The powers, which were first granted to defence forces post-Uri surgical strikes in 2016 during heightened tensions with Pakistan, have been helpful in tackling the military standoff with China going on since May 2020.

The case for granting emergency acquisition powers to defence forces is expected to come up for discussion in a high-level defence ministry meeting planned in end-Aug 2022.

The emergency powers allow forces to acquire any new or in-service equipment on a fast-track basis to improve preparedness for conflict situations.

In the previous approvals, the defence forces had the power to sign deals for equipment worth Rs 300 crore and the products had to be delivered within three months to one year, the sources said.

The armed forces have to spend funds on the new acquisitions from their own budgetary allocation and they don’t have to take the defence ministry’s approval for these deals, the sources said.

The defence forces have strengthened their preparedness through these acquisitions as the Indian Air Force and the Army received ‘Heron’ unmanned aerial vehicles which have now been deployed for surveillance in Ladakh as well as in the northeast for keeping an eye on Chinese activities.

The forces have also got missiles which can hit ground targets from long ranges. The Rafale fighter jets have also received a boost with the induction of the HAMMER missiles which can hit hardened ground targets like bunkers from a long distance.

The Army and the IAF also used these powers to strengthen their small arms as the Sig Sauer assault rifles have been inducted into all three forces now.

Indian armed forces extensively utilised the emergency procurement powers granted to them in different phases by the government to equip themselves with the necessary weaponry to handle any conflict or aggression by enemies on both sides.

The armed forces have a long list of equipment to buy and will use the powers to buy both indigenous as well as foreign manufactured products.

The powers are being granted to the defence forces again by the government at a time when China is showing aggressive manoeuvres on the Taiwan front and holding multiple missile firings and indulging in display of strength in the region.

On the other hand, Pakistani agencies are also trying to carry out operations along the maritime border with India near the Gujarat coast.

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The amendments will allow the Indian private sector to acquire a major stake in Defence R&D companies, which will be set up for development of major hardware platforms like drones, helicopters, aircrafts, and advanced submarines. This is a groundbreaking development as till now, only government DPSUs and laboratories were allowed defence R&D with only minor items being exposed to private R&D. This is in line with the defence budget, where it was announced that 25 per cent of defence R & D budget would be spent on these platform specific SPVs with the private sector.

Given the global turmoil sparked off by the Ukraine war and the Chinese belligerence in the Indo-Pacific, India has no options but to make defence R & D competitive as the public sector alone cannot cater to growing Indian defence platform requirements in the stipulated time.

While DRDO has been developing hardware platforms over the decades, the entry of private sector into defence R&D will give India more options for developing stand-off weapon systems like long endurance armed drones, anti-drone systems, 12-ton multi-purpose helicopters, next generation of fighter aircraft and perhaps nuclear powered and conventionally armed submarines.

The matter has acquired urgency as China has been able to develop armed high altitude long endurance drones like Wing Loong 10, which is powered by turbofan engines like state-of-the-art US armed drones. India, on the other hand, is still relying on getting its medium altitude long endurance drones being upgraded by Israel and has no answer to the long strides that China or for that matter Iran and Turkey have taken in development of unmanned aircraft systems.

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According to an official statement issued by the Ministry of Defence (MoD), in a landmark decision, the projects received Approval – in – Principle (AIP) which was decided by the Collegiate Committee of MoD. Under this, the industry will be provided financial support for prototype development of these projects.

For the Indian Air Force (IAF): approval has been given for Communication Equipment with Indian Security Protocols. This includes the Switches, Routers, VoIP Phones and their software and Encryptors. Also, airborne stand-off jammer, Airborne Electro Optical pod with Ground Based System, for the IAF.

For the Indian Army: approval has been given to the long awaited Indian Light Tank. In 2021, the MoD had released Request for Information (RfI) for 350 light tanks. The decision to have these tanks was taken in view of the 22 months standoff between the Indian and Chinese forces in eastern Ladakh along the Line of Actual Control (LAC). The Chinese side has deployed a light tank, the Type 15 or ZTQ 15.

According to the Ministry of Defence, this is the first time that the Indian industry has now been involved in the development of big ticket platforms like Communication Equipment with Indian Security Protocols as well as Light Tanks. Larsen and Toubro and a South Korean company are already talking about these tanks.

Five projects which will be funded by the industry under the Make-II procedure received AIP.

The IAF Full Motion Simulator for Apache Helicopter; Wearable Robotic Equipment for Aircraft Maintenance; and the Full Motion Simulator for Chinook Helicopter have received AIP.

For the Indian Army one of the biggest projects that received the AIP is Autonomous Combat Vehicle; and Integrated Surveillance and Targeting System for Mechanised Forces

Under the Make-II category, the government does not provide any funding for the development of the prototype. The industry has to fund the whole prototype development of the equipment/system and their platform. Under this the expenses have to be met by the industry for their upgrades or their sub-systems/ sub-assembly/ assemblies/ components. These are mainly going to help as import substitution and innovative solutions.

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