Mr. Tom Boland:

I hope I can do justice to some of them. One of the underpinning themes is funding of the system. It is the Higher Education Authority's opinion that the current funding approach to higher education is unsustainable and that the creation of new universities must be undertaken in the context of a sustainable funding system for the sector as a whole. An impression may have been given that the Minister and his Department are blind to the difficulties. I am well aware that they are not. Although the funding structure will remain in place until the end of 2015, the HEA is working with the Department on developing a process and, ultimately, proposals around how higher education can be funded in the future. It is a complex issue and I will not attempt to second guess the outcome today, but the Minister and his Department are alert to the issue and it is being addressed.

Regarding levels 6 and 7, it is essential that we maintain a highly diverse higher education system. One reason for the reform programme was a concern about the homogenisation of higher education and mission drift. We have new mechanisms to safeguard against them. We have clear profiles for the institutions and how they comprise the system as a whole. In our discussions with them about creating compacts or individual agreements with them we will always have the national need in mind. Through that process and our funding, we can ensure the level of provision from levels 6 to 10, inclusive, that society and the economy need. As Mr. Hannigan stated, the institutes are not walking away from levels 6 and 7. We can be reasonably confident of dealing with the matter.

The HEA has advised the Minister on what the criteria for technological universities should be. He has accepted these, although none is set down in legislation. It would not be appropriate to do so. I understand the criteria for technological universities will be fleshed out in regulations. By and large, I expect them to reflect the criteria recommended by the HEA. The heads provide for this: "Regulations made under subsection (1) may contain such incidental, supplementary and consequential provisions as appear to the Minister to be necessary or expedient for the purposes of those regulations". I do not want to speak for the Minister, but the criteria fleshed out in the regulations will be close to the HEA's recommendations.

Senator David Cullinane raised an issue of engagement with the education and training boards, ETBs. A significant part of the structural reform we are putting in place is the development of regional clusters of institutions, in the first instance universities and institutes of technology. We see these clusters engaging with other aspects of the education system, particularly further education, as managed by the ETBs. This will be a way to join the totality of post-second level education with how it interacts with regional societies and economies. This is important.

I wish to comment on the subject of student representation. I had occasion - I believe it was last Monday week, but I am unsure - at the Union of Students in Ireland, USI, congress to address this issue. It is firmly the view of the HEA that students should be represented in all of the decision-making fora of higher education institutions, not just on the basis of sufferance, grace and favour, but also on the basis that they have a legal right to be present. In good governance structures all company directors and governors should have an equal voice and be given the opportunity to express themselves. We strongly support the USI's opinion on the appropriate involvement of students in appropriate numbers in all of the decision-making systems of higher education institutions.

Senator Fidelma Healy Eames asked what would be different about the student experience in a technological university as against in an institute of technology. I will quickly cite our explanatory memorandum on the criteria. In considering Ireland's future economic development and the contribution of higher education there is a particular need to ensure economic development is supported and fostered by active, enterprise-oriented and university level institutions. This requires that the disciplines offered, the pedagogy employed and the research undertaken all be underpinned in a deliberate and strategic way by active and focused engagement with enterprise and technological industries. While such an entity could be formed from existing universities, a university designated with this specific mission provides the opportunity to place this mission at the heart of the university system rather than relying on traditional universities to alter their courses incrementally over a longer period. The key objective is greater speed in introducing to university level a strong enterprise focus in disciplines and research. That is what a student will experience.

The question of early drop-outs was raised. I am sure the Senator accepts that there will always be some level of dropping out, as there are no guarantees. By international standards, our level is low. Approximately 80% of students complete their courses in the university sector and slightly fewer in the institutes sector. This is positive. There are issues, but they are not being ignored. Mr. Costello mentioned the transition agenda. The idea of broader entry and giving students an opportunity to reflect for some months before they specialise in particular areas can help them to be more certain about what they are doing. Mr. Costello also referred to the current funding problems.

The Higher Education Authority is seeing an increase in drop-out in some areas. It is fair to assume that this is related to funding difficulties in the institutions which simply do not have the resources to provide the type of student supports that would be necessary to assist the academically weaker students.

On the south east, I do not want to comment on any particular application for TU. However, the timeframe and creation of any technological university is in the hands of the institutions. This requires leadership, trust and collaboration. All of these things are necessary. That said, the HEA is not a disinterested bystander in all of this. In the event of our identifying that institutions are having difficulty in this space, we would be prepared to intervene appropriately. In the first instance, this is very much down to the institutions concerned. By and large, we are seeing creative and proactive engagement by the institutions in this space.