House debates

Monday, 9 February 2026

Bills

Universities Accord (Australian Tertiary Education Commission) Bill 2025, Universities Accord (Australian Tertiary Education Commission) (Consequential and Transitional Provisions) Bill 2025; Second Reading

4:00 pm

Photo of Emma ComerEmma Comer (Petrie, Australian Labor Party) Share this | Hansard source

It is about people at every stage of life having access to learning opportunities that allow them to upskill, retrain or adapt as our economy changes. The accord confronts hard truths about inequity in our system. It shows that talent is spread evenly across the country but opportunity is not. It challenges us to build a system that genuinely opens doors for students from low socioeconomic backgrounds, First Nations students, people in regional and outer suburban communities, and those who have traditionally been left behind.

Importantly, the accord does not stop at diagnosis. It provides practical evidence based pathways forward. It sets clear targets, outlines achievable reforms and emphasises the need for long-term stewardship, coordination and accountability. This is why the Universities Accord has been so transformative. It has given Australia a shared understanding of the challenge ahead and a credible plan to meet it.

The bills before the House today are a direct response to that work, turning vision into action and ensuring the reform agenda does not end with a report but is embedded in the way our tertiary education system is governed and strengthened for the future. Together, these bills represent one of the most significant reforms to Australia's higher education system in a generation. They respond directly to the findings of the Australian Universities Accord, and they lay the foundations for a tertiary education system that is fairer, more coordinated, more future focused and better equipped to meet the skills and workforce needs of our nation.

At their core, these bills establish the ATEC, the Australian Tertiary Education Commission, as an independent statutory body and a steward of Australia's higher education system. This reform matters, because for too long our tertiary system has lacked a dedicated steward with the responsibility and authority to take a whole-of-system view—a view that looks beyond funding cycles and election terms and a view that is focused on long-term skills needs, equity, quality and national priorities.

The Australian Universities Accord: final report released in February 2024 made it clear that the absence such of a steward was a critical gap. Without it, the system has struggled to plan effectively for future demand, respond coherently to skill shortages and deliver equitable outcomes for students from all backgrounds. The accord gives us a blueprint for reform over the next decade and beyond. It tells us something we already know but can no longer afford to ignore: in the years ahead, more jobs will require more skills. Over the coming decades, around 80 per cent of jobs will require a post-school qualification, whether it is a certificate, a diploma or a degree. That means more people studying at TAFE and more people studying at university. It means that we must act now to ensure our tertiary education system has the capacity, the capability and the coordination required to meet Australia's future needs.

The Albanese Labor government has already acted decisively on this agenda. We have implemented 31 of the accord's 47 recommendations in full or in part. These reforms are already making a difference. We have doubled the number of university study hubs, by establishing 20 new regional university study hubs and 14 new suburban university study hubs, bringing higher education closer to the people who might otherwise miss out. We have increased the number of free university bridging courses to help students gain the confidence and preparation they need to succeed. We've introduced paid prac for the first time for students in teaching, nursing, midwifery and social work, recognising that unpaid placements create real financial barriers. This will change lives.

We have required higher education providers to allocate a minimum of 40 per cent of the student services and amenities fee to student led organisations to enhance the experience of students while studying. We have made demand driven Commonwealth supported places available to all First Nations students who meet the entry requirements. We've introduced the National Student Ombudsman and the National Higher Education Code to Prevent and Respond to Gender-based Violence. And we have made HECS better and fairer by cutting 20 per cent off HECS debts as of 1 June 2025, capping indexation to the lower of CPI and WPI, moving to a marginal repayment system and lifting the minimum repayment threshold, meaning more money in the pockets of millions of Australians.

Establishing the ATEC is another cornerstone of this reform agenda. The ATEC Bill establishes the commission as an independent statutory authority with clear objects and functions. It is designed to provide stewardship to the higher education system and to strengthen the system so that it can deliver high-quality teaching and learning, as well as internationally competitive research and research training. This bill sets out the objects of the ATEC clearly. These include ensuring the higher education system has the capacity and capability to meet Australia's current and future student, skills and workforce demand. It includes increasing equitable access to, participation in and success within the higher education system for all students. It includes promoting coordination and collaboration between the Commonwealth, state and territory governments, higher education providers, industry, employers, unions and the public. It includes recognising the central role of Aboriginal and Torres Strait Islander peoples in the higher education system and improving access, participation and outcomes for First Nations students. And it includes improving coordination and collaboration between higher education and the vocational education and training system.

The bill also enshrines the national tertiary education objective. This objective provides a unified whole-of-system vision for tertiary education, complementing existing objectives for higher education and VET. The ATEC will be required to have regard to this objective in the performance of its functions, ensuring coherence and alignment across the system. The ATEC will be led by three independent commissioners, including a chief commissioner and a First Nations commissioner. Commissioners will be appointed by the Minister for Education for terms of up to five years. Collectively, the commissioners will bring a balanced expertise across higher education, vocational education and training, tertiary governance, stakeholder engagement and regional Australia. Importantly, at least one commissioner must have substantial experience in VET, reinforcing the commitment to a genuinely partnered tertiary system.

Formal independence is a foundational element of the ATEC's design. The minister will not be able to direct the ATEC on the content of its advice or require it to make a particular decision about a provider. This independence ensures that the ATEC's work is transparent, evidence based and free from undue influence. The ATEC will have a broad range of advisory and decision-making functions. It will negotiate mission based compacts with individual universities. These compacts will set out the role each institution plays within the system, including the number of domestic and international students they teach. Mission based compacts will give universities the flexibility to pursue their distinct missions while contributing to the diversity of the sector, delivering on national priorities and meeting the needs of the students and communities.

The ATEC will also be responsible for implementing a new funding system. This system will provide demand driven places for equity students at a systems level and needs based funding linked to the number of students from low-socioeconomic backgrounds, First Nations students and students studying at regional campuses. This is critical reform. It recognises that equity is not an add-on but the core responsibility of the system. It will help more students from underrepresented backgrounds access university, and it will support them to participate and succeed once they're there.

The ATEC will provide expert advice to government on a wide range of higher education matters. This includes advice on policy setting and strategic direction, the cost of teaching and learning, student demand, skills and workforce needs, and improving access and outcomes for pupils facing systemic barriers. It will also advise on how to bring higher education and VET closer together and how to achieve any tertiary attainment targets set by the government. While the ATEC will not have decision-making powers in relation to VET, it will play an important role in advising ministers on opportunities for better coordination and collaboration across the tertiary system.

Each year the ATEC will prepare and publish a state of the tertiary education system report. This report will provide comprehensive assessment for the health and performance of the system. It will identify emerging trends and challenges, track progress against participation and attainment targets, assess how well the system is meeting Australia's skill needs and evaluate whether barriers for underrepresented groups are being removed. This transparency and accountability is vital. It will ensure governments, providers and the public have access to clear, evidence based information about how the system is performing and where future reform is needed.

The ATEC will work closely with other agencies, including Jobs and Skills Australia, TEQSA, the Australian Research Council, the National Centre for Vocational Education Research and state and territory governments. This collaboration will ensure advice and decisions are informed by the best available evidence and aligned across portfolios. The interim ATEC commenced operations on 1 July 2025. They have been laying the foundations for the permanent commission, and this legislation builds directly on that work.

The second bill before the House makes the necessary amendments to the existing legislation to support the establishment of the ATEC. It amends the Tertiary Education Quality and Standards Agency Act 2011 and the Higher Education Support Act 2003. These amendments allow the ATEC to advise the minister on the higher education standards framework and facilitate a new mission based compact process.

Together, these bills respond directly to the challenges identified by the universities accord. They provide the governance, the coordination and the stewardship that the system has lacked; they support diversity and excellence across institutions; they place equity at the centre of system design; and they help ensure our tertiary education system is fit for the future. This is about building a system that serves students, supports educators, strengthens our workforce and underpins Australia's long-term prosperity.

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