Senate debates

Wednesday, 30 November 2016

Bills

VET Student Loans Bill 2016, VET Student Loans (Consequential Amendments and Transitional Provisions) Bill 2016, VET Student Loans (Charges) Bill 2016; In Committee

6:23 pm

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

The government will oppose this amendment, as the amendment fails to require a provider to repay moneys where a debt is re-credited to a student, with consequent financial impacts accruing to the taxpayer. Powers do already exist, which means we think this amendment is unnecessary, for the secretary of my department to remit VET FEE-HELP debts in relation to unacceptable conduct, with moneys automatically recouped from providers—and this measure will apply to the VET student loans provisions as well. With those existing legislative provisions, we can ensure decisions correcting inappropriate debt accrual are sound and evidence based, and do not create unrealistic expectations of departmental action where there is not necessarily supporting evidence.

Indeed, as I have outlined on many occasions, the department, ASQA and the ACCC are already pursuing actions against providers in relation to students who have not been enrolled, and, where these actions are successful, debts can and are being remitted for students, and the cost recouped from providers. The department has been successful in working on behalf of students to have providers commit to remitting millions of dollars in debts to students, and this work will continue alongside the ACCC's work in the prosecution of a number of providers. Importantly, the VET Student Loans Bill, in replacing the old VET FEE-HELP scheme, will strengthen student protection powers even further.

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