Sixteen universities have, according to a media release today, been allocated places in 38 STEM-related courses intended to support the AUKUS nuclear submarine program. The government says it is investing $128 million over four years. In reality, however, universities will need to divert resources from other activities to support nuclear submarine training.
The 75% costing methodology
Universities will need to self-finance some AUKUS places due to what the program guidelines call ‘the standard 75 per cent costing methodology’. In the program’s second year its funding for the first year’s continuing students will be 75 per cent of their commencing year allocation, and so on in subsequent years until no money is left.
Some reduced funding to take account of student attrition is reasonable, but 25 per cent is not. Over the 2005 to 2020 period the proportion of domestic commencing bachelor students leaving their university after first year peaked at 18.4 per cent. Nearly half the nuclear submarine places went to Group of Eight universities, which have lower attrition rates than the national average.
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