As part of the MinMec Resolution of 22 August 2015, the Recycling Grant promotes new participants entering the waste economy. In particular, it targets emerging enterprises and selects two companies per province. As a result, the programme strengthens inclusive participation and develops sustainable recycling businesses.
Funding and Support Provided
The programme provides funding and non-repayable grant support. Specifically, it finances waste management machinery and equipment. In addition, it supports infrastructure, excluding land acquisition. Furthermore, it funds commercial vehicles and operational overheads, including salaries. It also delivers business development services to build capacity. Consequently, enterprises strengthen sustainability and improve long-term operations. Typically, supported businesses achieve operational stability within two years.
Implementation and Application Process
The Department of Environmental Affairs (DEA) implements the programme and funds it annually. It offers grant funding of up to R5 million to qualifying emerging recycling enterprises. However, the programme allocates funding through a competitive proposal process. Therefore, applicants must submit strong and well-structured proposals to secure funding.
The recycling grant is aimed at:
• Driving entrepreneurship and job creation by ensuring the economic benefits emanating from waste are fully exploited;
• Supporting the establishment or expansion of a minimum of two projects per province;
• Significantly increasing recycling rates and waste diverted from landfills;
• Enabling significant participation of black business in waste beneficiation and the secondary resources economy;
• Promoting innovation through converting recyclables into marketable product; and
• Encouraging sustainability of the identified and supported projects.
Criteria for the Recycling Grant in South Africa:
Legal Registration Requirements
The applicant must register as a South African legal entity in line with applicable legislation. Specifically, the applicant must register under the Companies Act, 1973 (as amended), the Companies Act, 2008 (as amended), the Close Corporations Act, 1984 (as amended), or the Co-operatives Act, 2005 (as amended). In addition, the applicant must provide valid documentation issued by the Companies and Intellectual Property Commission (CIPC). Consequently, only properly registered entities qualify for consideration.
Physical Presence and Operational Location
The applicant must maintain a secure physical address. Furthermore, the applicant must conduct most of its operations within its registered province and locality. To confirm this, the applicant must submit supporting documents such as a title deed, lease agreement, or utility bill. As a result, this requirement confirms that the business operates within the correct jurisdiction.
Tax Compliance and Financial Standing
The applicant must remain a registered taxpayer in good standing. Therefore, the applicant must submit a valid tax clearance certificate. This confirms compliance with tax obligations and financial accountability.
Banking Requirements
The applicant must hold a South African business bank account. In addition, the applicant must provide a bank-stamped confirmation letter. This ensures that all funding-related transactions remain secure and transparent.
Sector and Business Activity
The applicant must operate, or intend to operate, within the waste economy. Specifically, this includes waste awareness, collection, recycling, beneficiation, and energy recovery. Moreover, the applicant must demonstrate this activity through a company profile.
Ownership and Control Requirements
The applicant must ensure that at least 51% of ownership belongs to Black South African citizens. In addition, Black owners must exercise dominant control over management and decision-making. To verify this, the applicant must provide valid BBBEE documentation or share certificates. Consequently, the programme ensures alignment with transformation objectives and inclusive economic participation.
Contact DTC – For more information & assistance on the Recycling Grant for South African businesses…
