Australia's universities will be forced to publish consultancy expenditure, the decisions of governance meetings and salaries of executives under a set of new federal principles.
A new standard on preventing and responding to racism, which will force universities to adopt a contentious definition of anti-Semitism in an attempt to stamp out discrimination, is also set to be implemented.
Higher-education institutions will be accountable to the University Governance Principles, as well as the anti-racism standard, from Monday, July 13.
The announcement comes after multiple governance crises at the Australian National University and other public institutions, and continuing concerns around the safety of Jewish Australians on campuses.
Federal Education Minister Jason Clare said the new standards were about making sure universities met the expectations of their students, staff and communities.
"Anyone who doesn't think there have been some challenges in university governance has been living under a rock," he said.
The new principles are set to establish a clear governance framework for universities, similar to the ASX Corporate Governance Principles for listed companies.
The anti-racism standard requires all universities will be required to adopt set definitions of anti-Semitism, racism towards Aboriginal and Torres Strait Islander people, and Islamophobia.
The standard forms part of the controversial Plan to Combat Anti-Semitism, which was adopted by the federal government days after the Bondi terror attacks. The plan, which was prepared by Special Envoy to Combat Anti-Semitism Jillian Segal, has been criticised for free speech concerns and for a contentious definition of anti-Semitism.
The governance principles were developed by the Expert Council on University Governance, which included Chair Melinda Cilento, Sharan Burrow AC and Bruce Cowley.
Universities will be required to report to the regulator, the Tertiary Education Quality and Standards Agency, annually against these new Principles on an "if not why not" basis.
The principles set strong expectations across eight key themes, including accountability and governance, diverse perspectives, independence, transparency, trust, inclusivity and responsiveness, suitability of risks and responsible wages and workforces.
Public universities will be required to publish the outcomes of governing body meetings and decisions, consultancy spending and its purpose, external roles held by vice-chancellors and senior executives and annual remuneration reports, including vice-chancellor remuneration.
Australian universities receive more than $22 billion in public funding each year.
As part of the racism standard, universities will be required to implement transparent complaints processes and enable representation and participation in decision making. They will also have to provide clear guidance to students and staff on actions that enhance safety and security on campus and online.
TEQSA is set to work with the sector to develop detailed guidance on how the new standards will operate.
"There is no place for anti-Semitism or any type of hate in our universities or anywhere else," Mr Clare said.
"Unis will have to act to prevent racism and respond when it happens."
