Monday, August 13, 2012

Perspective Plan for Armed Forces
Defence Acquisition Council has approved a fifteen year Long Term Integrated Perspective Plan (LTIPP) 2012-2027 and five year services Capital Acquisition Plan (SCAP) for modernisation of the Armed Forces. Revealing further details would not be in the interest of national security.
Acquisition of weapons and equipment for armed forces is a complex activity and is carried out in accordance with the provisions of Defence Procurement Procedure (DPP). As per broad time frame given in DPP, it takes about 2-3 years to complete the various stages of procurement and conclude the contract.
To counter systematic and institutional delays, procedures and processes are continuously refined on the basis of experience gained during the procurement process. The Defence Procurement Procedure provides an effective framework for expeditious procurement for modernization of the Armed Forces.
Financial powers have been delegated to process capital procurement cases as mentioned below:
Upto Rs.500 crore
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RakshaMantri
Above Rs.500 crore to Rs.1000crore

Finance Minister
Above Rs.1000 crore
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Cabinet Committee on Security (CCS)

Functionaries at Service HQ level have been delegated with financial powers to process procurement cases uptoRs.50 crore, Capital Cases above Rs.50 crore and upto Rs.75 crore are approved by Defence Secretary. There is a proposal to increase the amount.
Government constantly reviews the security scenario and accordingly decides to induct appropriate defenceequipment / platforms. This is a continuous process undertaken through procurement from various indigenous as well as foreign sources to keep the armed forces in a state of readiness to meet any eventuality.
This information was given by Minister of Defence Shri AK Antony in a written reply to Shri AsaduddinOwaisiandothers in Lok Sabha today.

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