Seán Haughey (Dublin North Central, Fianna Fail)

I thank Deputy O'Shea for raising this matter.

The position is that applications have been received from three institutes of technology, Waterford IT, Dublin IT and Cork IT for designation as universities. The issue of university designation does not affect only the institutions and the regions from which applications have been received, it will also have a major impact on the future structure of the higher education system throughout the country. The Government wants to build on our strengths and to provide an environment where all our higher education institutions can develop in a way that best serves the country as a whole and the regions where they are based. The institute of technology sector has a specific tradition and expertise in providing technical education and training, geared at the needs of the workforce. In the challenging economic environment we face the sector has a particular role to play in upskilling or reskilling those who may either be a long time out of the formal education system, or who do not have qualifications in areas where job opportunities may develop.

Government policy on higher education is based on a system whereby universities and institutes of technology have distinctive missions from each other, provide different levels and types of academic programmes, fulfil different roles in the community and have separate academic and governance structures. It should also be borne in mind that, since the applications for university status were received, there have been significant changes in the legislative and regulatory framework governing the institute of technology sector, which will in any event deal with many of the legislative constraints on growth and development identified by Waterford Institute of Technology in its application.

The Institutes of Technology Act, which only came into effect in February 2007, provides for the creation of a unified management structure framework for higher education in Ireland by bringing the institute of technology sector under the remit of the Higher Education Authority. The legislation also extends significant new managerial and academic autonomy to the institutes, aimed at facilitating further development of their roles. For example, institutes will have the right and responsibility to preserve and promote the traditional principles of academic freedom in the conduct of their internal and external affairs.

The budgets of individual institutes will now be set by the HEA rather than by the Department and specific approval to run individual courses or programmes will no longer be required. The institutes will also be able to borrow funds under a framework agreed with the HEA and the Departments of Finance and Education and Science. In addition, it has been accepted that income generated by third level institutions from external sources should not be subject to off-setting in the allocation of Exchequer funding.

Waterford Institute of Technology is an important institution making a great contribution to education generally and to the economic and social well-being of the south-east region. It has an excellent track record of industry collaboration particularly in areas of applied research and curriculum design. The Government wants to see Waterford Institute of Technology further develop its strengths in these areas in line with the objectives of the Government's strategy for science, technology and innovation. In this regard one of the key development and investment priorities for the Waterford gateway in the national development plan is the investment in the R&D capacity of Waterford Institute of Technology to underline the importance of education to Waterford as a centre of excellence.

The Minister has met with each of the three institutes that have submitted applications for designation and officials from my Department have engaged extensively with Waterford Institute of Technology in recent months on its application. It is important that these consultations were arranged before any decision was taken on the matter. Waterford Institute of Technology's application, together with the other applications on hand, is being carefully assessed and it is expected that consideration of them will be finalised in the near future. I thank the Deputy for affording me the opportunity to respond to the House on this matter.

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