Source: ET
Subject: Defence
Context: The Defence Acquisition Council (DAC) has accorded Acceptance of Necessity (AoN) for capital acquisition proposals worth about ₹79,000 crore to strengthen the operational capabilities of the Armed Forces.
About Defence Acquisition Council (DAC):
What it is?
- The Defence Acquisition Council (DAC) is the highest decision-making body for capital defence procurements in India, responsible for granting in-principle approvals and Acceptance of Necessity for major acquisitions.
Established in:
- Set up following the recommendations of the Group of Ministers on Reforming the National Security System.
Members:
- Chairman: Raksha Mantri
- Members: Raksha Rajya Mantris, Chief of Defence Staff, Chiefs of Army, Navy and Air Force
- Other members: Defence Secretary, Secretaries of Defence Production, Defence R&D, Defence Finance
- Member Secretary: Deputy Chief of Defence Staff (PP&FD)
Functions:
- Approval of Long-Term Perspective Plan: Provides in-principle approval to capital acquisitions in the 15-year Long Term Perspective Plan, identifying projects with long gestation periods.
- Acceptance of Necessity (AoN): Grants AoN for capital acquisition projects proposed for inclusion in Five Year Plans, forming the first formal step in procurement.
- Categorisation of projects: Decides whether acquisitions will be Buy, Buy and Make, or Make, promoting indigenisation and domestic capability.
- Monitoring major projects: Reviews progress of key acquisition programmes based on feedback from the Defence Procurement Board.
- Policy coordination: Ensures coordination between operational requirements, financial prudence and indigenous defence production goals.
Significance:
- Enables timely acquisition of critical platforms and systems across the three services.
- Streamlines decision-making and reduces delays in defence acquisitions.
- Encourages indigenous development and production under the Atmanirbhar defence framework.
