Public Consultation Begins on TEQSA Powers, Governance, and Student-Centred Regulation

Education Minister Calls for TEQSA Overhaul to Modernise Oversight of Universities

The Australian Government has commenced a public consultation process aimed at reforming the Tertiary Education Quality and Standards Agency (TEQSA), with Education Minister Jason Clare reportedly emphasising the need to update the regulatory framework governing universities. He is understood to have stated that overlooking governance challenges within the sector would be unrealistic, and that the proposed reforms are intended to ensure TEQSA can uphold the standards expected by students, staff, and the broader community.

The consultation paper, released by the Department of Education, draws directly on recommendations from the Universities Accord. It reportedly highlights long-standing concerns about governance in higher education and argues that a more responsive and integrated regulatory system is essential. According to the paper, TEQSA must be equipped to manage not only individual compliance issues but also broader systemic risks that affect the sector as a whole. It was confirmed that the consultation opened on 3 September 2025 and will remain open until 5:00 pm on 17 October 2025, allowing six weeks for public input. The paper outlines 16 key questions designed to gather feedback from a wide range of stakeholders, including students, university staff, and education providers.

Four core reform areas have been proposed for discussion:

• Developing a regulatory system that places student interests at the centre

• Expanding TEQSA’s powers to address emerging governance challenges

• Streamlining regulatory processes to allow institutions to focus more on teaching and learning

• Supporting a joined-up tertiary education system to help more Australians gain relevant skills and qualifications

Minister Clare is reported to have noted that TEQSA, established in 2011 following the Bradley Review, had not undergone a formal review of its powers since its inception. While the agency currently oversees provider registration, course accreditation, and compliance with national threshold standards, it lacks the tools to respond effectively to serious risks such as financial instability, governance failures, fraud, and offshore education issues.

It was further observed that TEQSA’s existing framework offers limited flexibility, with Clare describing its enforcement mechanisms as “a sledgehammer and a feather,” suggesting the need for more proportionate and timely interventions. The reforms are said to be closely aligned with the Universities Accord’s call for a regulator capable of managing systemic risks and supporting a more cohesive tertiary education system. The Department of Education has confirmed that both in-person and online forums will be held during the consultation period. Submissions may be made via survey or email (teqsalr@education.gov.au), and contributors are encouraged to respond to any number of the 16 questions.

The proposed reforms are expected to reshape the future of higher education in Australia by improving accountability, strengthening university governance, and ensuring that public policy keeps pace with evolving challenges. They are also likely to influence funding models, quality assurance frameworks, and public confidence in the sector, while supporting broader national goals in skills development, digital transformation, and international education. The consultation marks a pivotal step towards building a more responsive and resilient higher education system in Australia.

Editor’s Note

This consultation marks a long-overdue reckoning with how Australia regulates its universities. The federal government’s decision to review and reform the Tertiary Education Quality and Standards Agency (TEQSA) is not just procedural; it’s a response to growing public concern about governance, accountability, and the overall health of the higher education system. Education Minister Jason Clare has declared TEQSA, established in 2011, is no longer effective. Its powers haven't been significantly updated since its inception, despite rapid changes in the education sector. The sector now faces financial strain, governance issues, and difficulties with offshore education. Consequently, TEQSA is left with inadequate tools, described by Clare as operating with “a sledgehammer and a feather.” The consultation paper proposes four key reforms: student-centric regulation, stronger TEQSA powers, streamlined compliance, and a more integrated tertiary system. These reforms directly address current challenges in the regulatory landscape and align with the Universities Accord's call for a regulator equipped to manage systemic risks. The 16 consultation questions and various forums demonstrate a genuine commitment to engaging the sector and public.

Skoobuzz concludes that these reforms ultimately deliver stronger safeguards for students and clearer accountability for universities, ensuring a higher education system built on protection, quality, and trust.

FAQs

1. What is TEQSA in Australian higher education?

The Tertiary Education Quality and Standards Agency (TEQSA) is Australia’s independent national regulator for higher education. Established in 2011, TEQSA ensures that universities and other tertiary providers meet the standards set out in the Higher Education Standards Framework, protecting student interests and maintaining public confidence in the sector.

2. How will TEQSA governance reforms impact universities?

The proposed reforms will give TEQSA stronger powers to intervene in cases of poor governance, financial instability, or misconduct. Universities will be expected to meet clearer accountability standards, and TEQSA will be better equipped to respond proportionately to emerging risks, improving oversight without adding unnecessary regulatory burden.

3. What are the new university governance rules in Australia?

While the rules are still under consultation, the reform proposals include:

• Prioritising student interests in regulatory decisions

• Expanding TEQSA’s authority to address governance failures

• Streamlining compliance processes

• Supporting a more integrated tertiary education system

These changes aim to modernise how universities are held accountable and ensure they operate transparently and responsibly.

4. How does the government regulate Australian universities?

The government regulates universities primarily through TEQSA, which oversees provider registration, course accreditation, and compliance with national standards. It also sets funding frameworks, monitors performance, and supports policy development through the Department of Education and other advisory bodies.

5. What role does TEQSA play in university quality standards?

TEQSA monitors whether institutions meet the Higher Education Standards Framework, which covers teaching quality, student support, research integrity, and governance. It assesses risks, conducts audits, and ensures that providers maintain high standards across all areas of operation.

6. Are public universities in Australia affected by TEQSA reforms?

Yes. Public universities are directly affected, as TEQSA regulates all higher education providers, including government-funded institutions. The reforms aim to ensure that public universities meet community expectations and are held to consistent standards of transparency and performance.

7. How will tertiary education change with TEQSA reforms?

The reforms are expected to make tertiary education more accountable, student-focused, and responsive to systemic risks. Institutions may benefit from clearer regulatory guidance, while students and staff can expect stronger protections and improved governance across the sector.

8. What does governance mean in higher education institutions?

Governance refers to how universities are managed and held accountable. It includes decision-making structures, financial oversight, leadership responsibilities, and ethical standards. Strong governance ensures that institutions operate transparently, deliver quality education, and respond effectively to challenges.

9. How does Australia ensure transparency in universities?

Transparency is maintained through regulatory oversight by TEQSA, public reporting of performance data, independent audits, and stakeholder engagement. Universities are required to publish key information about their operations, and reforms aim to strengthen this further by improving regulatory tools and accountability measures.

10. Why is the minister seeking input on university reforms?

Education Minister Jason Clare has invited public input to ensure that the reforms reflect the needs and expectations of students, staff, and the wider community. The consultation process allows stakeholders to shape how TEQSA evolves, making the regulatory system more inclusive, effective, and future-ready.