Cost recovery implementation

Updated 28 October 2022

Cost recovery implementation 

From 1 January 2023, TEQSA will implement the following Australian Government decisions:

  • transition to increased cost recovery as announced by the Australian Government Budget 2018–19, with the implementation of a new annual registered higher education provider charge (RHEP charge)
  • end fee relief measures put in place during the COVID-19 pandemic.

To support this change, TEQSA’s Cost Recovery Implementation Statement 2022-23 (CRIS) is now available. This statement aligns with the Australian Government Charging Framework.

The CRIS outlines the phased introduction of an annual registration charge, which forms part of the RHEP charge, from 1 January 2023.

Under the phased transition, the annual registration charge for 2023 will be 20 per cent of the full amount, increasing to 50 per cent from 1 January 2024 and then 100 per cent from 1 January 2025.

The RHEP charge will include any additional charges the provider must pay as a result of compliance activities undertaken by TEQSA in relation to their institution from 1 January 2023.

The CRIS also details changes to our regulatory fees, including discounts of up to 70 per cent for course registration and renewal fees for providers with fewer than 5000 EFTSL (Equivalent Full Time Student Load).

How TEQSA determines fees and charges

Our Cost Recovery Implementation Statement 2022-23 (CRIS) provides key information on how TEQSA calculates and implements charges for specific regulatory activity.

The CRIS was developed in accordance with the Australian Government Charging Framework.

The CRIS incorporates feedback from the higher education sector following consultation in 2021.

How much providers will pay

The fees and charges that providers will have to pay will be set out in two legislative instruments. The instruments will implement the approach to fees and charges set out in the CRIS.

  1. a fee instrument setting out TEQSA’s application-based fees.
  2. charging regulations, setting out how the annual registered higher education provider charge (RHEP charge) will be calculated in relation to each registered higher education provider. 

TEQSA is drafting a set of guidelines, setting out practical matters such as those relating to invoicing, to accompany the charging regulations. TEQSA will inform the sector when these are publicly available.

When the phased transition is complete in 2025, TEQSA will recover 90 per cent of the cost for most regulatory and quality assurance activities.

How we consult on our fees and charges

TEQSA engaged in extensive consultation with the sector about a proposed model for our regulatory fees and charges in 2021. Feedback from the sector has been used to refine the CRIS. TEQSA will review the CRIS annually and will seek input from the sector.

Frequently asked questions

To assist providers as we transition to increased cost recovery from 1 January 2023, we’ve developed answers to a range of frequently asked questions.

Please email us at costrecovery@teqsa.gov.au if you’re a provider and your question hasn’t been answered in the frequently asked questions, or you have a specific query about CRIS.

TEQSA fees until 31 December 2022

Learn about our existing fees (including information about regulatory fee waivers for registered providers until 31 December 2022).

Video recording of webinar briefing for providers

Notes 

In this video:

  • TEQSA discusses conducting investigations, it is important to note these are rare. At the time of the video’s publication TEQSA is currently conducting one investigation, which is into the provision of academic cheating services, which is a contravention of subsection 114A(3) of the TEQSA Act.
  • TEQSA also discusses active conditions on provider’s registration. TEQSA is currently reviewing active conditions, to identify conditions with expired reporting requirements and determine if these conditions can be acquitted before 1 January 2023.

Last Updated:

13 Oct 2022