Liam Fitzgerald (Fianna Fail)

I welcome the decision of Senator Minihan and the Progressive Democrats to table this timely motion. The most comprehensive and significant review and evaluation of the third level system in a generation is being undertaken by the OECD. It will examine all aspects of higher education, including the State's performance in comparison to other OECD countries.

A high calibre team has been appointed with a wealth of international experience and expertise. The calibre of the team demonstrates the seriousness with which it is facing the challenge and it is baffling that the decision to bring in the OECD has been criticised at this critical time. However, this also reflects the fundamental importance the Minister and the Government attaches to the third level sector and its progress to maintain economic and social development.

The OECD has played an extremely important role for more than 40 years as a a catalyst for change in Irish education. Its review of the education system in the 1960s has been widely acknowledged as a defining moment in Ireland's recognition of the vital link between education and the social and economic progress of the State. I have not come across statistics to the contrary. The current review at this critical time will be of equal and lasting significance.

I compliment the Minister on selecting an independent international review team of such high calibre to evaluate the challenges facing our system in this rapidly changing world and the ability of the system to address those challenges. If he had picked a domestic team for this review, he would have been accused of bias and a cover up. Significant progress has been made in third level provision in recent years. Both the Lisbon agenda and Ireland's strategic objective of placing the education system in the top ranks of the OECD in terms of quality, participation and competitiveness call for this in depth evaluation.

We are all aware of the critical role education, research and innovation have played in the social and economic development of the State. Our priority is to ensure education continues to drive economic and social progress. Ireland faces significant and ever changing challenges. For example, the world is changing so quickly, we are no longer sure of the skills that will be required in a few years. Third level graduates will fill five out of six new jobs created in the next decade. There will be a greater demand for degree holders and, by 2015, they will represent the largest group in the new economy. The fastest growth is forecast to be among those with third level qualifications in science, engineering, law, finance or commerce.

However, enrolments in science courses in universities have decreased and there are short-term reasons for that decline. At the same time, student numbers at second level have reduced significantly and this means the traditional source of the bulk of third level entrants is slowing. The HEA, for example, forecasts there will be a 35% reduction by 2012. This year, the number applying for third level places has decreased significantly for the first time. This has serious implications. There will be spare capacity when other recent trends and developments are taken into account. Some of our colleges of technology are already having difficulty filling places. The challenge for the Minister and for the Government is how to justify greater resources in the institutes if it becomes clear that demand is beginning to decline sharply.

Another concern is the temptation to reduce third level entrance requirements. With increasing spare capacity there is an increasing case for attracting more adult learners and for further strengthening the links between work and education. With the pace of change in our world, skills and occupations become obsolete within a matter of a few years. This poses a challenge to the third level sector in terms of its capacity to upskill its workforce. To deal with these changes the sector will have to restructure internally and show enough flexibility to succeed in a new and changing environment. The problems of spare capacity can also be addressed by attracting overseas students to our colleges. The Minister has established many contacts in other countries and there is huge potential in some of these countries where the Irish education system is held in high esteem. To realise that potential calls for a huge marketing job. One of the keys to this is to establish a guarantee for the quality of Irish education. This must be done in a way which is recognised and accepted internationally.

One of the principal areas of focus for the review team will be our binary third level system. Institutes of technology were established several decades ago to respond to an economy-linked need which was not being adequately met by other areas. The institutes have done an excellent job within their remit. The big question now is what to do with that system. Should we recommend to the review team that it be changed? The Higher Education Authority recommends that the sector's two main tiers should be brought under its ambit and says that such a development would ensure comparability between quality assurance systems. The HEA also says that this change would significantly enhance the flexibility and capacity of the institutes of technology in carrying out their core functions of teaching, research and service to the community.

I do not agree with the idea of dismantling our two-tier system. In the United Kingdom many polytechnics have been turned into universities, with disastrous consequences for the quality of that country's education. Our disproportionate share of US high technology firms and investment, compared with that of England, owes as much to the contrast between the two countries' education systems as to the difference between the tax incentives offered by the two Governments. Any significant blurring of the distinct roles operated by our two-tier system is unwanted, unwarranted and unacceptable.

There is huge potential for the development of the existing system but I will not have time to deal with that aspect of the issue.

We aspire towards quality. As well as having quality in the research departments of our universities and colleges we must aspire to quality in teaching. There is considerable recent anecdotal evidence that the quality of teaching by some college lecturers leaves much to be desired. This issue needs to be addressed. If we are to achieve the quality to which we aspire we must attach equal significance to the quality of our teaching as to the quality of our research departments.

We can realise all the objectives we like but if the excellence of our system is not underpinned by equity we will have failed the people we are mandated to serve. The current review must tackle the issues of equity together with future funding, management structures and quality across all sectors and at every level within all sectors. The task seems daunting but one of the best independent teams of experts is available to help us chart that course. I look forward to its recommendations. When those recommendations, unpalatable though they might be, become available——