The University of Adelaide and the University of South Australia have agreed to pursue a merger, a move that would create the nation's largest university for Australian students.
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After months of discussions with the state government, the two universities will develop a business case and financial plan, but they have already agreed that the new entity would be called Adelaide University.
If it gets final approval it will be operational from January 2026.
"The creation of a university for the future would put South Australia at the forefront of education in Australia, with a truly globally competitive tertiary education institution," Premier Peter Malinauskas said.
"The combined university would make South Australia a magnet for domestic and international students and a global leader in research, unlocking incredible benefits for our state's economy."
Federal Education Minister Jason Clare said the merged university would be a powerhouse of research and a beacon for both domestic and international students.
"International education is a critical national asset. It is Australia's biggest export that we don't dig out of the ground," he said.
"This plan will make South Australia more competitive in attracting students from around the world."
As part of the merger plan, a transition council of 14 members will be created, with a chancellor also nominated.
The transition council will oversee a competitive process to appoint a vice-chancellor for the combined university, which will be governed by new legislation.
The state government has also agreed to provide financial support for the merger.
University of Adelaide Chancellor Catherine Branson and University of South Australia Chancellor Pauline Carr said the two institutions had agreed on a shared vision for what the new university could deliver.
"We believe that through a union of equals and combining the best of our present institutions, a future institution could deliver teaching of the highest quality, further address educational inequality, underpin social cohesion through its actions and through future-making research of scale and focus, and contribute to the economy of this state and nation for generations to come," they said in a statement.
While the government said the merger would not result in job losses, the Greens said it was inevitable some positions would go.
"The experience of mergers from interstate and overseas demonstrates that they inevitably result in job losses and a reduction in the quality of the student experience," Greens MP Robert Simms said.
"Given all of the challenges faced by the university sector in SA after three years of COVID-19, this will be unwelcome news for workers in the lead-up to Christmas."
Mr Simms said taxpayers should also be told how much money the government was providing.
"Surely this is money that could be better spent on increasing staff numbers and reducing casualisation," he said.
Business SA welcomed the proposed merger, but also called for details on the government's financial commitment.
"We expect the investment will create significant efficiencies, lead to a large increase in student numbers both domestic and international, and provide positive research and commercialisation outcomes," chief executive Andrew Kay said.
Australian Associated Press
