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LCQ6: Scope of work of the University Grants Committee

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Following is a question by the Hon Abraham Shek and a reply by the Secretary for Education and Manpower, Professor Arthur K C Li, in the Legislative Council today (March 24):

Question:

In its document published in January this year, the University Grants Committee ("UGC") pointed out that it should strengthen its role in strategic planning and policy development, so as to advise and steer the higher education sector, and that it would introduce performance and role related funding mechanism into the UGC funding methodology for the 2005-08 triennium. In this connection, will the Government inform this Council :

(a) how it ensures that the academic autonomy of tertiary institutions under UGC's purview will not be undermined by implementing the above funding mechanism;

(b) whether it knows if UGC has consulted these institutions in the course of drafting the document; if it has, of the views of individual institutions; if not, the reasons for that; and

(c) whether it has assessed if the scope of UGC's responsibility of advising the Government on the development and funding needs of higher education institutions includes steering the higher education sector; if such steering work is assessed to fall outside UGC's scope, whether the authorities will review such responsibility?

Reply:

Madam President,

(a) & (b) First and foremost, I have to emphasise that the Administration and the University Grants Committee (UGC) attach great importance to the academic autonomy of institutions. We have no intention to change this principle and will not attempt to do so.

Guided by this principle, the UGC published the document entitled "Hong Kong Higher Education - To make a Difference, To Move with the Times" at the end of January this year. It seeks to follow up and implement the blueprint for the further development of higher education in Hong Kong announced by the Administration in 2002. The blueprint was based on the recommendations of the Higher Education Review conducted by the UGC in the same year, which included the recommendation to strengthen role differentiation among UGC funded institutions to promote diversity and excellence.

To take forward this initiative, the document published by the UGC in January 2004 sets out clearly that each institution should fulfill a unique role based on its strengths, and collaborate deeply with other institutions to develop a diversified but interlocking system. In this way, the local higher education sector may assist in making Hong Kong Asia's world city, driving forward economic and social development, and developing Hong Kong into the education hub of the region.

As a first step, the UGC has worked with UGC-funded institutions to review their individual role statements. There had been in-depth discussions and exchanges in the process, having due regard to the institutions' views. The new statements are based on the strengths of each institution, and reflect more clearly the distinctive roles of each institution in the system. Every institution has clearly indicated that it welcomes the above document and its own role statement.

On the other hand, the Higher Education Review also recommends sharpening the funding mechanism by which the UGC allocates funding to the UGC-funded institutions, to support role differentiation and to reward good performance. More specifically, the improved mechanism will put greater emphasis on performance and role related funding. The scheme was first carried out in 2000, and the UGC is now working on the second round of the scheme. Under this scheme, institutions will assess their own performance against certain indicators, some of which will be suggested by the institutions themselves. The assessments will be made according to the criteria and related benchmarks and measures suggested by the institutions. The Assessment Panel under the UGC will consider and seek to verify the assessment results submitted by the institutions. The evaluation process will be conducted in a consultative manner. The UGC will consult the institutions, invite their full participation, and seriously consider their views and submissions.

(c) The UGC has been working in accordance with its terms of reference (which are set out at Annex). Apart from advising the Government on the application of funds for the sector, the UGC also has to advise the Government on other aspects of higher education, and keep under review institutions' development plans in the light of the needs of community. This is exactly what the UGC is doing.

It is in the wider interest of the community as a whole that the UGC should play a more proactive role in steering and facilitating the development of the entire higher education sector. At a time when our higher education sector is facing keen competition internationally, effective co ordination among institutions is all the more important. The UGC playing a more comprehensive role at the system level is beneficial to the role setting of individual institutions, enabling them to strengthen their own positions and that of the entire system. This should not be viewed as an attempt by the UGC or the Government to interfere with the academic autonomy that institutions ought to have.

Annex:

UNIVERSITY GRANTS COMMITTEE

Terms of Reference

The UGC is appointed by the Chief Executive of the Hong Kong Special Administrative Region with the following terms of reference:

(a) To keep under review in the light of the community's needs :

(i) the facilities in Hong Kong for education in universities and such other institutions as may from time to time be designated by the Chief Executive;

(ii) such plans for development of such institutions as may be required from time to time;

(iii) the financial needs of education in such institutions; and

(b) To advise the Government :

(i) on the application of such funds as may be approved by the Legislature for education in such institutions; and

(ii) on such aspects of higher education which the Chief Executive may from time to time refer to the Committee.

Ends/Wednesday, March 24, 2004

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