2014 Budget Address (November 2013) EDUCATION Education is the greatest investment a nation can make in its future, and we cannot shortchange our future. Everyone benefits when we fully commit to the education of our children. Education produces a competent and competitive workforce, a responsible citizenry, and people who will do everything from build our homes to cure our illnesses. I am pleased to announce that education in the 2014 Budget takes up the largest share of Government spending – nearly 19 percent of the total Budget – and receives the largest share of the additional allocations. A total of $541.5 million is budgeted for the Education Sector. And it involves major initiatives in primary, secondary and tertiary education that will radically overhaul the manner in which we educate our people. For too long, we have talked about making education more accessible, especially for those from poorer families. But unlike our wealthier neighbours, Fiji has never had truly free education for all children. Many parents have had to live through the anguish and uncertainty of how to get their children through primary school, let alone secondary school and a tertiary education. But all that is about to change. Ladies and Gentlemen, it gives me great pleasure to announce that for the first time in our nation’s history, my Government will provide truly free primary and secondary school education for all Fijian children. No child will be left behind. And no Fijian parent will ever go to bed again worrying about how they will meet their childrens school fees or any other fees. And far more children will now be able to go on to secondary school and tertiary education than at any other time in our history. It is not only the right thing to do. We are now obliged to do so under our new Constitution. And each tier of the education system is set to benefit from our massive investment in the future of our children and our nation. For 2014, the Education Ministry will receive $370 million, an increase of $101.54 million from 2013, to continue with its program and expand into new policy initiatives. What this means in the primary school sector is as follows: From next year, no family will have to pay any tuition fees, textbook fees, building fees, or any other fee usually charged by schools from Year 1 to Year 8 or Class 1 to Class 8. To fund this new initiative, my Government has allocated $34 million. Schools will now receive $250 a year per child to cover the full cost of tuition. This is a dramatic increase from the $30 per child that Government currently spends to subsidise tuition fees. Out of this $250 dollars, $30 will go towards administration and office operations, $50 for the building levy and maintenance, $45 for the stationary levy, $45 for the computer levy, $45 for the library levy, and $45 for the physical education, music and arts and crafts levy. This is an initiative that will benefit the parents and families of 136,000 primary school children. For secondary schools, the changes are just as dramatic: Government will provide $31.5 million for tuition fees. Forms 3 and 4 will attract a tuition payment of $440 per student instead of the current $290, Forms 5 and 6 will attract a payment of $485 per student instead of the current $320, and Form 7 will attract a payment of $610 per student instead of the current $370. This will benefit the parents and families of 66,000 secondary school students. Given this enormous investment, if a school wants to fundraise it must first seek the approval of the Ministry of Education, and even if approval is given, no family is obligated to contribute. But next year’s education reforms do not stop with secondary education. My Government believes that no young person should be left behind, even at the tertiary level. No student should be prevented from reaching for their dreams because they cannot afford it. So today I announce a major tertiary initiative that will provide low-interest Government loans to any Fijian student who is accepted at one of the tertiary institutions in Fiji. The Tertiary Education Loan Scheme (TELS) will cover up to the full cost of tuition and will not have to be repaid until after a student has graduated and received employment. Fijians from families that earn less than $25,000 a year will pay no interest on these loans. Those from families that earn between $25,000 and $50,000 a year will pay an interest rate of 0.5 percent, those from families that earn between $50,000 and $100,000 will pay an interest rate of 1 percent, and those from families that earn more than $100,000 will pay an interest rate of 2 percent. Of course, students can choose not to take out a loan, but they will be available to anyone who needs it. We will also have certain courses for which full tertiary scholarships will be granted to the top 600 school leavers. This will act as a powerful incentive for students to take their studies seriously, and will ensure that all of Fiji’s brightest have the opportunity to continue their education and eventually enter the workforce as leaders in their field. This scheme will be administered by the Government in partnership with the Fiji Higher Education Commission and the Universities. Government has allocated $30 million to fund this program in 2014. As part of this scheme, allowances will also be available to cover the cost of living expenses for students from lower income families. We have allocated an additional $10 million for this purpose. The Government’s new program is available to all Fijians and will replace the current iTaukei, Multi-Ethnic and PSC Scholarships. Every Fijian youth, no matter what their background or where they live, will have the same opportunity to attend university. Students who have already applied for one of these scholarships will now have their applications processed under this new scheme. So long as they have been granted a place at university, their application will be granted. Those students who are currently on an iTaukei, Multi-Ethnic and PSC scholarships will not be affected. $26 million will go to continue to support these programs. Those students who are not currently receiving any assistance in their second, third, or fourth years and who are paying their own way will be eligible for TELS. We have set aside $12 million for these students. Those who received a loan this year under the TELS program will not pay interest. That was a commitment I made this year. All in all, this adds up to $52.5 million for TELS. So the three tiers of education – primary, secondary and tertiary – undergo a radical overhaul to fulfill our vision of a clever country. And within those categories, there are further changes, all designed to improve our education system and make it more affordable for ordinary Fijians. Apart from paying for students’ fees, we also need to ensure that adequate facilities are available to create a proper learning environment, one that nurtures growth and helps our children reach their full potential. In 2014, we have allocated $1.5 million to maintain and upgrade schools and institutional quarters, as well as $200,000 for the upgrade of vocational training centres around the country. We will continue to support the growth of early childhood education through the development of infant schools, kindergartens and pre-schools across the nation. In 2014, we will provide $150,000 to construct new pre-schools in Fiji. And $1.2 million will be allocated for the establishment of new facilities for Classes 1 to 3. My Government is also aware of the need for more secondary schools in rural communities. In 2014, we will build four new secondary schools – St. Francis College and Nakorotubu Secondary School in Ra, Ratu Lalabalavu Memorial School in Nadroga and Bau Central College in the Tailevu Province. A budget of more than $2 million is provided for these works. We will also increase the allocation for student bus fare assistance to $20.8 million, an increase of $9.7 million from this year. This is to assist students who come from low income households, and includes those who travel by boat, carrier and any other method of transport used where buses arent available. 78,000 students make use of this scheme. Boarding facilities and hostels are very important for those students who otherwise would have to travel great distances to school each day. But many of these facilities are in desperate need of repair. So next year, we will establish a building grant program totaling more than $800,000 to upgrade, renovate and equip boarding facilities in both Government and non-Government schools. Government will continue to support the One Laptop Per Child program next year with an allocation of $800,000, which will help our students develop advanced computer and IT skills. An allocation of $550,000 will also be provided as an operating grant for special schools for the blind, and the intellectually and physically handicapped. $200,000 is being allocated for a scholarship scheme for special children. A broad-based economy also needs skilled artisans and craftsmen. We know that not all capable Fijians will want a university education; many will find greater fulfillment working in skilled trades. Next year, we are also continuing three of our existing vocational scholarship programs - the Technical and Vocational Education Training (TVETS) scholarship, which receives $5 million, the agricultural scholarships, which will receive $500,000, and the Rural and Maritime Vocational Training program, which receives $1.8 million. Under the Rural and Maritime program, instructors from Fiji National University visit remote communities to provide vocational training and this has been a big boost to rural and maritime development. So the grand total of this years investment in building a smarter Fiji is $151.2 million. In 2014, higher education institutions will be supported with a new funding model and monitored to ensure they provide quality tertiary education. The change in the funding model for budget allocation is designed to encourage a level playing field by ensuring that funding is based on the number of Fijian full time students. It also takes into consideration the varying operational costs and infrastructure needs of these institutions and the need to ensure consistency in terms of fees charged, staff salaries, and the quality and relevance of programs. The Higher Education Commission’s budget has been raised to $1.5 million to oversee this new model. Under this model, for 2014, the University of the South Pacific will receive an operating grant of $36.5 million, Fiji National Universitys operating grant will be $38.5 million, and the University of Fiji will receive a grant of $3.5 million. In addition to its operating grant, FNU will receive a capital grant for its Labasa and Navua campus in the sum of $4.5 million. In addition, the following institutions will also be provided with special funding: • Corpus Christi - $150,000 • Fulton College - $50,000 • Monfort Boys Savusavu - $400,000 • Monfort Boys Veisari - $300,000 • Sangam Institute - $275,000 • Vivekananda Technical Centre - $150,000, and • Centre for Appropriate Technology and Development - $755,000 We have also allocated $600,000 to get the world renowned maritime school, CINEC from Sri Lanka, to manage FNUs Maritime School to ensure that it meets international standards and to improve the quality of courses available. All these measures meet the requirement laid down in our new Constitution to make education accessible to all Fijians.
Posted on: Thu, 20 Mar 2014 10:38:06 +0000
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