Bharat Express

India’s Defence Sector Set For Major Upgrades With Rs 54,000 Crore Investment

India is moving forward with an upgrade to its defense capabilities, with the DAC approving eight major capital acquisition proposals.

India's Defense Sector

India is moving forward with a significant upgrade to its defense capabilities, with the Defence Acquisition Council (DAC) approving eight major capital acquisition proposals.

These deals, worth over Rs 54,000 crore, aim to strengthen the Indian Army, Navy, and Air Force, enhancing their operational readiness and combat effectiveness.

Army To Receive Enhanced T-90 Tank Engines

For the Indian Army, the DAC has approved the acquisition of 1,350 horsepower (HP) engines for T-90 tanks, replacing the current 1,000 HP engines.

This upgrade will significantly enhance the tanks’ mobility, especially in high-altitude regions, by improving their power-to-weight ratio.

The upgraded engines will bolster the Army’s ability to operate in challenging terrains and respond more effectively to threats.

The Indian Navy will also see a major enhancement in its capabilities with the approval of additional Varunastra torpedoes, an advanced, ship-launched anti-submarine weapon.

Designed by the Naval Science & Technological Laboratory, this indigenous system will significantly strengthen India’s underwater combat capabilities and improve its ability to detect and neutralize enemy submarines.

The Air Force will boost its aerial defense with the induction of new Airborne Early Warning & Control (AEW&C) aircraft systems.

These high-tech aircraft will improve battlefield awareness, enhance coordination between forces, and significantly improve combat effectiveness by providing a comprehensive overview of airspace activities.

Defense Ministry Pushes For Faster Procurement Process

Along with these major acquisitions, the Defense Ministry is introducing reforms aimed at speeding up the procurement process, which has traditionally been marred by bureaucratic delays.

Past high-profile deals, such as the acquisition of Rafale fighters and Scorpene submarines, have faced prolonged timelines due to red tape.

The new guidelines aim to cut the average acquisition timeline from 96 weeks (about two years) to just 24 weeks (six months).

Top ministry officials revealed that the goal is to make the capital acquisition procedure more efficient and eliminate unnecessary delays in acquiring critical military platforms.

Key Changes To Accelerate Procurement

Several changes have been introduced to streamline the acquisition process:

  • Simultaneous AoN and RFP Preparation: The armed forces will now prepare the Request for Proposal (RFP) for any acquisition while simultaneously seeking Acceptance of Necessity (AoN). This parallel approach will avoid the delays caused by sequential processing.
  • Revamping Field Evaluation Trials: Traditionally, field trials could take years as equipment had to be tested under diverse conditions. Under the new guidelines, the ministry plans to expedite this process by conducting simulations rather than physical trials in extreme conditions.
  • Strict Timelines for Contract Negotiations: The Contract Negotiation Committee (CNC) will now have a maximum of six months to conclude price negotiations. This new rule aims to avoid protracted discussions, which have previously slowed down the finalization of deals.

Once the finance ministry clears the negotiated prices, the deal will move quickly to the Cabinet Committee on Security (CCS), chaired by the Prime Minister, for final approval.

Addressing Cost Overruns And Strengthening Accountability

The push for faster acquisitions comes with a focus on improving accountability within the procurement process.

One of the major issues with delayed acquisitions is the risk of cost escalation.

By enforcing strict timelines and parallel processing, the government aims to minimize delays that could lead to higher costs.

The reforms also hold both the armed forces and the ministry accountable for any price increases resulting from delays.

This move is part of the government’s strategy to ensure that crucial defense platforms reach the armed forces without unnecessary setbacks, allowing India to modernize its military more efficiently.

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