Otago University has done a set of partnership deals with the Students Association to expand its role in student services. Membership of student unions is now voluntary.
The Otago University Students Association vigorously opposed a bill to end compulsory membership and predicted its income and services would be cut in half and its student radio station might close.
But the university council agreed this week to take over the charging for all student services, and lifted the compulsory fee by almost $100 to $672 next year.
The bulk of the money will be passed to the Students Association under a contract for the services.
Plans for a joint orientation week in next February based at the city's new stadium, are to be announced on Friday.