Higher Education Support Act 2003 - VET Provider Approval (No. 52 of 2014)

Legislation au F2014L01108 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Approval and Notice of Approval under subclauses 6(1) and 11(1) of Schedule 1A

to the Higher Education Support Act 2003

 

VET Provider Approval No. 52 of 2014

 

Issued by the authority of the Minister for Education

 

Authority

Subclause 6(1) of Schedule 1A to the Higher Education Support Act 2003 (the Act) provides for the approval of bodies as VET Providers by the Minister. Subclause 12A(1) of Schedule 1A to the Act provides for the Minister to impose conditions on a body’s approval as a VET provider. Paragraph 11(1)(a) of Schedule 1A to the Act provides that the Minister must decide an application for approval as a VET Provider and under paragraph 11(1)(b) cause the applicant to be notified in writing whether or not the applicant is approved as a VET provider.

 

Under section 2385 of the Act the Minister has delegated his powers under clauses 6 and 11 of Schedule 1A to the Act to an APS employee responsible for administering the Act.

 

Subclause 12(1) of Schedule 1A to the Act stipulates that a notice of approval under paragraph 11(1)(b) of the Act is a legislative instrument.

 

Purpose

This instrument:

a. approves Virtu Design Institute Pty Limited (ACN: 154 273 757   ABN: 31 154 273 757) as a VET Provider under subclause 6(1) of Schedule 1A to the Act;

b. imposes conditions on the approval of Virtu Design Institute Pty Limited as a VET provider under subclause 12A(1) of Schedule 1A to the Act;

c. decides the application of Virtu Design Institute Pty Limited for the purposes of paragraph 11(1)(a) of Schedule 1A to the Act; and

d. gives Virtu Design Institute Pty Limited notice of that approval for the purposes of paragraph 11(1)(b) of Schedule 1A to the Act.

 

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.

 

In accordance with subclause 6(1) of Schedule 1A to the Act, bodies corporate that are also Registered Training Organisations (RTOs) are able to apply to become approved as a VET provider.  If approved, a VET provider will be able to offer VET FEE-HELP assistance to its eligible students.

Conditions

The Minister has the power under clause 12A of Schedule 1A to the Act, to impose or vary conditions on a body’s approval as a VET provider. Conditions imposed under that provision are set out in the Notice of Approval for Virtu Design Institute Pty Limited’s approval as a VET provider.

 

Virtu Design Institute Pty Limited is required to comply with conditions 1 to 4 for a period of 24 months from the date of commencement of the approval as a VET provider and conditions 5 to 8 while Virtu Design Institute Pty Limited continues to be an approved VET provider.

 

In accordance with subclauses 33(1) and 36(1) of Schedule 1A to the Act, the Minister may suspend or revoke Virtu Design Institute Pty Limited’s approval as a VET provider if Virtu Design Institute Pty Limited breaches any of the conditions imposed on Virtu Design Institute Pty Limited’s approval as a VET provider.

 

Commencement

In accordance with subclause 12(2) of Schedule 1A to the Act and paragraph 12(1)(d) of the Legislative Instruments Act 2003, the notice and the decision to approve Virtu Design Institute Pty Limited 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 Virtu Design Institute Pty Limited 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

 

This 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 Act. The purpose of the Instrument is to approve Virtu Design Institute Pty Limited as a VET provider for the purposes of the VET FEEHELP Assistance Scheme under the Act. For approval 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 Virtu Design Institute Pty Limited 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 Virtu Design Institute Pty Limited as a VET provider under the Act and thereby enable eligible students of Virtu Design Institute Pty Limited to access VET FEEHELP 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 Virtu Design Institute Pty Limited 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, enacted by the Parliament of Australia, is designed to support the higher education sector and ensure the quality of education and training provided. The Act addresses the need for a regulatory framework that supports vocational education and training (VET) providers, including the establishment of a system for the approval of VET providers. This is crucial to ensure that students have access to quality education and training, and that financial support mechanisms such as the VET FEE-HELP Assistance Scheme are managed effectively. The policy objective of the Act is to promote access to higher education and vocational training by providing financial assistance and ensuring that the standards of educational providers are upheld. The Minister for Education, under the authority of the Act, has the power to approve bodies as VET providers, impose conditions on such approval, and provide notice of the approval decision. This legislative framework ensures that only qualified and compliant entities can participate in the VET FEE-HELP scheme, thereby safeguarding the interests of students and the integrity of the vocational education and training sector.

Scope and Application

This legislative instrument pertains to the approval of Virtu Design Institute Pty Limited as a VET Provider under the Higher Education Support Act 2003. The Act applies to bodies corporate that are also Registered Training Organisations (RTOs) seeking to become approved as a VET provider, thereby gaining the ability to offer VET FEE-HELP assistance to eligible students. The Minister for Education has the authority to approve or deny such applications, impose conditions on the approval, and communicate the decision to the applicant. The approval process involves ensuring the body meets the requirements of subclause 6(1) of Schedule 1A to the Act and considers various factors to determine eligibility. Once approved, the VET provider must comply with specific conditions for a set period and continuously while maintaining their approval status. The Minister retains the power to suspend or revoke approval if conditions are breached, as per subclauses 33(1) and 36(1) of Schedule 1A to the Act. The legislative instrument is a Commonwealth instrument, thus applying nationally within Australia, and is compatible with human rights as it facilitates access to vocational education and training through the approval of Virtu Design Institute Pty Limited as a VET provider.

Key Provisions

The main operative sections of this legislation include subclause 6(1) of Schedule 1A to the Higher Education Support Act 2003, which outlines the process for the Minister to approve bodies as VET Providers (paragraphs 1 and 2). Subclause 12A(1) of Schedule 1A to the Act allows the Minister to impose conditions on a body’s approval as a VET provider (paragraph 4). Paragraph 11(1)(a) of Schedule 1A to the Act mandates the Minister to decide on an application for approval as a VET Provider, and paragraph 11(1)(b) requires the Minister to notify the applicant in writing of the approval status (paragraph 5). The Minister has delegated his powers under clauses 6 and 11 of Schedule 1A to the Act to an APS employee responsible for administering the Act (paragraph 7). The obligations and requirements imposed by the Act on the parties it governs include the need for Virtu Design Institute Pty Limited to comply with the conditions set forth for a specified period (paragraphs 9 and 10). These conditions range from general compliance with the Act to specific requirements related to the provision of VET FEE-HELP assistance. The Minister has the authority to suspend or revoke Virtu Design Institute Pty Limited’s approval if any conditions are breached (paragraphs 11 and 12). The approval and conditions take effect on the day after the notice is registered on the Federal Register of Legislative Instruments (paragraph 15). The Act imposes various obligations and requirements on Virtu Design Institute Pty Limited. Firstly, the Institute must comply with the conditions imposed by the Minister as part of its approval process. These conditions are detailed in the Notice of Approval and include specific requirements that the Institute must adhere to for a period of 24 months from the date of commencement of the approval (paragraph 10). Additionally, the Institute must continue to meet these conditions as long as it remains an approved VET provider (paragraph 10). The Minister’s authority to impose conditions is derived from subclause 12A(1) of Schedule 1A to the Act, allowing for flexibility in the regulatory framework while ensuring that the Institute operates within the prescribed guidelines. Compliance with these conditions is crucial for maintaining the Institute’s approval status and eligibility to offer VET FEE-HELP assistance to its students (paragraph 11). The Act also outlines specific offences, penalties, and consequences for breaches. The Minister has the authority to suspend or revoke Virtu Design Institute Pty Limited’s approval if the Institute fails to comply with any of the imposed conditions (paragraphs 11 and 12). This power is derived from subclauses 33(1) and 36(1) of Schedule 1A to the Act, which provide the legal basis for such actions. The consequences of non-compliance can be severe, potentially leading to the Institute losing its ability to offer VET FEE-HELP assistance and its status as an approved VET provider. The specific penalties and consequences are not detailed in the provided text, but they are likely to be significant, given the importance of the VET FEE-HELP scheme and the regulatory oversight required to ensure its proper functioning (paragraph 12).

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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.