UPSC Articles
Construction of Conventional Submarines under Project P 75 (I) approved
Part of: GS Prelims and GS -III – Defence and Security
In news
- The Defence Acquisition Council (DAC) has approved the issuance of a Request For Proposal (RFP) for construction of six Conventional Submarines under Project P 75 (I) under the Strategic Partnership (SP) Model.
What is this Project about?
- This Project envisions indigenous construction of six conventional submarines equipped with the state-of-the-art Air Independent Propulsion system at an estimated cost of Rs 43,000 crore.
- This is the first case processed under the SP model.
- The SP model of the Defence Procurement Procedure (DPP) aims to promote the role of Indian industry in manufacturing and build a domestic defence industrial ecosystem.
- This would be one of the largest ‘Make in India’ projects.
What is the Strategic Partnership (SP) Model?
- The SP model shall identify few Indian private companies as Strategic Partners who would tie up with a few shortlisted foreign Original Equipment Manufacturers (OEMs) to manufacture defence equipment.
- The selection of SPs and their foreign OEM partners would be based on a competitive process to be undertaken simultaneously.
- The Ministry of Defence (MoD) would also identify a list of Indian companies in each segment based on certain technical, financial and infrastructure-related parameters.
Important value additions
Defence Acquisition Council (DAC)
- It is the highest decision-making body in the Defence Ministry
- It decides on new policies and capital acquisitions for the three services (Army, Navy and Air Force) and the Indian Coast Guard.
- The Minister of Defence is the Chairman of the Council.