Defence Acquisition Council approves Norms to Fast-Track Defence Procurement

The Defence Acquisition Council (DAC), chaired by the Indian Defence Minister, has approved key guidelines and procurement proposals aimed at boosting India’s defence capabilities and self-reliance.

About Defense Acquisition Council

• It is the highest decision making body in the Ministry of Defence. 
• It oversees policies and capital acquisition for armed forces.
  • Includes the Army, Navy, Air Force, and Coast Guard.
• Established: 2001 on the recommendation from the Group of Ministers on ‘Reforming the National Security System’ after the Kargil War.
• Composition: 
  • Chairman: Defence minister heads DAC.
  • Other members:  Chiefs of navy, army, air force, along with other senior officials from the ministry of defence.  
• Functions
  • Approval of proposals: Grants acceptance of necessity (AON) for capital acquisition proposals. 
  • Categorization: classifies acquisition proposals into categories like Buy’, ‘Buy & Make’, and ‘Make’.
  • Long term planning: provides in-principal approval for the 15 year long term integrated perspective plan for the defence forces. 
  • Monitoring: It overseens the progress of the defence  projects and ensures time implementation of them.  

Key Approvals and Procurement Details

• Faster Defence Procurement Process:
  • This move is part of the Ministry of Defence’s initiative to mark 2025 as the ‘Year of Reforms.’
  • The updated process aims to make procurement faster, more effective, and efficient by reducing timelines by 10-15%.
• Acceptance of Necessity (AoN) for Major Proposals:
  The DAC granted preliminary approval (AoN) for procurement proposals worth over ₹54,000 crore, including:
  • Upgrading T-90 Tank Engines:
    • Procurement of 1,350 HP engines to replace the current 1,000 HP engines.
    • This upgrade will improve the battlefield mobility of T-90 tanks, particularly in high-altitude areas, by enhancing their power-to-weight ratio.
  • Airborne Early Warning & Control (AEW&C) Aircraft for the Indian Air Force:
    • Approval for the purchase of additional AEW&C radar systems to strengthen air surveillance.
  • Varunastra Torpedoes for the Navy:
    • Approval for more ship-launched anti-submarine torpedoes, developed by Naval Science and Technological Laboratory.
    • These torpedoes will enhance the Navy’s capability to counter submarine threats.

Significance of Defence Reforms and Procurement

• Boost to Indigenous Defence Manufacturing
  • Strengthens domestic defence production by procuring indigenously designed ATAGS artillery guns and Varunastra torpedoes.
  • Reduces foreign dependency with over 65% of ATAGS components sourced locally.
• Enhanced Operational Capabilities
  • Upgraded T-90 tank engines improve mobility, especially in high-altitude areas.
  • AEW&C radar systems enhance air surveillance and early warning capabilities.
  • Varunastra torpedoes bolster the Navy’s anti-submarine warfare capabilities.
• Reduction in Procurement Timelines
  • New guidelines aim to reduce procurement timelines by 10-15%, speeding up defence acquisitions.
  • Immediate implementation reflects the government’s focus on efficiency and faster delivery of critical equipment.
• Employment Generation and Economic Impact
  
• • Expected creation of 20 lakh man-days of employment through indigenous manufacturing.
  • Stimulates related industries, contributing to economic growth and job opportunities.