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Monday, 13 August 2012 15:12

Green technology grant for the manufacturing industry

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The Department of Trade Industry (DTI) has launched a green technology and resource efficiency grant under the Manufacturing Competitiveness Enhancement Programme (MCEP) for companies in the manufacturing sector.  R 5.7 billion has been allocated to the MCEP for the next three years.  A portion of this has been specifically allocated to the Green Technology sector.  The main objective of the MCEP is to improve the competitiveness of the manufacturing industry in South Africa.

 

Who can apply?

South African registered companies, close corporations and co-operatives engaged in manufacturing, engineering services that support manufacturing, or conformity assessment agents that service the manufacturing sector can apply. The grant is only available to already existing companies and no new entities will be considered.  Section 21 companies, sole proprietors, partnerships and trusts do not qualify for the grant. For more information on exclusions contact the DTI.

 

All applicants must hold a level 4 B-BBEE contributor status or demonstrate how they will achieve this status within four years.

 

Interventions considered

The following green technology interventions will be considered for the grant:

·         cleaner production

·         waste management

·         energy efficiency

·         renewable energy

·         water usage efficiency

·         conformity assessments

 

How is the cash grant calculated?

In order to calculate the estimated cash grant the material input costs must be subtracted from the sales of the entity. An average is calculated over a two year period. This is the Manufacturing Value Addition (MVA). The cash grant depends on the total assets of the entity and varies between 7% and 15% of the MVA. The successful applicants will have two years to spend the grant.  The DTI will cost share between 30%-60% on a specific green technology intervention.

 

Application process

Applications must be submitted to the DTI at least 60 days prior to the intervention being implemented.  Applicants must include total assets, sales figures and material input costs over a two year period for the DTI to determine the cash grant that will be paid out.  Income statements and balance sheets must also be submitted. Applications can be made online.

 

To download the application forms visit the DTI website.

 

Green Technology projects that commence between the 30 May 2012 to 30 July 2012 can submit applications up until the 31 August 2012. The DTI will accept further applications up until the 31 March 2018. 

 

SOURCE: Amanda Botes, Urban Earth

http://bit.ly/OZykWm

Read 1866 times Last modified on Monday, 20 August 2012 12:02
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