Prez Sez Issue 22

While student fees have been steadily increasing by an average of $200 every year, in the future this may get worse. Meaning depending on the outcome of the up-and-coming NZ General Election you may see your fees increase dramatically. Currently a "fee maxima" is in place which only allows universities to increase fees by approximately 5% every year. If, should we say another political party gets into power and removes this cap on fee increases, you might see your fees increase by a hell of a lot more in a very short amount of time. The current crisis on Wall Street is an example of "free market" economics in action. Let's hope that no political party takes a "free market" approach to university education. That would suck.

To give you a short history about student fees in NZ, once upon a time the cost of university education was free to every NZ citizen. During the late 1980s a little thing called "Rogernomics" took place and the way in which the NZ economy was run was completely changed. In 1991, fees were first introduced and students had to pay around $1000 per year. Then the National Party came along and decided it would be fun to allow universities to increase their fees by whatever they wanted. They figured hey, what the hell let the market rule and allow the market to dictate what unis should charge. Between 1992 and 1999 student fees increased by an average of 180% across the board (across all universities throughout NZ). To put it in more simple terms, fees increased by an average of 20% per year. Many student protests and riots took place as a result.

Then the Labour Party came into power at the turn of the century (2000) and thought hang on a minute, why are we charging students so much just so they can get an education? Should we really be allowing education in NZ to become a mere commodity and only encourage and allow those wealthy enough to attend uni? Should going to uni not be based on your willingness to learn and your abilities? Well, after much debate in parliament the Labour Party managed to put a "freeze on fees". So for the next few years fees did not increase, not by one cent. Then around 2004 this "freeze on fees" was removed and universities were allowed to increase fees by 5% per year.

To put things in perspective, who you vote for in this coming election will determine whether you and future students coming to AUT and other universities around NZ could be potentially paying $5000 in fees per year or $10,000 or more in fees per year. Highly recommend you do some proper research on the various political parties (especially the most powerful ones, which are Labour and National for anyone who didn't know) and make sure you make an informed decision before you cast your vote. As mentioned in my previous column, www.decision08.co.nz is a good starting point to find out about the different political parties policies, however please don't use this as your sole reference. Everything one way or another is going to be biased, including my column so do your own research! Alternatively give me a call, email or why not come see me for a chat. I would be more than happy to talk to you.