EXPLANATORY STATEMENT
Migration Regulations 1994
EVIDENCE OF FURTHER FUNDS AND LIVING COSTS
- This Instrument is made under Schedule 2, paragraphs 570.613(3)(b), 572.613(3)(b), 573.613(3)(b), 574.613(3)(b), 575.613(3)(b) and clause 580.111; and schedule 5A, subclause 5A104(1) and paragraph 5A302(b); and schedule 5B, paragraph 5B102(1)(a) of the Migration Regulations 1994 (‘the Regulations’).
2. From 1 January 2010, subclause 5A104(1) and paragraphs 5B102(1)(a) and 580.111 of the Regulations provides for the amount of living costs a student visa applicant must demonstrate or declare to be specified in an instrument in writing.
3. Paragraphs 570.613(3)(b), 572.613(3)(b), 573.613(3)(b), 574.613(3)(b), and 575.613(3)(b), of the Regulations provide for an additional requirement in relation to the amount of funds a student visa applicant must demonstrate, if the student is subject to an assessment level of 3, proposes to study in Australia for 10 months or less, and does not want to be granted a student visa subject to Condition 8534. This condition prevents a student from being granted a further substantive visa while in Australia (except for a protection visa, student visa, Subclass 497 (Graduate – Skilled) visa or Subclass 580 visa). From 1 January 2010, the Regulations provide for this amount of funds to be specified in an instrument.
4. Paragraph 5A302(b) of the Regulations provides for an additional requirement in relation to the amount of funds a student must demonstrate in order to meet the ‘financial capacity’ visa requirements if the student is seeking to apply for a Subclass 571 (Schools Sector) visa and is subject to an assessment level of 5. From 1 January 2010, the Regulations provide for the amount of funds to be specified in an instrument.
5. The purpose of the Instrument is to specify the living costs amount and further amounts of funds for student visa purposes as 18 000 AUD per year.
6. The Regulations in effect before 1 January 2010 do not provide for the amount of funds a student must declare or demonstrate in order to meet the visa requirements relating to living costs and further amounts of funds, to be specified in an instrument. The amount of funds is specified in the Regulations; the specified amount is 12 000 AUD per year.
7. The effect of this instrument will result in an increase in the living costs and further amounts of funds which students will have to declare or demonstrate in order to meet the requirements for grant of a student visa from 12 000 AUD to 18 000 AUD per year. The amount of funds has not increased since its introduction in 2001. These amounts act as an immigration integrity measure and are not intended to be indicative of the real costs of living in Australia. However, the intention in increasing these amounts is to better prepare students seeking to live and study in Australia. The support that is currently available in Australia to domestic students and estimates made by Australian Education International (AEI), suggest 18 000 AUD per year more accurately reflects the real costs of living in Australia.
8. Consultation was undertaken before the instrument was made as follows:
In August 2009, DIAC sought comments on the proposed increase to the living costs amount, from the Department of Education, Employment and Workplace Relations, the Department of Prime Minister and Cabinet, The Treasury, and the Department of Finance and Deregulation. All agencies agreed to the proposed increase.
9. The Instrument, IMMI 09/138, commences on 1 January 2010.