Ulick Burke (Fine Gael)

I welcome the Minister of State but I regret that neither the Minister for Education and Science nor his Ministers of State are here for this important debate. The discussion would have provided the Minister with a valuable opportunity to put on record his vision, if he has one, of education in the future.

The motion is timely in so far as we have reached a funding crisis for third level institutions. It is a matter of great concern that the Government is calling in the OECD to review the higher education sector, given that third level institutions have already declared that they want to privatise. The Minister has endorsed the idea of privatising certain colleges, if not all of them eventually. Anybody who understood the reasoning behind the Minister's invitation to the OECD to review aspects of our education sector would not be fooled by it. This time last year controversy raged about the reintroduction of third level fees.

We were told by the Minister, as he vehemently defended himself, that for the foreseeable future fees would not be reintroduced. He was rescued by the Progressive Democrats. Both Progressive Democrats Senators stated that, during the lifetime of the Government, fees will not be reintroduced but not many people will believe that because a review has been instituted and it is a racing certainty that within the next four or five years third level students will have to make a contribution to their fees through direct payment, loans or other means. It is regrettable that the Minister is not present to acknowledge there is a crisis and he does not know what to do. He has appointed so-called independent professionals to undertake this review, having advised them of his view and provided them with the input of the education partners. The review body is conditioned and focused in regard to its remit while the Minister and Government will say it is only implementing what the OECD recommended and, therefore, it will escape the wrath of the public and the turmoil in the third level sector for the past year.

I am also seriously concerned about the question of privatisation. The chairman of the Higher Education Authority has indicated his preference in this regard, which has resulted from the failure of the Government to adequately fund third level institutions. Funding in 2004 has reduced by 10% because the allocation is the same as in 2003. It is impossible for institutions to maintain their output and the people charged with the management of the institutions are saying they will privatise and develop links with industry to generate funding. That may not be a bad development but, at the same time, the Minister should issue a statement outlining whether he is endorsing that policy and will allow it to be implemented. Mr. Thornhill said there must be a change in structures, management, institutional autonomy and funding if the sector is to fulfil its complex role and meet the many demands of society today and into the future.

I am absolutely horrified by the IDA, which stated:

The Industrial Development Authority are worried about the type of graduate Ireland's third level institutions are turning out. In a submission to the major OECD review of third level education, the IDA complains that foreign companies based in Ireland frequently find that the core personal skills, including communication, interpretational presentation and project management skills, seem to be lacking in graduates entering the workforce.

That is a terrible condemnation of our graduates. We pride ourselves on the quality of graduates emerging from third level institutions and they are the sole reason so many multinational companies have based their research and development arms, in particular, in Ireland. Is the IDA accepting its failure to attract companies? The authority blames somebody else and will not take responsibility for its failure over the past number of years. How many companies has it attracted to Ireland in comparison to five or ten years ago? Tragically, the IDA can only blame the quality of graduates. That is a terrible indictment of the IDA and the Minister should respond to the authority.

The Minister's failure to be present to indicate his vision is an appalling response to the worthwhile motion tabled by the Progressive Democrats. I hope this issue will be progressed in the near future.