In the backdrop of continuing tension at the Line of Actual Control(LAC) in Ladakh and the threat of a two-front war simultaneously with China and Pakistan, the capital outlay for the next fiscal is not adequate, the Parliamentary Standing Committee on Defence has said flagging its concern in its report tabled in the Parliament.
As against the projected demand of Rs 2,15,995 crore , the final allocation was `1,52,369.61 crore. The Standing Committee, which tabled its report on Wednesday, said adequate budgetary allocations must be made in view of the present scenario of heightened tensions with certain neighbouring countries. Referring to the gap between the demand of the three defence services for capital outlay and the budgetary allocation, the panel recommended that the defence ministry should not make any reduction in the outlay in the coming years.
The report said such curtailment of funds could end up compromising the operational preparedness of the defence services. "The committee further note that at BE (budget estimate) stage in 2022-23, the gap between the projected and allocated budget for Army, Navy and Air Force is Rs 14,729.11 crore, Rs 20,031.97 crore and Rs 28,471.05 crore respectively, which are remarkably high," it said. The panel, in its previous reports, had recommended making the capital budget "non-lapsable" and "roll-on" in nature. The committee said it was apprised that a draft cabinet note for the non-lapsable defence modernisation fund is under consideration. The committee also said out of the total budgetary allocation of Rs 3,43,822.00 in 2020-21, only Rs 2,33,176.70 was utilised by the ministry up to December 2020.
The panel asked the defence ministry to expedite the constitution of the "non-lapsable defence modernisation fund - defence renewal fund" that could be used exclusively for the procurement of critical defence assets at critical times.
On the IAF preparedness, the report said the force should have "two front deterrence capabilities", which is of utmost priority as the "threat on both sides of Indian neighbourhood is a reality which cannot be ignored".
"During evidence, the representatives of Air Force submitted that the present authorised strength of squadron is 42. It was further stated that the total technical life of most of the existing squadron is expiring and consequently, the squadron strength is progressively depleting," it added.
The committee also suggested that the Indian Air Force should ensure that new aircraft are procured in the near future so as to enhance its combat capabilities.