From MoodleDocs
  • This capability controls the renaming of roles in the course settings.
  • This capability is allowed for default manager, teacher and non-editing teacher roles and is not set for other roles.
  • Set this capability to Prevent if you don't want teachers or managers to rename roles.
  • Alternatively, you could create a custom role with this capability set to prevent and assign it to those users who should not rename roles.