Scheme for Assistance to Training Institutions

Written By Gautham Krishna   | Published on May 20, 2019




The objective of the Assistance to Training Institutions (ATI) scheme is to strengthen capacity for training for Skill Development, entrepreneurship, undertaking research and studies on MSME related issues, providing training to staff of DICs and related Government institutions dealing with MSMEs and strengthening overall capacity of National Institutions under Ministry of MSME to undertake these trainings. 

The objective of the scheme is to build capacity both physical infrastructure and Human Resource (HR) in National Level Institutions under Ministry of MSME to undertake skill development.

Assistance Under the Scheme

Following are the assistance to Training Institutions under the scheme.

  • Assistance to Training Institutions of Ministry of MSME (MoMSME)

  • Assistance to State Level EDIs

  • Assistance for undertaking research and studies

  • Assistance for establishing MSME Chair

  • Assistance for Training Programmes

Assistance to Training Institutions of Ministry of MSME (MoMSME)

Eligibility
Assistance may be provided under the scheme for creation or strengthening/ expansion of infrastructure, including opening of new branches/centres to training institutions of Ministry of MSME and for meeting revenue deficit, if any, of National Institute for Micro, Small and Medium Enterprises (NIMSME).

Scale of assistance
Amount of assistance will not exceed the actual amount required for creation or strengthening/expansion of the infrastructure of the training institution and meeting the revenue deficit, etc. of NIMSME.

Assistance to State Level EDIs

Eligibility

  • Assistance may be provided under the scheme to existing State Level EDIs (Entrepreneurship Development Institutes) i.e. owned and controlled by a State Government/UT for developing capabilities in undertaking studies and research on MSME related issues.

  • The financial assistance will be for specific needs of each case for construction of building, purchase of training aids/equipments, office equipments, computers and for providing other support services e.g. libraries/data bases, etc. The costs of land, construction of staff quarters, etc. would not qualify for calculation of matching grant from the Central Government.

  • Financial assistance under the scheme will not be available, henceforth, for setting up of a new EDI. However, the proposals approved or committed earlier would be processed for financial assistance in accordance with the pre-revised guidelines.

Scale of assistance

  • The maximum assistance under the scheme to a State level EDI will be restricted to Rs.250 lakh in each case. This grant would be utilised for development of physical infrastructure, equipment, faculty training and development of capability in undertaking studies and research on issues related to MSME sector. This grant would be over and above the grant, if any, received by that institution earlier under the ATI scheme.

  • For the purpose of grant under this category, an EDI owned and controlled by a State Government / UT would be selected as recommended by the State Government. The selected state level EDI will have to enter into a partnership agreement (or, MOU) with NIMSME to formulate and implement the approved proposal.

Assistance for undertaking research and studies

  • Assistance may be provided to support institutions and individual experts for undertaking research and studies on MSME related issues. For major research projects, the maximum grant would be up to Rs.15 lakhs. The grant could be utilised for items like, equipment, books and journals, hiring of services, field officers, contingency travel and field work.

  • The Screening Committee in MoMSME headed by Joint Secretary (SME) would consider the proposals and make recommendations for sanction of grant in each case.

  • Approval of Secretary will be sought for sanction of grant.

  • Application for grant should be submitted to DS (EDI) in the Ministry of MSME in the prescribed Proforma.

Assistance for establishing MSME Chair

  • Annual grant may be provided under the scheme to academic and research institutions of repute like, IITs and IIMs for establishing MSME Chair for undertaking studies and research on MSME issues.

  • A committee in MoMSME consisting of Secretary (MSME), Joint Secretary (SME), Additional Secretary and Financial Advisor and Additional Secretary and Development Commissioner (MSME) would consider the proposals and make recommendations for sanction of grant in each case.

Assistance for Training Programmes

Eligibility

  • Assistance may be provided under the scheme to conduct training programmes in the areas of Skill Development to the following Training Institutions: -(i) NIMSME, (ii) NSIC, (iii) KVIC, (iv) Coir Board, (v) Tool Rooms Technology Centres, and (vi) MGIRI. 

  • The financial assistance under this scheme would be of recurring and revenue nature.

  • Central Government may prescribe such other conditions, as necessary, before sanction/release of assistance.

Scale of assistance

  • Assistance for skill development programmes under the scheme would be provided based on the duration of the NSQF compliant training programmes (number of hours of training inputs). The first installment of the grant would be released in advance and the balance on reimbursement basis limited to the following rates:

    • Category I Courses: Rs 38.50 per head per hour of training

    • Category II Courses: Rs 33.00 per head per hour of training

    • Category III Courses: Rs 27.50 per head per hour of training

  • Assistance for Training of Trainers (ToTs) programmes would be provided @ Rs.60 per trainee per hour (or, the rate prescribed under the common norm/NSQF,whichever is less).

  • Assistance for other types of training programmes would be decided based on actual requirement in each case.

  • The total amount of assistance to be considered for release as per the above rate will include the cost of overheads such as, motivation camps for selection of eligible trainees, charges towards hiring of space and equipment (if any), electricity/water, stationary, man hour cost of deployment of project personnel, post training followup activities, etc.

  • The trainees would be expected to make their own arrangement for travel and stay during the training period. In case the residential facility is provided by the Training Institution, it may charge the same from the trainee (subject to common norms/NSQF). It would be permissible to dovetail the assistance under this scheme with facilities/benefits available under schemes of other Ministries/ Departments/ State/UT Governments etc. for reimbursement of travel, boarding and lodging expenses and stipend etc. However, it would be the responsibility of the Training Institution to ensure that there is no duplication and assistance for the same purpose is not claimed under more than one scheme.

Application Procedure

  • The scheme envisages consideration of proposals above from national and state level EDIs, training institutions of MoMSME, academic institutions of repute, etc.

  • The proposals for grant of financial assistance under the scheme shall be submitted to the Deputy Secretary/Director, MoMSME, Udyog Bhawan, New Delhi 110011.

  • The proposals for assistance  shall be processed for submission to the Screening Committee, for consideration. The Screening Committee shall examine all the proposals received under the scheme and submit its recommendations to Secretary (MSME).

  • After approval of Secretary (MSME), the admissible assistance shall be released/approval shall be conveyed to the applicant organisation. It is clarified that private training institutions/NGOs are not covered under the scheme for assistance for infrastructure support and training programmes.

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