National Partnership Agreement on Skills Reform

Mr MARSHALL (Dunstan—Leader of the Opposition) (14:36): My question is to the Premier. How do the government changes to skills funding, which lock in 90 per cent of that funding to TAFE SA only, comply with the terms of the national partnership agreement? Paragraph 6d specifically provides, 'public providers to operate effectively in an environment of greater competition'.

The Hon. J.W. WEATHERILL (Cheltenham—Premier) (14:37): Over the period of the transition to these new arrangements, you will see a growing proportion of training being provided by the non-TAFE sector, necessarily because of the nature of the changes that we will be forced to make in relation to TAFE this year. There has been a significant impact because of essentially the end of Skills for All and the return to the more normal arrangements that occurred prior to Skills for All. One needs to remember that the funding that is actually going to the non-TAFE sector this year is larger than the year before Skills for All was introduced. So, we are returning to levels of funding which were higher than when we introduced Skills for All.

Mr Marshall interjecting:

The Hon. J.W. WEATHERILL: Well, no, it's pre Skills for All. Skills for All was a 2010 program. It is now funded at a higher level than it was funded back then. That is the simple truth of the matter. What will happen over a period of time is that the non-TAFE sector will grow. TAFE will have to compete for its commercial activities on a completely level playing field, which will put a lot of pressure on TAFE. It will have to slim down the way in which it operates to ensure that it is able to compete in that competitive marketplace. People will be able to make judgements based on quality and access and also on a level playing field in terms of price. But there is an important continuing role for the non-government sector and the private sector alongside a new corporatised TAFE sector.