Vocational Education Minister Penny Simmonds.
Photo: RNZ / Angus Dreaver
The government has committed millions of dollars in extra spending to support polytechnic courses in Northland and on the South Island’s West Coast for the next five years.
Figures provided by Vocational Education Minister Penny Simmonds showed how the government would address concerns about the financial viability of polytechnic provision in both regions.
Simmonds announced earlier this week that the West Coast’s Tai Poutini would leave super-institute Te Pūkenga at the start of next year to become a campus of the Open Polytechnic, while NorthTec would become a stand-alone institute but within a federation model aimed at saving costs.
She said the Open Polytechnic would receive $2 million next year for its take-over of Tai Poutini, and a further $1m a year from 2028-31 to support its operations on the coast.
“This funding is intended to offset the high costs of delivery in a region with low learner demand and to ensure that essential workforce training remains available on the West Coast,” Simmonds said.
“As a condition of this funding, the Open Polytechnic must retain physical operations in the region.”
Simmonds said the polytechnic would also receive $3.1m this year and at least $2m next year from the Strategically Important Provision Fund for maintaining courses in areas where they were needed but might not be viable.
NorthTec would also receive money from the same fund – $3.6m this year, $2.75m in 2027 and a further $1.3 million per year from 2028-2031.
“While NorthTec has faced viability challenges in the past, significant progress has been made over the last year to strengthen its financial position and establish a pathway to sustainability,” Simmonds said.
She said the institute would receive $4.7m in ring-fenced reserves it had when it became part of Te Pūkenga, a further $4.5m for property consolidation, and “in-principle investment” of $34.7m for a new tertiary hub in central Whangārei, subject to a business case.
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