Also approves proposals for capital acquisitions of various equipment for Armed Forces
The Defence Acquisition Council (DAC) on Friday approved issue of RFP (request for proposal) for construction of six conventional submarines under Project P 75 (I) under the Strategic Partnership (SP) Model at an estimated cost of ₹43,000 crore.
“This project envisages indigenous construction of six conventional submarines equipped with the Air Independent Propulsion system at an estimated cost of ₹43,000 crore,” a statement by Ministry of Defence said.
In addition, the DAC also approved proposals concerning capital acquisitions of various equipment for modernisation and operational needs of the Armed Forces amounting to around ₹6,000 crore.
“This project under SP Model provides a unique long-term opportunity and planning certainty for the industry to invest and support submarine construction. It will also infuse the latest technology and weaponry for submarines in India through strategic tie up between Indian Industry and leading foreign original equipment manufacturers (OEMs),” it said.
This would be also one of the largest ‘Make in India’ projects and will serve to facilitate faster and more significant absorption of technology and create a tiered industrial ecosystem for submarine construction in India. From a strategic perspective, this will help reduce current dependence on imports and gradually ensure greater self-reliance and dependability of supplies from indigenous sources, it said.
With accord of this approval, the country will be enabled to achieve its 30-year Submarine construction programme envisioned by the government to acquire national competence in submarine construction and for the Indian industry to independently design and construct submarines in India.
There was a long pending need of the Indian Army for modernisation of its Air Defence guns. These had been earlier procured only from foreign sources.
Further to better equip the Armed Forces to meet the operational challenges and facilitate faster induction of required arms and ammunition, the DAC extended the timelines for progressing urgent capital acquisitions under the delegated powers to the Armed Forces up to August 31. This will enable the Armed Forces to complete their emergent and critical acquisitions, the statement added.