Education, Skills and Employment for non-compliance with reporting or other statutory requirements. The exact nature and extent of these penalties would be determined in accordance with the relevant provisions of HESA and associated regulations.