The defence ministry approved the procurement of arms and military equipment worth Rs 7,965 crore, including 12 light utility helicopters from Hindustan Aeronautics Limited (HAL).
The procurement proposals were approved at a meeting of the Defence Acquisition Council (DAC), the ministry’s highest decision-making body on the matter.
The DAC approved procurement of Lynx U2 naval gunfire control system from Bharat Electronics Limited that will enhance the tracking and engagement capabilities of naval warships.
It also approved mid-life upgradation of Dornier aircraft by Hindustan Aeronautics Limited to increase the naval capacity of maritime reconnaissance and coastal surveillance.
A global procurement case of naval guns has been foreclosed with these guns’ quantity added to the upgraded super rapid gun mount (SRGM) being manufactured by Bharat Heavy Electricals Limited (BHEL).
What is the role of Defence Acquisition Council?
• 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 was set up.
• In continuation of its efforts to streamline defence procurement procedures and to reduce timelines so as to ensure timely delivery of equipment to the armed forces, various measures to simplify the defence procurement procedure have been undertaken.
• A Defence Acquisition Council (DAC) was created as an overarching structure with the defence minister as its chairman.
• The DAC is the highest decision-making body of the defence ministry on procurement.
• The defence minister is the chairman of DAC. Its members include Chief of Defence Staff (CDS) and chiefs of Army, Navy and Air Force.
• The main objective of the DAC is to ensure expeditious procurement of the approved requirements of the armed forces in terms of capabilities sought and time frame prescribed by optimally utilizing the allocated budgetary resources.
Its functions include:
• 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.
• Categorisation of the acquisition proposals relating to ‘Buy’, ‘Buy & Make’ and ‘Make’.
• Look into issues relating to single vendor clearance.
• Take decisions regarding ‘offset’ provisions in respect of acquisition proposals above Rs 300 crore.
• Take decisions regarding Transfer of Technology under the ‘Buy & Make’ category of acquisition proposals.
• Field trial evaluation.
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