Lee Rhiannon (NSW, Australian Greens) Share this | Hansard source

by leave—I move Greens amendments (5) to (23) on sheet 7193 in globo:

(5) Schedule 3, item 2, page 90 (line 10), after "tuition fees", insert "and accommodation fees".

(6) Schedule 3, item 4, page 91 (line 1), after "tuition fees", insert "and any accommodation fees".

(7) Schedule 3, item 5, page 92 (line 12), after "begun the course", insert ", or accommodation fees in relation to a study period before the student has begun the study period,".

(8) Schedule 3, item 5, page 92 (line 25), after "begun the course", insert ", or accommodation fees in relation to a study period before the student has begun the study period,".

(9) Schedule 3, item 5, page 93 (line 6), after "tuition fees", insert "and accommodation fees".

(10) Schedule 3, item 5, page 93 (line 8), after "tuition fees", insert "or accommodation fees".

(11) Schedule 3, item 5, page 93 (line 23), at the end of subsection 29(4), add:

  ; or (d) the amount is withdrawn to make a payment directly related to the provision of accommodation to a relevant student.

(12) Schedule 3, item 5, page 93 (line 24), after "Tuition fees", insert "and accommodation fees".

(13) Schedule 3, item 5, page 94 (after line 10), after paragraph 30(a), insert:

  (aa) accommodation fees for a study period for a course received by a provider, in respect of an overseas student or intending overseas student, before the student has begun the study period; or

(14) Schedule 3, item 6, page 95 (line 14), after "tuition fees", insert "or accommodation fees".

(15) Schedule 3, item 7, page 96 (line 3), before "The amendments", insert "(1)".

(16) Schedule 3, item 7, page 96 (after line 7), at the end of the item, add:

  (2) The amendments made by this Schedule apply in relation to any accommodation fees for a study period for a course that are received, after Division 1 of Part 1 of this Schedule commences, by a registered provider, in respect of an overseas student or intending overseas student, before the student has begun the study period.

(17) Schedule 4, heading, page 97 (line 1), at the end of the heading, add "and accommodation fees".

(18) Schedule 4, page 97 (after line 3), before item 1, insert:

  1A Section 5

     Insert:

         accommodation fees:

           (a) means fees a provider receives, directly or indirectly, from:

              (i) an overseas student or intending overseas student; or

              (ii) another person who pays the fees on behalf of an overseas student or intending overseas student;

              that are directly related to the provision of accommodation to the student; and

           (b) without limiting paragraph (a), includes any classes of fees prescribed by the regulations for the purposes of this paragraph; and

           (c) without limiting paragraph (a), excludes any classes of fees prescribed by the regulations for the purposes of this paragraph.

(19) Schedule 4, item 5, page 98 (line 2), after "tuition fees", insert "and accommodation fees".

(20) Schedule 4, item 6, page 98 (line 4), after "tuition fees", insert "or accommodation fees".

(21) Schedule 4, page 98 (after line 8), after item 8, insert:

  8A At the end of subsection 21(1)

     Add "or any accommodation fees for a study period for a course provided by the provider".

(22) Schedule 4, item 11, page 99 (line 3), before "The amendments", insert "(1)".

(23) Schedule 4, item 11, page 99 (after line 5), at the end of the item, add:

  (2) The amendments made by this Schedule apply in relation to any accommodation fees for a study period for a course that are received by a registered provider after this item commences.

Some of these issues were canvassed in the discussion that we had when we considered Senator Xenophon's amendment. The Greens have taken a somewhat different approach but it does deal with the same issue, which is largely about accommodation costs that international students incur when they are in our country.

The Greens do believe that this should be a key aspect of these bill s . What we are dealing with here is protection of overseas students to ensure their unexpended tuition fees are available for refund should their education provider default on course provision. W e are arguing that the protection does need to go further, because there is nothing in these bills to protect students when they pay other upfront substantial fees, such as accommodation fees to pro viders—and that does happen. The s e can disappear if there is a shonky provider. There have been examples of that—and, sadly, we know there will be further examples. A key issue here is that there needs to be some measure of protection in this legislation.

We propose amending the bill to afford prepaid accommodation fees the same protection as tuition fees. That is the question that the minister does need to answer here. Except for our item 11, where providers can draw down below the protected amount in order to make advance payments to accommodation suppliers , and may do so before a course commences, that protection does need to be in place.

I would put to senators that these amendments recognise the reality of paying upfront accommodation bonds and rent while ensuring the money is used only for accommodation, which is what the student has paid for. Again, the essence of this is about protecting the upfront money students have paid—in this case, in the main for accommodation. I f we are willing to put protection in place for tuition fees, why do we not give greater certainty and confidence to students who come here? As Senator Xenophon said, so many families make enormous sacrifice s for their children and their loved ones to come and study in this country. Surely we need to be rebuilding the reputation of our education services. At the moment, this legislation goes only part of the way to achieving that. If this protection is not put in place, it again suggests that the providers are having too much say in how this government brings forward legislation.

I would very much like to hear from the minister. Obviously I hope that the government will support these amendments. From previous comments made by Senator Feeney before Senator Evans arrived, it was set out that the issue of accommodation costs would not be picked up in the legislation . W hy have we got two ways of handling the issue between tuition costs and accommodation costs if that is the way that the government is going to go?

Senator CHRIS EVANS (Western Australia—Minister for Tertiary Education, Skills, Science and Research and Leader of the Government in the Senate) (18:55):  I think the first thing to say, Senator Rhiannon, is that this is a policy response to the concerns about protection of tuition fees. That is the first answer. The second answer is: as I understand it, the issues you raise have not been raised in the debate around the bills in the committee inquiry, s o I have been quite surprised by Senator Xenophon 's and your focus on this. These are not issues that have been raised with me in recent times. It is of course factually the case that while there are some people who accept accommodation packages as part of the student's tuition and enrolment processes, the majority do not. This is not an issue that has been at the forefront of anyone's attention in recent times. We did, I understand, have one bad case where a provider with those sorts of arrangements in place did become insolvent.

This is not an issue that has been consulted on. We have had a consultative process with people and we have had the committee inquiry. We would now be saying, 'By the way, we are going to add in this major change to the legislation.' Normally people say to me, 'You have not consulted enough,' but if the parliament is going to say, 'Throw this in the mix as well' and 'By the way, it is also going to pick up those issues,' I think that is not a good way to do business. Secondly, the financial implications of this have not been costed. I do not know what this would cost the Commonwealth. I think this is not the appropriate response to a problem which you say exists but which has not been generally talked about nor generated concern.

I am obviously concerned that we get the best system we can in place. This is the last of a whole set of reforms responding to the Baird review and the terrible situation that developed in the international student area a couple of years ago. As you know, as immigration minister at the time I took a keen interest in these issues, because I think a lot of bad practice had developed with a small number of providers. We have done our best to clean it up both from the immigration end and the education end. I think things are vastly improved, but we have got to constantly be vigilant about these issues; because, as I said earlier, this is about 'brand Australia'. Every time there is a bad student experience it impacts on all providers and on Australia's international reputation. So as well as the impact on the student there is the impact on the international education sector.

One of the things we have done is to set up the Chaney committee, which is reviewing the international education sector to make sure we have got a more holistic view of how that sector is managed, of government's engagement with the sector and where we see that sector going in the longer term. It is a very large industry; it is a huge export earner for Australia, and we have never thought about it in those terms. I think that the rapid growth without any structure around the actual industry led to some of the problems we have seen. Hopefully the Chaney report will give us that context. I understand that Senator Feeney, on my behalf, gave an assurance about reviewing the impact of the issues around accommodation that you raise. I am happy to do that. If there is a genuine problem, we will address it. I indicated that I am happy to address any issue that is there, but this is not something that has been raised with me. It is not something that was raised beyond the Baird process or in the committee inquiry. So I am not inclined to say, on the run, that we ought to do this without consulting anybody—without clear evidence of a problem or what you suggest is the solution. I am happy to take the issue seriously and to see what we can do to analyse if there is a problem, what is the problem, and what might be a policy response. We will put the assurances we gave in place, and obviously I will find a mechanism for reporting back to the Senate about how that is going. If there is a problem, I am happy to address it.

Minister Evans, could you inform the Senate when the review will report back, and any other aspects that you would envisage the review would take?