61-year-old Sandhu, a 1973 batch IPS officer of Bihar cadre, will also take over as Deputy National Security Adviser and Secretary in NSCS from March 21 next year.
The Appointments Committee of Cabinet (ACC) headed by Prime Minister Manmohan Singh cleared Sandhu's appointment two week before he demits his office this month-end.
"His (Sandhu) appointment would be on re-employment on contract, initially as Officer on Special Duty until the expiry of the term of the current incumbent, Vijaya Latha Reddy, IFS (1975) on March 20, 2013 and as Deputy National Security Adviser and Secretary, National Security Council Secretariat, thereafter," an official release said today.
Sandhu will have a fixed tenure of three years.
The ACC has also approved appointment of Indrajit Pal, IAS (AP:77), currently in the cadre, as Secretary, Department of Chemicals and Petrochemicals, Ministry of Chemicals and Fertilisers, in the vacancy of Jose K Cyriac, IAS (KL:77).
M F Farooqui, a 1978 batch IAS officer of Tamil Nadu cadre, currently Special Secretary, MoEF has been also appointed as Secretary, Department of Heavy Industry, Ministry of Heavy Industries and Public Enterprises following superannuation of S Sundareshan, IAS (KL:76), it said.
The ACC has also approved that R H Khwaja, IAS (AP:76), Secretary, Ministry of Mines will hold additional charge of the post of Secretary, Steel Ministry from December 22, 2012 to January 6, 2013 during the absence on leave of D R S Chaudhary, IAS (MP:77), the release said.