Procurement Process for Defence Equipments Gets a Revamp

The revision of procedure for Defence Capital Acquisitions as given in DPP-2016 was undertaken to incorporate comments/suggestions of a wide spectrum of stakeholders and accordingly, Ministry of Defence promulgated the Defence Acquisition Procedure 2020 (DAP 2020) with effect from 01^st October, 2020.

To bring transparency & speed in defence acquisitions, following steps have been taken:

1. For cutting down time frames:

• Single-stage grant of AoN,
• Delegation of approvals/financial powers,
• Simplification of trials process, and
• Integrated and joint approach in D&D cases.

This information was given by Raksha Rajya Mantri Shri Ajay Bhatt in a written reply to Shri Prakash Javadekar in Rajya Sabha on March 14, 2022.

2. To promote probity, public accountability and transparency in defence capital procurements:

• Pre Contract Integrity Pact (PCIP) for all cases above Rs 20 crore,
• Time bound disposal of complaints,
• Ascertaining vigilance status of L1 vendor before seeking approval of the Competent Financial Authority (CFA),
• Notification of guidelines for Penalties in Business Dealings with suspect Entities,
• Capacity Assessment guidelines for Shipbuilding Entities.