Financial powers in armed forces devolved below vice-chief level for first time

at 7:53 pm
armed forces

New Delhi (NVI): In the wake of emerging security challenges, the Government has delegated financial powers for capital procurement in the armed forces below vice-chief level.

The Union Cabinet today approved enhanced delegation of financial powers under capital procurement to deputy chiefs and command chiefs of armed forces.

The decision has been taken for faster processing and implementation of projects for modernisation of armed forces to meet security challenges, that the country has been facing recently from China and Pakistan side.

As per the approval, under Other Capital Procurement Procedure (OCPP) of Defence Acquisition Procedure-2020, financial powers up to Rs 100 crore has been delegated to General Officer Commanding-in-Chief (GOC-in-C), Flag Officer Commanding-in-Chief (FOC-in-C), Air Officer Commanding-in-Chief (AOC-in-C) at Services Command and Regional Commanders, Indian Coast Guard (ICG), the Ministry of Defence said in a statement.

Apart from that, powers up to Rs 200 crore has been delegated to Deputy Chief of Army Staff (CD&S)/MGS (Master General Sustenance), COM (Chief of Material), AOM (Air Officer Maintenance), DCIDS (Deputy Chief Integrated Defence Staff) and ADG ICG (Additional Director General Indian Coast Guard), as per the Ministry.

This delegation of powers within Service Headquarters and up to Command Level for items of Capital nature such as overhauls, refits, upgrades etc. will enhance the utility of existing assets and will facilitate faster processing and implementation of projects for modernization of Armed Forces to meet the security challenges of the nation, MoD said.

The Cabinet has also approved enhanced financial powers in the Make-I category under which Government funding up to 70% of the prototype development cost is available for Design & Development of equipment, systems, major platforms or upgrades thereof.

Chief of Integrated Defence Staff to the Chairman Chiefs of Staff Committee (CISC), Vice Chief of Army Staff (VCOAS), Vice Chief of Naval Staff (VCNS), Deputy Chief of Air Staff (DCAS), and Director General Coast Guard (DG(CG)) have now been given powers to sanction Government support up to Rs 50 crore towards cost of prototype development.

Financial powers have also been enhanced for other competent financial authorities under ‘Make-I’ in line with Government’s vision of ‘Atmanirbhar Bharat’ and ‘Make in India’ for a robust defence industrial ecosystem, as per the defence ministry.