International students will receive better protection from unreliable and high-risk private education providers after an amendment to legislation. Amendments to the Education Services for Overseas Students (ESOS) Act 2000 aim to strengthen the current education sector legislation and expand the role of the Commonwealth Ombudsman to manage external complaints relating to private education providers.
Newly opened education providers and private training providers are considered to hold higher risk of failing to deliver a course or defaulting compared to major Australian universities and colleges.
High-risk providers are expected to undergo tighter assessments and auditing before their registration licenses are approved or renewed.
These providers may also face limitations on their international students enrolment numbers and the amount of schools fees that can be collected in advanced.
The Australian government will also review student recruitment practices across providers, both onshore and offshore as part of the ESOS Act enhancements initiative.
All international students on valid student visas are protected under the Australian government's consumer protection legislation. The framework provides a three-pronged insurance scheme for international students. This framework does not cover students on tourist visas.
Under the scheme, all education providers are legally liable to its students under the ESOS Act.
Further, under the Tuition Assurance Scheme (TAS), when a provider has failed to deliver or defaults, it is liable to provide an alternative course in another institution.
Lastly, under the ESOS Assurance Fund, students are eligible for refunds should there be difficulty in placing them under another institution under the TAS.
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