4696 NEW ZEALAND GAZETTE No. 198

degree or diploma, or a period of relevant work experience;

“Student loan” has the meaning in the Student Loan Scheme Act 1992;

“Tertiary institution” means an institution within the meaning of Part XIII of the Education Act 1989;

“Training costs”, in relation to a course, means the applicant’s necessary and reasonable costs of attending the course for—

(a) Course costs; and

(b) In the case of an invalid’s beneficiary who is aged 21 or more, is attending a secondary school, and requires the assistance of a teacher aide or a personal transport assistant, that assistance;

(c) Transport to and from the course; and

(d) Child care, less any amount that is paid in respect of those costs under a welfare programme under section 124 (1) (d) of the Act for child care assistance;

“Year”, in relation to an allowance, means the period of 52 weeks commencing on the date of application for the allowance.

2.2. Terms otherwise defined in the Act have the meanings so defined.

3. Objects

The objects of this programme are to provide financial assistance to people receiving certain benefits to enable them undertake employment related training that will—

(a) Enhance and improve their work skills; and

(b) Thereby increase their prospects of obtaining full-time employment or part-time work, and gaining independence from the benefit system.

4. Application of Social Security Act 1964

4.1. Sections 12, 62, 68A, 71, 74, 74A, 76, 77, 80A, 81, 82 (3), (4), and (7), 84, and 86 of the Act apply to this programme as if the assistance under it were a benefit under the Act.

4.2. Nothing in clause 4.1 limits any other provision of the Act.

5. Allowances

5.1. Eligibility

5.1.1. For the purpose of assisting an applicant to become independent of a benefit for his or her financial support, the chief executive may grant a Training Incentive Allowance to any applicant who—

(a) Is in receipt, in his or her own right, of—

(i) A domestic purposes benefit, an invalid’s benefit, or a widow’s benefit; or

(ii) The emergency benefit known as the emergency maintenance allowance; and

(b) Is enrolled (or is enrolled subject to the payment of tuition fees) in an employment related training course offered by a course provider—

(i) Accredited by the NZQA; or

(ii) That is a tertiary institution or a secondary school.

5.2. Restrictions

5.2.1. If the applicant is a work-tested beneficiary, an allowance may be granted only if—

(a) The chief executive considers the course the applicant intends to undertake is the most effective means of securing the applicant’s future employment; or

(b) The applicant has been granted a deferral of work-test obligations on the ground in regulation 7 (2) of the Social Security (Reciprocal Obligations: Exemptions and Deferrals) Regulations 1998.

5.2.2. No allowance may be granted—

(a) For a Training Opportunities Programme (TOP) Course; or

(b) For a course provided by the department; or

(c) For a postgraduate course; or

(d) To a person who has completed a degree course at a tertiary institution within the period of 5 years preceding the application of the allowance, whether or not the person has been awarded a degree.

6. Rates

6.1. Course not qualifying for student loan

6.1.1. If no student loan is available for the applicant’s course, the amount of an allowance is the applicant’s training costs calculated on a weekly basis for each week of the course up to a maximum of $75 a week but no more than $3,000 per year.

6.2. Course qualifying for student loan

6.2.1. If a student loan is available for the applicant’s course, the amount of an allowance is—

(a) 60 percent of the applicant’s course costs calculated on a yearly basis up to a maximum of $3,000 a year; and

(b) If the amount in paragraph (a) is less than $3,000, the applicant’s other training costs up to a maximum of $75 a week for each week of the course until the amount in paragraph (a) and the amount paid under this paragraph total $3,000.

6.3. Clauses 6.1.1 and 6.2.1 apply whether or not the applicant would be eligible to receive a student loan.

6.4. Yearly limit

6.4.1. This clause applies where an applicant—

(a) Is granted an allowance for a course (the “first course”); and

(b) Is granted an allowance for a subsequent course commencing within the year that relates to the first course.

6.4.2. Where clause 6.4.1 applies, no payments of an allowance in respect of those courses may exceed $3,000 in that year.

7. Beginning and end of payments

7.1. Beginning

7.1.1. No allowance (including a lump sum advance under clause 8.1) may be paid earlier, or for any period earlier, than—

(a) The date the course begins, if the application is received within 28 days of that date; or

(b) The date the application is received, if received more than 28 days after the course begins.

7.2. End

7.2.1. The chief executive may grant an allowance for a period ending on the earlier of—

(a) The date the course ends; or

(b) The date the year ends.

8. Payment

8.1. Lump sum advances

8.1.1. The chief executive may, on application, make payment of all or part of an allowance in advance.