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2003-04 Budget

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Education, Science and Training

A Fairer Medicare - additional medical school places

Revenue ($m)
  2003-04 2004-05 2005-06 2006-07
Department of Education, Science and Training - .. 0.1 0.1

The Government will provide an additional 234 publicly funded medical school places per year from the beginning of the 2004 academic year, as a part of the A Fairer Medicare package, at a cost of $42.1 million over four years. Payment of the indexation component under the Higher Education Contribution Scheme (HECS) is treated as revenue.

See also the related expense measure titled A Fairer Medicare - additional medical school places in the Health and Ageing portfolio.

International Education - increase in the Educational Services for Overseas Students Fee

Revenue ($m)
  2003-04 2004-05 2005-06 2006-07
Department of Education, Science and Training 3.9 4.5 5.3 6.1

The Government will restructure the Education Services for Overseas Students Fee from 1 January 2004 to provide increased resources for international education activities.

Education providers will be required to pay $300 plus $25 per student rather than the current flat charge of between $410 and $8,200.

See also the related expense measure titled International Education - Endeavour Programme scholarships in the International Education package located in the Education, Science and Training portfolio.

Our Universities - Higher Education Loans Programme (HELP) - HECS-HELP, FEE-HELP and OS-HELP

Revenue ($m)
  2003-04 2004-05 2005-06 2006-07
Department of Education, Science and Training - - 5.4 20.8

From 2005, the Government will introduce two new income-contingent loan schemes - FEE-HELP for full fee-paying students and OS-HELP for Australians studying abroad as part of their course. These schemes will complement the Higher Education Contribution Scheme (to be renamed HECS-HELP) arrangements.

Existing HECS debts and debts accrued under HECS-HELP will continue to be indexed to the Consumer Price Index (CPI). Debts accrued under FEE-HELP and OS-HELP will be indexed to the CPI plus 3½ percentage points each year for a maximum of ten years. After that, they will be indexed to the CPI only. Repayment thresholds will be the same as for HECS.

The Government has designed the indexation arrangements to achieve a balance between recovering the costs to the Commonwealth of financing the loans and providing support for students. The loans will be available at a lower cost than standard commercial loan products and the arrangements will assist students who remain on relatively low incomes for an extended period.

The amount of indexation applied to HECS-HELP, FEE-HELP and OS-HELP loans constitute non-tax revenue to the Commonwealth. This revenue is expected to increase over time as the total value of loans issued under HELP increases. The additional public debt interest costs incurred by the Commonwealth in financing the loans are separately accounted for in the Budget papers.

See also the related expense and capital measures titled Our Universities - Higher Education Loans Programme (HELP) - HECS-HELP, FEE-HELP and OS-HELP and the expense measure titled Our Universities - Higher Education Contribution Scheme - increased flexibility in the Education, Science and Training portfolio.

Radioactive waste management facility - collection and disposal charges

Revenue ($m)
  2003-04 2004-05 2005-06 2006-07
Department of Education, Science and Training 0.2 - - -

The Government will charge non-government organisations to collect and dispose of low-level radioactive waste at the radioactive waste management facility. The first collection round is expected to commence in 2003-04. Future revenue will be dependent on the scope and timing of future collections.

Charges will also be applied to government agencies disposing of waste at the facility, including the Australian Nuclear Science and Technology Organisation, the Commonwealth Scientific and Industrial Research Organisation and the Defence portfolio.

See also the related capital and expense measures titled Radioactive waste management facility in the Education, Science and Training portfolio and the related expense measure titled Education, Science and Training portfolio - reprioritisation in the Education, Science and Training portfolio.


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