INTRODUCTION:
Pursuant to the recommendations made by the Group of Ministers on Reforming the National Security System in February 2001, a separate, dedicated structure for Defence Procurement is being set up.
It is expected to lead to better time cost management in the acquisition process, build up institutional memory and help obtain better value for money.
The new arrangement would ensure closer participation by the Armed Forces in the entire process of decision making leading to higher operational
efficiency, better co-ordination and flow of information.
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What are the Highlights of Acquisition Proposals?
Indian Navy:
Out of the total proposals, Indian Navy proposals constitute more than Rs 56,000 crore, which largely includes indigenous
BrahMos cruise missiles, Shakti Electronic Warfare (EW) systems, Utility Helicopters-Maritime among others.
Airforce:
Long Range Stand-Off Weapon for the Indian Air Force gets a nod, which is to be integrated on SU-30 MKI aircraft.
Army:
Also, 155mm/52 Caliber Advanced Towed Artillery Gun System (ATAGS), along with
High Mobility & Gun Towing Vehicles will be procured for the Indian Army.
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Hindustan Aeronautics:
Hindustan Aeronautics is a big beneficiary of this announcement by DAC, as it shall supply Advance Light Helicopters MK-III to the Indian Coast Guard. The Helicopter will be able to carry a suite of surveillance sensors which will enhance the surveillance capabilities, along with giving full night capability and Instrument Flight Rules capability for operations of the Indian Coast Guard.
The Medium Speed Marine Diesel Engine:
Under the Make-I category, the Medium Speed Marine Diesel Engine will be manufactured indigenously.
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About Defence Acquisition Council (DAC):
What is it?
The DAC is the highest decision-making body of the Defence Ministry on procurement.
Objective:
To ensure expeditious procurement of the approved requirements of the armed forces.
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Formation:
It was formed after the Group of Minister’s recommendations on ‘Reforming the National Security System’, in 2001, post- kargil War (1999).
Composition:
The Defence minister is the chairman of DAC.
Its members include the Chief of Defence Staff (CDS) and chiefs of the Army, Navy, and Air Force.
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Functions:
Give in- principle approval of a 15 years Long Term Integrated Perspective Plan (LTIPP) for Defence forces.
Accord of acceptance of necessity to acquisition proposals.
Categorization of the acquisition proposals relating to ‘Buy’, ‘Buy & Make’, and ‘Make’.
Look into is sues relating to single vendor clearance.
Take decisions regarding ‘offset’ provisions in respect of acquisition proposals above Rs 300 crore.
Take decisions regarding the Transfer of Technology under the ‘Buy & Make’ category of acquisition proposals.
Field trial evaluation.
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Defence Acquisition Council (DAC),Defence Acquisition Council (DAC)
