Simon Birmingham (SA, Liberal Party, Assistant Minister for Education and Training) Share this | Hansard source

I thank Senator Edwards for his question. Under the national partnership on skills reform, the Commonwealth government is providing all states and territories with $1.8 billion through the life of that partnership to support students and employers access effective choice in their training provider and the course they undertake. Under that agreement, which I acknowledge was signed by the previous government under the leadership of Ms Gillard, states and territories have committed to a range of measures, including that students and employers have more choice through more equal availability of funding to support training places regardless of whether that registered training organisation is a public or private provider. In South Australia, in particular, the state government will receive some $126.9 million over the life of the agreement, including a total of $65 million over the remaining two years to run—2015-16 and 2016-17.

It is a key tenet of this agreement that it delivers choice to students and employers. Independent research backs up that choice is important. The National Centre for Vocational Education Research demonstrates that when students are given the choice of where they access their training and the course they undertake training in enrolments go up, student employment goes up and student satisfaction and employer satisfaction go up. It is a very important principle. I am pleased to acknowledge that the South Australian government seems to agree, but I am baffled that they are backsliding on that choice. At the time it was agreed, 74 per cent of VET funding in South Australia was contestable. But last month they announced a new policy which will now see more than 90 per cent of new places over the next year guaranteed to the TAFE sector, shutting out and shutting down choice for students and employers and many of the training providers they are meant to be supporting.