The Defence Acquisition Council (DAC) cleared acquisition projects worth Rs 84,560 crore, that included procurement of mid-air refuellers, maritime reconnaissance aircraft, heavyweight-torpedoes, air defence radars and new generation anti-tank mines to bolster the combat prowess of the armed forces.

Cleared by the DAC, headed by Defence Minister Rajnath Singh, almost all the procurement projects will be implemented with a broader framework of the government’s focus on ensuring self-reliance in defence manufacturing.

What is the role of the Defence Acquisition Council?

• Pursuant to the recommendations made by the group of ministers on reforming the national security system in February 2001, a separate, dedicated structure for defence procurement was set up.

• In continuation of its efforts to streamline defence procurement procedures and to reduce timelines so as to ensure timely delivery of equipment to the armed forces, various measures to simplify the defence procurement procedure have been undertaken.

• A Defence Acquisition Council (DAC) was created as an overarching structure with the defence minister as its chairman.

• The DAC is the highest decision-making body of the defence ministry on procurement.

• The defence minister is the chairman of DAC. Its members include Chief of Defence Staff (CDS) and chiefs of Army, Navy and Air Force.

• The main objective of the DAC is to ensure expeditious procurement of the approved requirements of the armed forces in terms of capabilities sought and time frame prescribed by optimally utilizing the allocated budgetary resources.

Its functions include:

i)  Give in principle approval of a 15 years Long Term Integrated Perspective Plan (LTIPP) for defence forces.

ii) Accord of acceptance of necessity to acquisition proposals. 

iii) Categorisation of the acquisition proposals relating to ‘Buy’, ‘Buy & Make’ and ‘Make’. 

iv) Look into issues relating to single vendor clearance. 

v) Take decisions regarding ‘offset’ provisions in respect of acquisition proposals above Rs 300 crore.

vi) Take decisions regarding Transfer of Technology under the ‘Buy & Make’ category of acquisition proposals. 

vii) Field trial evaluation.

Key projects that got approved in the last meeting:

• The approval of necessity (AoN) for procurement of medium range maritime reconnaissance and multi-mission maritime aircraft has been granted by the DAC for strengthening the surveillance and interdiction capabilities of the Indian Navy and the Indian Coast Guard.

• The DAC approved procurement of a new generation of anti-tank mines having ‘seismic sensor’ and provision of remote deactivation with additional safety features.

• In order to enhance the operational efficiency and domination in the tactical battle area for engaging targets that are beyond visual line of sight by the mechanised forces, the AoN under Buy (Indian-IDDM) category has been accorded for procurement of Canister Launched Anti-Armour Loiter Munition System.

• The IDDM category means indigenously designed, developed and manufactured.

• To strengthen the air defence systems, especially the capabilities to detect slow, small and low-flying targets as well as surveillance, detection and tracking of different targets, the AoN has been accorded for procurement of air defence tactical control radar under Buy (Indian-IDDM) category.

• To keep the Indian Naval ships one step ahead of the threats posed by the adversaries, the AoN under Buy (Indian) category has been accorded for procurement ofActive Towed Array Sonar having capabilities to operate at low frequencies and various depths for long range detections of adversary submarines.

• The AoN has also been accorded for procurement of heavyweight torpedoes for enhancing the attacking capabilities of Kalvari class submarines.

• The AoN for sustainment support through Follow On Support (FOS) and Repair Replenishment support through Follow On Supply Support (FOSS) for 24 MH60R aircraft under foreign military sale route with the US government has also been accorded.

• The DAC accorded AoN for procurement of flight refueller aircraft for enhancing the operational capabilities and reach of the Indian Air Force.

• The DAC also approved procurement software defined radios for the Coast Guard under Buy (Indian-IDDM) category. This will fulfill the requirement of the ICG for having a high-speed communication with secure networking capability for seamless information exchange between the ICG and the Indian Navy units.

• To promote procurement of advanced technologies from startups and MSMEs developed under the Innovations for Defence Excellence (iDEX) and Technology Development Fund schemes, the DAC has approved amendments in the Defence Acquisition Procedure (DAP) 2020 with respect to benchmarking and cost computation, payment schedule, procurement quantity, etc.

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