The Central government has cleared a proposal worth Rs 8,000 crore for acquiring 32 advanced light helicopters (ALH) to boost maritime security capabilities of the Indian Navy (IN) and the Indian Coast Guard (ICG).
Of the 32 helicopters to be built by the Hindustan Aeronautics Limited (HAL), both the maritime services would get 16 each.
The performance based logistics (PBL) support for five years for 16 helicopters for the Coast Guard is the unique feature of this contract.
"The PBL is the purchase of logistics support as an integrated, affordable, performance package designed to optimise system readiness and meet performance goals for the product through long-term support arrangements with clear lines of authority and responsibility," HAL Chairman and Managing Director T. Suvarna Raju said in a statement on Thursday.
The contracts were signed by HAL General Manager (Helicopter Division) V. Natarajan and Defence Ministry Joint Secretary Jayant Sinha, who is also the Acquisition Manager, in New Delhi on Wednesday.
Senior executives from HAL, the Indian Navy and the Indian Coast Guard were present on the occasion.
The PBL is emerging as a preferred acquisition strategy for defence acquisition and asset management. It ensures the availability of products to the customer while the responsibility gets transferred to the contractor.
The PBL envisages rewards or penalties based on the performance.
--IANS
str/ksk/vt
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