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From MoodleDocs

The Project Module supports 1.7 roles capability in one aspect: create assessment criteria.

The default student role is "prevent" the creation of assessment criteria. A teacher or admin may override or change this default and allow students to define the kinds of criteria that their project will be assessed on. This is a powerful tool for developing autonomous learning and recommended for learning contexts where students can be trained and facilitated in this process.

Thanks to Veli-Pekka Hännikäinen of TAMK, Finland for developing this feature.

See also