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Fee Freeze Feasible

The University of Otago can achieve fee stabilisation if it borrows against its assets argues Ayesha Verrall President of the Otago University Students’ Association. Today the Association released a paper outlining its how the University can accept the government’s offer.

“Fee stabilisation does not necessarily come at the expense of academic standards - the current level of operating can be maintained if the University borrows against its capital assets,” said Ms Verrall.

“It’s perfectly reasonable for the University to borrow against major assets like the new $47M library given the University’s strong financial position. It’s also fair as it spreads the cost of these massive projects onto future generations rather than current students shouldering the entire cost.”

The paper also contained workings on the impact of fee stabilisation on student demand. “Anything the Vice-chancellor hopes to gain from his proposed 20% fee increase will be offset if enrolments decrease by 2.7%. Rather than taking the risk of losing students the University should capitalise on the fact that it can afford to keep fees down, and attract more students with the country’s lowest fees”.

Copies of the paper are available from the Otago University Students’ Association.

ENDS

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