TWO south-west schools have received millions for infrastructure upgrades in the 2021-22 state budget.
The Hampden Specialist School, which has campuses at Terang and Cobden, received $10.7 million and was one of 39 specialist schools statewide with building upgrades funded in Tuesday's state budget.
The government touted the $388 million investment as "Victoria's single largest investment ever in upgrading specialist schools".
Hampden Specialist School principal Kylie Carter said the money would likely enable the school's prep to year four students to relocate from two portable classrooms at Terang College's Princes Highway junior campus.
The students would instead move to Terang College's campus for older year levels at Strong Street.
"This is amazing, we have been campaigning for a new campus for as long as I've been there for 12 years," Ms Carter said.
"The current building we are in just doesn't meet the needs of our students."
Terang College also has plans to move all students to the Strong Street campus after $1.18 million was announced to plan buildings there earlier this year.
Warrnambool's Merrivale Primary School has received $5.4 million and is one of 44 regional schools the state government is investing in building projects at.
Principal Simon Perry said the school had likely been among the few in Warrnambool not to have received funding for major upgrades in recent years.
"It's a very pleasing result for the school community. I am very grateful," Mr Perry said.
"From what I know and understand Merrivale is one of the only schools in the area that hasn't had a n upgrade in a really long time."
He said there was still work to do now to plan the upgrade.
"Like all schools there are some areas in the school that need upgrade or a refurbishment," Mr Perry said.
"We will come up with something really suited to 21st century learning and suited to our community."
The Colac Specialist school also received $13.9 million in Tuesday's budget.
Education Minister James Merlino said the investment in school buildings would benefit students' futures and pave a path to economic recovery from COVID-19.
Statewide, the government announced $38 million plan to phase out VCAL as a standalone qualification between 2023 and 2025, instead including it within VCE.
Nearly 15 per cent of south-west Victorian students were enrolled in the hands-on VCAL pathway in 2018, which was the equal highest amount in the state.
Emmanuel College applied learning co-ordinator Brendan Donahoo said the move, based on a government review of VCAL, appeared to be "re-branding" the pathway.
"It looks to be taking the best from applied learning and bringing that into a single qualification for senior secondary students that still has flexibility," Mr Donahoo said.
He said there could be "confusion" about VCAL pathways compared with VCE since its introduction in 2003.
"If this removes that and helps people understand it in a broader context that will be beneficial," Mr Donahoo said.
Have you signed up to The Standard's daily newsletter and breaking news emails? You can register below and make sure you are up to date with everything that's happening in the south-west.