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This position paper considers how diversity should be encouraged in the higher education. A central theme of this paper is that desirable forms of sector diversity must be identified, rigorously defined and, ultimately planned for if they are to occur with any certainty. The paper concludes that systemic diversity is desirable in the Australian higher education system, but not in every form that it can potentially be manifested. Market forces alone cannot be relied upon to create forms of systemic diversity that will provide the optimum benefits to the nation and the sector's diverse stakeholder base. There is a need to appropriately plan for systemic diversity in the Australian higher education sector and to employ resources strategically to implement the desired plan. Critical to success in this area is the need for funding reform towards a system that supports institutions pursuing their own identities while supporting diversity within institutions and the maintenance of important areas which may otherwise be compromised if market forces alone are operating. Also important is the need for a change in perception of what represents excellence in the university context away from traditional paradigms based on history and prestige.

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The existence of regional universities offers students in the regions the opportunity to study within easy access of their families and support structures. The opportunities and the employment these institutions create help to keep the regions alive. Some have suggested that regional universities should be teaching only institutions, or outposts of metropolitan universities. There are equally strong views advocating that research is essential in the regions, as is the maintenance of independence of such institutions so that regional focus and benefits can be assured. A downgrading by stealth or neglect of universities in regional and rural Australia would be economically disastrous, politically problematic to any party seeking government in this country and counter the bipartisan pursuit of equity through education that has traditionally characterised and inspired Australian advances.

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