DAC CLEARS BUILDING OF 6 ATTACK SUBMARINES
- June 5, 2021
- Posted by: OptimizeIAS Team
- Category: DPN Topics
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DAC CLEARS BUILDING OF 6 ATTACK SUBMARINES
Subject : Defence
Context : Recently, the Defence Acquisition Council (DAC) has approved proposals concerning Capital Acquisitions of various equipment for modernisation and operational needs of the Armed Forces amounting to approx. Rs 6,000 crore.
Concept :
- The DAC also approved issue of RFP for construction of six Conventional Submarines under Project P 75 (I) under the Strategic Partnership (SP) Model.
- The project envisages indigenous construction of six conventional submarines equipped with the state-of-the-art Air Independent Propulsion system at an estimated cost of Rs 43,000 crore.
- It is being the first case processed under the Strategic Partnership model which would be one of the largest ‘Make in India’ projects.
Strategic Partnership model
- Strategic Partnership model aims to revitalize defence industrial ecosystem and progressively build indigenous capabilities in the private sector to design, develop and manufacture complex weapon system for future needs of armed forces.
- The SP model has four segments — submarines, single-engine fighter aircraft, helicopters and armoured carriers/main battle tanks — which would be specifically opened up for the private sector.
- Under this policy, one Indian private company would be selected in each segment which would tie-up with shortlisted global equipment manufacturers to manufacture the platforms in India under technology transfer.
- All procurements under the SP model would be executed by specially constituted Empowered Project Committees to provide focussed attention and ensure timely execution.
Defence Acquisition Council (DAC)
- It is chaired by the Union Minister of Defence.
- Its objective is to ensure expeditious procurement of the approved requirements of the Armed Forces in terms of capabilities sought.
The functions of the DAC include:
- In-principle approval of 15 Year Long-Term Integrated Perspective Plan for Defence Forces;
- Accord of Acceptance of Necessity to acquisition proposals;
- Categorization of the acquisition proposals relating to ‘Buy’, ‘Buy & Make’ and ‘Make’;
- Issues relating to Single vendor clearance; and
- Decision regarding ‘offset’ provisions in respect of acquisition proposals above Rs. 300 crores