Question : Mega Defence Projects

(a) whether the Government has reviewed the status of various mega defence projects launched under Make in India initiative;

(b) if so, the details and the outcome thereof indicating the present status of these projects;

(c) the reasons for delay, if any, in these projects;

(d) the steps taken to expedite and fast track these projects; and

(e) whether the Government proposes to ease the rules to give freest initiative to arms and ammunition and if so, the details thereof?

Answer given by the minister

MINISTER OF STATE (DR. SUBHASH BHAMRE)
IN THE MINISTRY OF DEFENCE
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(a) to (e): Projects with a cost of `150 Crore and below are within the delegated powers of Services. Projects of more than `150 Crore are dealt by the Services and the Ministry of Defence. The progress of Capital Acquisition Projects is reviewed regularly at various levels in Ministry of Defence to achieve the desired operational preparedness of the Armed Forces and to effectively contribute to ‘Make in India’ program of Government of India. During the last three years and current year (upto 31.01.2018), 192 contracts for capital procurement of defence equipment
with total value of `243069.47 crore have been signed including 121 contracts with Indian vendors involving `116583.02 Crore and 71 contracts with foreign vendors for value of `126486.45 crore.
The steps taken to expedite and fast track the capital acquisition projects include broad timeframe for completing procurement activities (AoN to award of contract) has been reduced from 80-117 weeks to 70-94 weeks in multi vendor cases and from 92-137 weeks to 82-114 weeks in resultant Single Vendor cases; Acceptance of Necessity (AoN) validity has been reduced to six months (from one year) for ‘Buy cases and to one year (from two years) for ‘Buy & Make (Indian)’ cases; Draft Request for Proposal (RFP) has to accompany Statement of Case (SoC) for AoN, Cases with AoN value of more than `150 crore to be directly brought before Services Capital Acquisition Plan Categorisation Higher Committee (SCAPCHC) thereby eliminating initial placement of such cases before Services Capital Acquisition Plan Categorisation Committee (SCAPCC), etc.

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