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Reading: Defence Acquisition Council Approves Proposals Valued at ₹54,000 Crore
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DAC nod for defence acquisition proposals worth ₹54,000 crore
Breaking India News Today | In-Depth Reports & Analysis – IndiaNewsWeek > Nation > Defence Acquisition Council Approves Proposals Valued at ₹54,000 Crore
Nation

Defence Acquisition Council Approves Proposals Valued at ₹54,000 Crore

March 20, 2025 3 Min Read
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Defence Minister Rajnath Singh has approved new guidelines aimed at streamlining the timelines for various stages of the capital acquisition process, with the goal of making it quicker, more effective, and efficient.

This approval was given during a meeting of the Defence Acquisition Council (DAC), coinciding with the Ministry of Defence’s initiative to designate 2025 as the ‘Year of Reforms’. Additionally, the DAC has sanctioned capital acquisition proposals exceeding ₹54,000 crore to bolster defence capabilities, as stated by the Ministry of Defence on Thursday.

For years, both the industry and armed forces have advocated for a faster and less cumbersome acquisition process, especially since the lifespan of modern technology is often shorter than the average duration—which can take up to seven years—to procure armaments.

For the Indian Army, an Acceptance of Necessity (AoN), which is a formal approval, was granted for the acquisition of a 1350 HP engine to upgrade the existing 1000 HP engine in the T-90 main battle tanks (MBTs). As per the Ministry’s statement, the Indian Army operates around 1700 T-90 tanks, all of which are undergoing significant upgrades to enhance their engine performance, firepower, and overall capabilities, ensuring a competitive edge in contemporary warfare.

The Ministry emphasized that the new engines would significantly improve the battlefield mobility of these tanks, particularly in high-altitude regions, by enhancing the power-to-weight ratio. This enhancement has become increasingly important following the Galwan standoff with China in 2020.

In terms of naval capabilities, the DAC has approved the AoN for the procurement of Varunastra torpedoes, which are combat-ready, ship-launched anti-submarine torpedoes developed by the Naval Science & Technological Laboratory.

The addition of more Varunastra torpedoes will bolster the Navy’s ability to counter submarine threats posed by adversaries.

The DAC also granted approval for the procurement of Airborne Early Warning & Control (AEW&C) aircraft systems for the Indian Air Force. These AEW&C systems serve as crucial capability enhancers, capable of transforming the entire spectrum of warfare and significantly increasing the combat potential of various other weapon systems.

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