Is your RTO prepared for the big changes coming in 2025?
- How will the National Planning Level (NPL) impact your international student numbers?
- Are you aware of the exemptions that could boost your enrollments?
- What steps can your RTO take right now to stay compliant and grow sustainably?
- How can you leverage exemptions to enroll more international students without exceeding your limits?
Let’s explore how your RTO can navigate the 2025 NPL and ensure you’re ready for success!
What is the National Planning Level (NPL)?
The NPL is a new limit set by the Australian Government to manage how many new international students can start their studies in Australia each year. This change ensures that Australia’s education sector grows sustainably while maintaining high-quality standards for both students and providers.
For 2025, the Government has set a total NPL of 270,000 new international student commencements, with 94,500 allocated specifically to the VET sector.
Why Does the NPL Matter for RTOs?
The NPL affects how many new international students your RTO can enroll each year. Staying compliant with your NPL limit is essential to:
- Compliance: Exceeding your limit could result in penalties, making it crucial to monitor your enrollments.
- Maintaining Quality: Limiting the number of enrollments helps RTOs focus on providing quality education and support to all students.
- Sustainable Growth: The NPL encourages steady, manageable growth, ensuring your RTO doesn’t face overcrowded classes or stretched resources.
How is the NPL Implemented?
The NPL allocates enrollment limits differently across the sector:
- Public Providers (e.g., TAFEs) will receive new student commencement limits based on their 2023 enrollment levels.
- Private Providers whose international students made up less than 80% of total enrollments in 2023 will receive limits based on projections for 2024.
- Private Providers with more than 80% international students will receive a proportionate share of the remaining commencements.
What’s Your RTO’s Limit?
Each RTO will receive an indicative limit for 2025, which tells you how many new international students you can enroll. This is determined by your 2023 data and 2024 projections.
- If your RTO had zero new international students in 2023, your limit for 2025 will be set at 30 new commencements.
- If your RTO had significant international student activity in 2023, your limit will reflect that and be adjusted accordingly.
Keep in mind that your indicative limit is subject to final approval once the ESOS Bill passes. The Department of Education will confirm your final limit once this happens.
Exemptions from the NPL
Certain courses and students are exempt from the NPL, which means they won’t count toward your new student commencement limit. These exemptions include:
- School courses (primary and secondary)
- Standalone English-language courses (ELICOS)
- Higher degrees by research
- Non-award courses
- Australian Government-sponsored scholars and visa holders, as well as key partner foreign government scholarship holders
- Students sponsored by the Departments of Foreign Affairs and Trade, and Defence
- Students from Pacific nations and Timor Leste
How to Focus on Exemptions
Certain courses and students are exempt from the NPL, which means they won’t count toward your new student commencement limit. These exemptions include:
- School courses (primary and secondary)
- Standalone English-language courses (ELICOS)
- Higher degrees by research
- Non-award courses
- Australian Government-sponsored scholars and visa holders, as well as key partner foreign government scholarship holders
- Students sponsored by the Departments of Foreign Affairs and Trade, and Defence
- Students from Pacific nations and Timor Leste
How to Prepare for 2025
Here’s what your RTO can do to get ready for the changes coming with the NPL:
- Understand Your Limit
First and foremost, know your indicative limit for 2025. Once you receive this from the Department of Employment and Workplace Relations, make sure you understand it fully and plan accordingly.
- Monitor Enrollments
Track your international student enrollments carefully. The Provider Registration and International Student Management System (PRISMS) will help RTOs manage their NPL limits by providing real-time updates on commenced and expected commencements.
- Plan Your Marketing and Recruitment
Since you’ll need to stay within your NPL limit, be strategic in your marketing efforts. Focus on recruiting students who are a good fit for your courses and avoid spreading your resources too thin.
- Train Your Administration Teams
Ensure your staff is fully prepared to manage enrollments under the new NPL system. The Government will provide webinars and factsheets to help RTOs navigate PRISMS and the NPL.
- Focus on Quality
The NPL is designed to ensure quality, not just quantity. Focus on providing excellent education and support for your students. Prioritize quality over the number of enrollments to maintain your RTO’s reputation and competitive edge.
Conclusion
The NPL for 2025 introduces important changes for RTOs that enroll international students. By understanding your limit, focusing on exemptions, and preparing your staff and processes, you can ensure your RTO is ready to thrive in the evolving education landscape.
Take the time to review your current systems, plan for the future, and make the necessary adjustments now to ensure a successful year in 2025.
Call to Action
Need help navigating the NPL and understanding your 2025 limits? Contact us [1800 959 958] today for expert advice and consultancy services to ensure your RTO stays compliant and ready to grow!
Disclaimer:
The information presented on the VET Resources blog is for general guidance only. While we strive for accuracy, we cannot guarantee the completeness or timeliness of the information. VET Resources is not responsible for any errors or omissions, or for the results obtained from the use of this information. Always consult a professional for advice tailored to your circumstances.