Australia's university sector needs to be overhauled to provide fairer access to tertiary education, while research funding should be boosted to cut a reliance on international students.
Ahead of a wide-ranging review of the sector by the federal government, Universities Australia and the Australian Technology Network of Universities have released their submissions.
Universities Australia has recommended more Commonwealth funding for research and development, while also calling for the former government's Job-ready Graduates Package to be replaced with a new model.
The submission, containing 29 recommendations, also suggested extending uncapped university places to Indigenous people and allowing more people to access tertiary studies regardless of their backgrounds.
Universities Australia chief executive Catriona Jackson said investment in research was at a 15-year low and action was needed to help the country's universities keep up with other institutions.
"Australia urgently needs more of what universities offer and we're calling for the government's full support to make this possible," she said.
"Skill shortages, economic uncertainty, geopolitical tensions and a new industrial revolution are changing the way we live and operate.
"We have no time to waste in preparing for these challenges and universities have a role to play."
The universities accord will be the biggest review of the tertiary education system for more than a decade and will look at how the sector can be strengthened.
The technology network recommended improving access to higher education to ensure learning and skill-building was available to people at all stages of life.
"Affordable and sustainable access to the possibilities provided by world-class lifelong learning will build the necessary scaffold for skilled work, high-quality health care, appropriate housing, adequate social protections and services and national security," executive director Luke Sheehy said.
He said the accord was an opportunity to set national missions and targets and find agreement on a greatly simplified funding system.
Universities Australia called for funding of research from all government departments to be at least the OECD average by the end of the decade.
The submission said it was crucial for Australia to be able to maintain its sovereign capability and the role of higher education should not be taken for granted.
"It is vital that we build partnerships with our near and distant neighbours and seek a stronger understanding of the world's many cultures, histories and emerging challenges," it said.
Ms Jackson said more university jobs would be needed in the future if Australia was to be competitive across a range of areas.
"Government funding is falling while the cost of doing research is rising, forcing universities to rely on international student fee revenue to support these vital endeavours," she said.
"Our role in supporting Australia's safety, success and prosperity is more important than ever, but universities can't continue to keep doing more with less. We need the full support of government."
The review, headed by former NSW chief scientist Mary O'Kane, will release an interim report in June.
