MALCOLM FARR National Political Editor
THE Abbott government knows what its university deregulation would do to fees but wants it kept secret because it is “sensitive” information.
Even cross bench senators, whose votes will decide the fate of the deregulation proposals, will not be shown the modelling, with hints it is too scary for public consumption.
Department of Education documents, in reply to a Freedom of Information request, describe the proposed changes as a “sensitive policy development”. So sensitive that the reaction to its public release might inhibit public servants from giving further controversial advice.
A department official says: “I would expect that the policy officers would be concerned to avoid prejudicing policy reform work by refraining from providing advice that could have the potential, if disclosed, to undermine the policy work itself.”
On a need-to-know basis ... Education Minister Christopher Pyne. Source: News Corp Australia
The National Tertiary Education Union confirmed the existence of the government’s modelling in an FOI request but could not get access to the calculations themselves.
They show “the department estimates of fee levels in a deregulated market and enrolments”.
The modelling was completed before the last Budget without the involvement of university officials including vice-chancellors.
The reforms have been altered to appeal to the cross bench senators but the calculation of fees has been kept confidential.
Private modelling has suggested degree courses would cost $100,000 while the most recent from NATSEM had a “cautious” suggestion the costs would rise 50 per cent.
However, the Department of Education says: “Disclosure of the information, in particular the information regarding fees, would be prejudicial to the operation of a deregulated higher education market ...”
One reason is that it would be a signal to universities what they could charge for course, ruining the objective of increased competition.
There was a risk of “an unhealthy convergence of price points, rather than choice for students based on different price points”.
“Releasing government estimates of fees would act as a price signal to the market. There are examples where price signalling by government has led to an unhealthy convergence of price points, rather than choice for students based on different price points,” said the documents.
Violently opposed ... Anti-uni deregulation protesters say they were pepper sprayed at Christopher Pyne event in Sydney last week. Courtesy Twitter/Rebecca Barrett @becjbarr Source: Twitter
But the repeated concern is that release of the information would produce controversy.
This could create “a potential dampening effect on the on the frankness of advice provided by department officials to the minister in relation to future sensitive policy development”.
The Senate rejected the higher education reform legislation early in December.
Education Minister Christopher Pyne immediately introduced similar legislation to the Lower House.
Mr Pyne is consulting the cross bench but Palmer United Party leader Clive Palmer has said the changes will not be accepted.
The case for keeping the fee modelling secret has been weakened by the fact that two universities have already announced their expected charges.
A spokesman for Education Minister Christopher Pyne today said it was reasonable and responsible for the Education Department to withhold the modelling.
“Anyone with an ounce of knowledge of the sector would agree,” said the spokesman who accused the NTEU of “blind opposition to these reforms”.
“The NTEU-Labor-Greens irresponsible and reckless scare campaign is a fraud. Queensland University of Technology (QUT) and the University of Western Australia have recently released their expected fees under deregulation showing modest fee increases,” said the spokesman.
“They have clearly demonstrated that Australians can trust their universities to set reasonable fees and look after students.”
The minister’s spokesman said students will pay around half of the cost of their course fees on average and wouldn’t have to pay a dollar upfront for their share.
He said every cent could be borrowed from the taxpayer and repaid only when a graduate earned over $50,000.
The loan will be indexed at CPI under the Government’s new package. Additionally if the individual has a young child and is the primary care giver their loan interest will be paused for five years.
University fee deregulation: what Christopher Pyne wants hidden
