Dunedin's tertiary student numbers are expected to increase by almost 740 next year, with both the University of Otago and Otago Polytechnic anticipating solid roll growth.
In tight economic times, additional students will be a welcome boost for the city's economy.
They will inject at least $10 million into the institutions' coffers in fees and government funding next year alone, and, based on surveys carried out by student associations, are likely to spend at least that amount again on living expenses.
While most of of the additional students expected at the polytechnic will already live in Dunedin, about 80% of university students traditionally come from outside the city.
It was common sense that more people coming to live here would benefit local businesses, University of Otago economics lecturer Assoc Prof Paul Hansen said yesterday.
"Extra students are like extra tourists, only they stay 300 nights instead of three. They have to have accommodation, food, clothes, entertainment and transport.
They spend their money on all the things normal people do and that money goes round and benefits the economy."
Older students often brought their families with them, which meant one extra student could equate to three or more additional residents, he said.
Extra students for Dunedin's institutions are a bonus in New Zealand's tighter tertiary funding regime.
Under a new structure introduced last year, tertiary rolls are capped, but institutions can negotiate more funded equivalent full-time student (efts) places for New Zealand students.
Both Dunedin institutions increased their roll caps for next year, with Otago Polytechnic one of only seven polytechnics from 20 nationwide to do so.
The university secured funding for about 320 extra efts, including 24 additional places for first-year trainee doctors.
It may also accept up to 112 unfunded students, depending on demand.
The polytechnic received funding for an extra 156 efts, as well as one-off funding to accept up to 84 16- and 17-year-olds next year under the Government's new Youth Guarantee scheme, which aims to provide training for young people at risk of dropping out of formal education.
No limits exist on the number of fee-paying international students tertiary institutions can accept.
Both Dunedin institutions are anticipating strong international enrolments on the back of the city's reputation for delivering quality education.
While next year's extra efts have not yet translated into enrolments, both institutions expect their roll targets to be met or exceeded.
The university is anticipating 204 unfunded domestic students and the polytechnic up to 112, depending on demand.
First-year inquiries in some polytechnic departments were about 60% higher than at the corresponding time last year, and prospective students were enrolling more quickly than in the past, marketing, communication and customer relations general manager Mike Waddell said yesterday.
Enrolments were particularly strong in nursing, midwifery and automotive engineering.
Although the polytechnic had announced redundancies in some departments, to take effect from the end of this year, additional staff might be hired in growth areas, he said.
A university spokeswoman said it was too early to say how applications and pre-enrolments were tracking compared with previous years.
Roll growth
(equivalent full-time students)
University of Otago
Domestic students
2009:17,458,
2010: 17,785
International
2009: 1417,
2010: 1551
Total:
2009: 18,875,
2010: 19,336
Roll growth: 461
Otago Polytechnic
Government-funded students
2009: 3282,
2010: 3438
Youth Guarantee students
2009: 0
2010: 84
International students
2009: 162
2010: 200
Total:
2009: 3444
2010: 3722
Roll growth: 278
Extra places at both institutions: 739
