 "LCA Tejas")
The Ministry of Defence (MoD) on Monday cleared the blacklisting policy for firms involved in any wrongdoing in defence deals and major defence proposals worth Rs 82,117 crore. The new policy does away with blanket bans and will have a pointed product-specific ban, aimed at punishing the corrupt among the foreign suppliers and not hold to ransom the country’s military and defence needs.
The approvals came during a meeting of the Defence Acquisition Council (DAC), chaired by Defence Minister Manohar Parrikar.
In terms of defence hardware, the DAC cleared two proposals, under the Indigenous Design Development and Manufacturing (IDDM) category, for the Light Combat Aircraft (LCA) Tejas and Light Combat Helicopters (LCH). Other proposals cleared involved unmanned aerial vehicles (UAVs), main battle tanks and rocket artillery.
However, no decision was taken on procuring the long-awaited Japanese amphibious aircraft.
Here are the major defence related developments which emerged from the DAC meeting:
1) Long-awaited blacklisting policy:
The most significant development of the meeting was the clearance of the blacklisting policy.
The most significant development of the meeting was the clearance of the blacklisting policy.
MoD has not revealed the features of the new policy. In stead, MoD officials have said that the policy would be put up on their website in the next few days.
Media reports said the new policy would ensure that companies involved in corruption are dealt with harshly without hampering the country's defence modernisation process.
Media reports said the new policy would ensure that companies involved in corruption are dealt with harshly without hampering the country's defence modernisation process.
The new policy, according to media reports, will consist of a mixture of heavy fines and graded blacklisting. The new policy would also allow many of the stuck programmes, like the heavy weight torpedoes for the six Scorpene submarines, to move ahead with clarity. Explaining the new system of graded blacklisting, an Indian Express report said that a defence firm involved in corruption or wrongdoing in a particular project will be banned for a specific number of years from dealing in that particular segment only. However, the same firm would be allowed to continue to pitch for projects in other segments.
Defence expert Ajai Shukla explained how the policy of blanket blacklisting could hamper the forces' preparedness (Read more). Even as India's first Scorpene submarine was undocked last year, the navy was battling the possibility of seeing its new cutting-edge submarines patrolling the waters without torpedos. Back then, Shukla had explained that the Black Shark torpedo meant for the Scorpene had been blocked by a MoD ban on Whitehead Alenia Sistemi Subacquel (WASS) of Italy.
WASS is a subsidiary of defence giant Finmeccanica, which the MoD proscribed after another subsidiary, AgustaWestland, came under investigation the AgustaWestland VVIP chopper scandal.
2) LCA Tejas:
An Indian Air Force (IAF) light combat aircraft "Tejas" sits on the tarmac during the "Aero India 2015" air show at Yelahanka air base in Bengaluru
The Indian Air Force's plan to purchase 83 Mark 1A LCAs at a cost of Rs 50,025 crore also received the acceptance of necessity (AON) from the DAC. The plan to procure the additional number of indigenous combat aircraft, over and above the 40 Tejas aircraft that the IAF is getting, also includes simulators and ancillary equipment
The development comes after the IAF inducted two Tejas LCAs in July this year (Read more).
3) Light Combat Helicopter:
The second proposal cleared in the IDDM category was for 15 LCHs – 10 for the IAF and five for the Indian Army – at a cost of Rs 2,911 crore.
India's Light Combat Helicopter
The second proposal cleared in the IDDM category was for 15 LCHs – 10 for the IAF and five for the Indian Army – at a cost of Rs 2,911 crore.
The LCH, Shukla had written in a report from last year, has been specially built to operate above 20,000 feet. Hindustan Aeronautics Limited and French engine-maker Turbomeca specially designed an engine called the Shakti for the LCH, which is optimised for extreme altitudes. This allows the LCH to fire its direct weapons – a rapid-firing turret gun, rockets and missiles – to support soldiers in battle at altitudes where the thin air does not allow humans to carry heavy weaponry.
An impressed army has already committed to ordering 114 helicopters, and the air force another 65, as soon as the flight-test programme is completed (Read more).
4) UAVs, T-90 tanks and artillery:
The other proposals cleared by the DAC on Monday included an AON for buying 598 UAVs under the 'Buy Indian' category at a cost of Rs 1,100 crore, and procurement of 464 T-90 tanks from the Ordnance Factory Board at a cost of Rs 13,448 crore.
The other proposals cleared by the DAC on Monday included an AON for buying 598 UAVs under the 'Buy Indian' category at a cost of Rs 1,100 crore, and procurement of 464 T-90 tanks from the Ordnance Factory Board at a cost of Rs 13,448 crore.
It also cleared the way for issuance of the request for proposal for six additional regiments of Pinaka rocket launchers at a cost of Rs 14,633 crore.
