Queensland VET Investment Plan 2014-15
June 12, 2014 Leave a comment
So as most of you are aware the Queensland Government has released its VET investment plan for 2014-15, so let’s have a look at the plan and see who the winners are.
It is important to remember that one of the things which underpins the decisions made in the investment plan is the Annual Skills Priority Report delivered by the Ministerial Industry Commission and based on in part a healthy consultation process with industry.
At a high level we see the following
- $225 Million in User Choice funding
- $155 Million in Certificate III Guarantee funding
- $55 Million for Higher Skills and
- $26 Million for Strategic Interventions
There is also $154 Million allocated to Public Providers because “The department recognises public VET providers play a significant role in Queensland’s VET system and initially have a higher cost base compared to other providers in the market. To address this, the department has opted for an annual grant model to subsidise the cost differential, as opposed to a higher subsidy rate payable through investment programs. This grant will reduce over time as reforms reduce the cost differential faced by public providers.”
Out of the $225 million in user choice most of it goes towards Apprenticeship and Traineeship funding ($200M) with the rest allocated to a range of foundational, skill gap and other programs.
From the Certificate III funding most, as would be expected goes to fund Certificate III places with $10 Million for Cert I & II programs and $20 Million for foundation skills.
The $55 Million in higher skills funding is designed to meet crucial skill needs while not duplicating funding from federal sources.
The $26 Million in Strategic Interventions is broken up with $10 Million going to Community Learning (up to $400,000 per project), $10 Million to Industry Partnerships (up to $400,000 per project with a 50:50 co-contribution) and $6 Million to indigenous training (again up to $400,000 per project)
Now there has been some criticism levelled at the government for reducing the amount of funding provided there are now a wider range of courses and programs being funded and in my opinion that is win. Yes it means that some RTO’s will choose to increase the amount of the mandatory student contributions, but others won’t as the funding levels still provide a solid level of income in most cases it seems.
So is the 2014-15 VET investment plan a good one? I think on the whole it is, it addresses some of the issues with previous funding models, and provides a fairly wide range of funded qualifications for students, wanting to either enter the workforce, change careers or upskill for a new role. Will everyone be happy? Of course not, the reduction in subsidies in some areas already has people alarmed, but all in all I think it is something that will work for at least the next 12 months.