All 1992 Year 12 school leavers entering TAFE award courses in 1993 will have their administration fees waived.
And fees for all other students next year will be frozen at 1992 levels of 70 cents an hour.
Education Minister Kay Hallahan today announced the decision, which meant more than 5,000 school leavers would save about $400 each.
Mrs Hallahan said the fee exemption was granted to encourage more school leavers to consider undertaking TAFE qualifications in 1993.
"The more qualifications young people have, the better their career prospects and the economy's competitive position," she said.
"Fee exemptions have also been granted to holders of various health benefit and concession cards and their dependants."
The Minister said the fee exemption for school leavers would cost the Government $2 million.
It was a key part of the Government's 'Smart Move' strategy to provide education and training opportunities for all 1992 school leavers.