Australia Visa Fee Cuts Won’t Save ELICOS Sector from Decline
The State of the ELICOS Sector and Student Visa Fees in Australia
Welcome to a friendly look at the challenges facing the English Language Intensive Courses for Overseas Students (ELICOS) sector in Australia. If you’re considering coming to study or work in Australia, it’s important to know how these changes might affect you.
What is ELICOS?
ELICOS programs help international students improve their English skills through short courses. These courses can be beneficial for those looking to study in Australia or enhance their job prospects. However, recent discussions about visa fees have raised concerns in the sector, and that affects international job seekers and students alike.
Concerns over Rising Visa Fees
The ELICOS sector is calling for a reduction in student visa application fees. Currently, the fee is around $2,000, which many, including Phil Honeywood, CEO of the International Education Association of Australia (IEAA), believe is detrimental to attracting overseas students.
While lowering fees might seem like a straightforward solution, experts warn that it could inadvertently send the wrong message regarding the quality of students Australia wishes to attract. The goal is to draw the best talent, and merely cutting fees might jeopardise that objective.
The Historical Booms and Busts
Australia’s ELICOS sector has experienced its fair share of ups and downs. The first boom occurred in the late 1980s, followed by stricter visa policies, leading to the closure of several colleges. Many students from this period overstayed their visas, complicating matters and making the Department of Immigration cautious about future policies.
More recently, a peak occurred between 2022 and 2024 due, in part, to relaxed conditions such as unlimited work rights and fee-free visa applications. However, after the new Labor Government took office, they began tightening policies aimed specifically at the ELICOS sector. As a result, institutions have been closing down, impacting the overall quality and presence of English language education.
The Rising Refusal Rates
One concerning trend is the increasing refusal rates for offshore ELICOS visas. For instance, the refusal rate jumped from under 10% in 2022-23 to nearly 25% in 2024-25. This spike mainly affects students from countries with high growth, like Colombia, where refusal rates rose steeply during the same period.
Experts are concerned that if the government implements a “no further stay” condition for ELICOS students, fewer people might opt for these courses, further hurting the sector.
Long-term Considerations for Future Students
If you’re thinking about moving to Australia or enrolling in an ELICOS program, here are a few things to keep in mind:
The Impact on Visa Sponsorship and Employment
For international job seekers, understanding the nuances of the ELICOS sector and job opportunities in Australia is crucial. Improving your English skills can enhance your employability and open doors to more visa options, like the 482 visa, which allows employers to sponsor skilled workers in Australia.
Acquiring strong language skills may also help if you’re considering pathways towards permanent residency (PR) in Australia, such as the 189 or 190 visas. Under these pathways, skilled workers who meet specific criteria can aim for permanent residency.
Looking Ahead
While it might seem like reducing visa application fees for ELICOS students could solve some immediate issues, experts suggest that significant challenges remain. Even if the fees were cut, there’s no certainty that the ELICOS sector would experience a revival similar to the booming period of 2022-24.
That’s because many of the conditions leading to the increase in student enrolments were affected by students from higher immigration risk countries. Addressing these factors will require more than just reduced fees; it will need a thoughtful approach to ensure both quality education and compliance with immigration laws.
What do you think?
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