Armed forces, Navy, Air Force, and the Integrated Defence Staff (IDS) have been granted emergency powers once again amid tensions with China along the Line of Actual Control (LAC) in eastern Ladakh, even as the ministry emphasized strengthening its procurement rules.
Sources in the defence sector confirm that the fast-track process for revenue procurements has been extended for three more months to December 31. Since last year when emergency powers were invoked for revenue procurements, this is the third extension. After being extended from December to March last year, they were again extended until August this year. The emergency powers granted to the three services to procure capital were, however, not extended.
In addition, top defence sources say that the ministry has also stressed the need to strengthen the existing procurement processes under the Defence Acquisition Procedure (DAP) for capital procurements and the Defence Procurement Manual (DPM) for revenue acquisitions, instead of frequently using emergency powers for urgent procurements.
According to Rajnath Singh’s revised Delegation of Financial Powers to Defence Services (DFPDS-2021) announced in September this year, emergency revenue procurement powers have been delegated to the Army, Navy, Air Force, and Integrated Defence Staff. Under this, the vice-chiefs of the three services and the chief of the Integrated Defence Staff will have emergency powers to purchase ammunition, vehicles, stores, specialised services, and equipment and machinery worth up to Rs 500 crore for various exercises and operations. In such procurements, the delivery period will be within one year of the date of signing the contract. Senior defence officials explained that the service chiefs or the CISC will approve the equipment and quantities that will be procured under these powers based on operational requirements.
According to a second defence official, the service headquarters were also asked to provide the Department of Military Affairs with a list of items they had acquired under these powers, including details of contracts signed and deliveries received. In addition, Rajnath Singh was given a presentation last month by the services on what had been procured under the emergency powers, the items scheduled to be procured, and the various cases of delays in procuring critical items.
Procurements amid LAC standoff
Capital procurements include the purchase of machinery, equipment, weapons, and other critical equipment, while revenue procurements include the purchase of ammunition and spare parts needed to maintain these assets. After the Galwan Valley clashes last year, the Defence Ministry granted emergency capital procurement powers to the three services for the first time, as it granted emergency revenue procurement powers after the Balakot airstrike in February 2019 and the Uri surgical strike in 2016.
Several spares and other essential items have been purchased under emergency powers, most of them for the construction of habitats, roads, and bridges in eastern Ladakh. Capital acquisitions made under emergency powers include anti-drone systems, another set of air-to-ground precision-guided weapons, highly agile and manoeuvrable munition extended range (HAMMER) deployed on Rafale fighter jets. Man-Portable Air Defence System (MANPADS), Israeli SPICE bombs, Heron drones, and ammunition for T-72 and T-90 main battle tanks have also been purchased.
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