Several new acquisitions, officials said, are under consideration and orders are likely to be placed this month once they get the final nod from the Cabinet Committee on Security (CCS) or the Ministry of Defence.

With the financial year drawing to a close and no headway yet on clearing outstanding Rouble payments for weapons purchased from Russia, the government is set to go in for a series of big-ticket indigenous acquisitions for the military to use up its pending defence capital funds, top officials told The Indian Express.

Several new acquisitions, officials said, are under consideration and orders are likely to be placed this month once they get the final nod from the Cabinet Committee on Security (CCS) or the Ministry of Defence.

Some of the naval projects for which orders might be placed this month include fleet support ships, Next Generation Offshore Patrol Vessels and Next Generation Missile Vessels — all made in Indian shipyards.Negotiations have been underway between the Hindustan Shipyard Limited for five fleet support ships since 2021.

In 2018, the Defence Acquisition Council (DAC) had accorded approval for the procurement of six Next Generation Offshore Patrol Vessels (NGOPVs), fitted with state-of-the-art sensor suite, for the Navy. These platforms are aimed at strengthening maritime security by undertaking a multitude of operational roles.

In 2021, the Cochin Shipyard Limited had emerged as the lowest bidder for the construction of six Next Generation Missile Vessels at a cost of Rs 10,000 crore.

Also in the pipeline are Next Generation Maritime Mobile Coastal Batteries (NGMMCBs) fitted with BrahMos surface-to-surface supersonic cruise missiles. In 2019, the DAC had accorded approval for procurement of the NGMMCBs for deployment along the coast. They have been developed and made in India by BrahMos Aerospace Private Limited, an India-Russia joint venture company.

Additionally, contracts for additional Lynx U2 Fire Control Systems – a Naval Gun Fire Control System for frontline warships and Super Rapid Gun Mount Systems (SRGMS) – might be inked soon.

Contracts for submarine refits are also in the pipeline. While the Ministry of Defence signed a contract Monday for normal refit of a third Kilo Class diesel-electric submarine, Sindhukirti, with HSL for Rs 934 crore, the Navy is pushing for another submarine refit contract.

Earlier, in December 2020, the Ministry had signed a contract with Bharat Electronics Limited (BEL) for procuring 10 Lynx U2 Fire Control Systems which were designed to acquire, track, and engage targets amidst sea clutter. In 2021, BHEL had bagged an order to supply two SRGMs to the Navy.

Earlier this month, the CCS accorded approval to sign a contract with L&T for the acquisition of three cadet training ships worth Rs 3,108.09 crore.

For the IAF, procurement of indigenously-developed medium power radars and high power radars for detection and tracking of aerial targets including fighter aircraft and slow-moving objects and close-in weapon systems is also on cards.

On Friday, the Ministry signed a contract with Hindustan Aeronautics Limited (HAL) to procure six Dornier-228 aircraft for the IAF at a cost of Rs 667 crore. The aircraft will be used for transport and communication duties.

Earlier this month, the CCS approved the procurement of 70 HTT-40 Basic Trainer Aircraft from HAL for the IAF at a cost of Rs 6,828.36 crore. The aircraft, which will provide basic training to IAF pilots, will be supplied over six years.

For the Army, contracts for Project Himshakti, a DRDO-developed integrated electronic warfare system for mountains, a dedicated communications satellite for the Army, and an indigenous air defence control and reporting system are in the pipeline.

The Army is already using the homegrown electronic warfare system. Last year, the DAC had accorded approval for the procurement of GSAT 7B for the Army.

According to officials, the three services are yet to fully exhaust their capital budgets for the current fiscal. A major chunk of this unspent funds are Rouble payments worth Rs 28,000 crore for weapons India procured from Russia. 

Officials, however, said that the armed forces might end up surrendering a significant chunk of their capital budget even if all the contracts under discussion go through.