The Support Programme for Industrial Innovation is designed to promote technology development in South Africa’s industry, through the provision of financial assistance for the development of innovative products and/or processes. The Support Programme for Industrial Innovation is focused specifically on the development phase, which begins at the conclusion of basic research and ends at the point when a pre-production prototype has been produced.
The Support Programme for Industrial Innovation is made up of three different schemes:
• The first being the Product Process Development scheme, which provide financial assistance to small, very small and micro enterprises and allows for a maximum grant of R2 million for cost incurred in precompetitive development activities.
• The second scheme and probably the most accessed scheme of the three is the Matching Scheme. The maximum grant is R5 million and is based on a percentage of development cost incurred. Depending on BEE ownership the grant starts at 50% of qualifying development cost incurred and increases to 75% if BEE ownership is more than 50%. The grant from the Matching Scheme is not repayable.
• The last scheme is the Partnership Scheme which has a R10 million limit. However, the grant in this scheme is repayable over a fixed period based on a percentage of the project. The repayment period will be agreed up front. The percentage contribution is 50% of qualifying development cost incurred.
The SPII offers two schemes namely, the:
- SPII Product Process Development (PPD) Scheme; and
- SPII Matching Scheme.
Criteria for SPII Support:
- Development should represent significant advance in technology;
- Development and subsequent production must take place within South Africa;
- Intellectual Property to reside in South African registered company;
- Participating businesses should (must) be South African registered enterprises;
- Government funded institutions (e.g. CSIR) do not directly qualify for support but may participate as subcontractor(s) and;
- No simultaneous applications from the same company