CSU is one of 55 individuals and organisations to make a submission to The Senate Education and Employment Legislation Committee which is currently reviewing the Higher Education and Research Reform Amendment Bill 2014.

Introduced by Education Minister Christopher Pyne, the bill proposes to deregulate university fees, which means universities could determine their own course costs, and restructures subsidies for Commonwealth supported places.

CSU Vice-Chancellor Professor Andrew Vann said any education reforms should acknowledge the specific challenges faced by regional universities.

"These changes will result in universities having to make up funding shortfalls with higher costs to students and will significantly impact a number of CSU's primary teaching areas which address regional needs and skills shortages," he said.

Professor Vann said he was concerned about the impact of the deregulation of fees on rural, regional, and indigenous students from low socio-economic status (SES).

"Significant increases could act as a significant disincentive for these students, whose participation rate is already below average, to undertake higher education.

"The potential impact is one that needs to be considered.

"An alternative may be to examine other models for varying the level of student contributions, while avoiding the possible negative impact of total deregulation on participation rates amongst regional, rural, indigenous, mature aged, part-time and low SES students."