The Defence Acquisition Council (DAC), headed by Defence Minister AK Antony, on Monday cleared four projects worth over Rs 16,000 crore including Barak missiles, submarine rescue vessels, advanced light helicopters (AlH) and anti-submarine shallow water craft.
The most noteworthy project to get the go-ahead was the Israeli-made Barak air defence missile as its procurement for the Navy was put on hold for the last six years due to a CBI investigation. The CBI had decided to file a closure report some months back after it could not find any substance in the allegations of kickbacks which came about during the NDA regime when George Fernandes was the Defence Minister.
The Navy had procured the Barak missiles, with the capability to hit a target at a range of nine km, in the early part of last decade and fitted these state of art systems on 14 of its warships including aircraft carrier INS Virat. The Navy decided to procure more missiles in 2007 as it was running out the present arsenal.
After the CBI's decision to file a closure report, the Attorney General allowed the defence ministry to take a decision on procurement of these missiles. Antony then set up a committee to take a final call on the issue of reviving the procurement process and after getting the clearance, the DAC gave the nod, officials said here after the meeting. The deal comprises 262 missiles worth over Rs 880 crores and Israel Aerospace Industry is the original manufacturer of this system.
The DAC also allowed the Navy to indigenously build 16 anti-submarine shallow water craft worth over Rs 13,440 crore for enhancing coastal and port security. The Defence Ministry will now float a tender and the Navy hopes to select the vendor and induct the craft in the next four to five years.
Similarly, the Navy will now invite bids from international companies for two submarine rescue vessels worth over Rs 1,500 crore. These vessels are used for rescuing personnel trapped in a malfunctioning submarine in deep waters and a select few countries including the US and Canada manufacture these vessels.
The DAC also cleared a proposal for the Hindustan Aeronautics limited (HAl) to manufacture 41 Dhruv advanced light helicopters(AlH) for the Army and Navy and the contract is worth over Rs 300 crore, officials said. While the Army will get 40 helicopters and the Navy will acquire one, they added.