Articles

Discretionary Grants: What They Are and How to Apply

Discretionary grants are grants that SETAs can award at their discretion to employers and other stakeholders who engage in skills development projects that are aligned with the SETA’s strategic objectives and priorities. Discretionary grants are intended to address the scarce and critical skills in the sector, support professional, vocational, technical and academic learning (PIVOTAL) programmes that lead to qualifications or part-qualifications, promote rural development, social responsibility and transformation, support entrepreneurship, cooperatives and small businesses, partner with TVET colleges, universities and other institutions, etc.

To qualify for discretionary grants, applicants must meet the following requirements:

• Be registered with SARS as an employer or be a non-profit organisation, community-based organisation, non-governmental organisation or cooperative operating within the sector
• Have a leviable amount of less than R500 000 per year or be exempt from paying SDL
• Submit a proposal for a skills development project that is aligned with the SETA’s sector skills plan (SSP), annual performance plan (APP) and national skills development strategy (NSDS)
• Have the requisite capacity and legal good standing to implement the project
• Comply with the grant conditions and quality standards set by the SETA

Applicants must submit their proposals online or manually, depending on the SETA’s requirements. They must also submit the relevant supporting documents, such as proof of company registration, tax clearance certificate, financial statements, etc.

Discretionary grants are awarded through a competitive application process that is advertised by each SETA. The application process may involve different stages, such as screening, evaluation, moderation, approval and contracting. Discretionary grants vary in amount and duration, depending on the nature and scope of the project.

Discretionary grants are subject to monitoring and evaluation by SETAs to ensure compliance with the grant conditions and quality standards. Applicants who receive grants must submit progress reports and financial statements to SETAs as required. They must also participate in any audits or verification exercises conducted by SETAs or external agencies.

Discretionary grants are therefore an opportunity for employers and other stakeholders to access funding for skills development projects that are aligned with the SETA’s strategic objectives and priorities. They can help applicants to provide training and development opportunities for their employees and beneficiaries, and to contribute to the national skills development strategy.