Indications from Tertiary Education Minister Steven Joyce that university and polytechnic course fees may rise and access to student loans be tightened has a student leader worried.
David Do, co-president of the New Zealand Union of Students' Associations, last night said he was "very concerned" students might bear the burden of attempts to rein in tertiary spending.
"This goes back to whether the Government will move to invest properly in tertiary education ... If the Government is not willing to invest properly, we don't want the burden to fall on students."
Speaking on TVNZ's Q&A programme yesterday, Mr Joyce outlined significant changes to the tertiary sector, including culling the number of tertiary education courses available, partially funding institutions based on course completion rates, allowing some expensive courses to charge higher fees, cutting student loans for students unable to complete their first degree within six or seven years, and making new permanent residents and Australians wait two years before being able to get a loan.
Mr Do said he was particularly concerned fees for medical courses might "skyrocket".
An NZUSA survey some years ago showed the average debt for a medical student was $65,000 and half of those surveyed said debt levels were a factor in whether they sought jobs overseas after graduation.
"High fees can drive students overseas and drive them away from study in general."
The plans were "very worrying", as many students were also finding it difficult to get part-time work and were facing a likely rise in GST on their living expenses and course fees, he said.
Mr Joyce yesterday confirmed a proposal which has been in the wind for some time: that 5%-10% of institutions' funding would be performance-based and tied to course completion rates.
Otago Polytechnic chief executive Phil Ker last night said he was comfortable with performance-based funding, as Otago's course completion rates were well above the national average.
"It will be nice to be a beneficiary of a fund which recognises institutions which are doing things well."
However, both he and Mr Do said the Government should ensure it did not take a "one size fits all" approach to tertiary funding, course fees or access to student loans and allowances.
Flexibility was still needed in all those areas, they said.
No-one from the University of Otago was available to comment last night.
Otago University Students Association president Harriet Geoghegan could not be contacted for comment.
