Defence Acquisition Council (DAC) [UPSC Notes]

The Defence Acquisition Council (DAC) is an important body in the Indian security and defence space. What is the Defence Acquisition Council? What are its functions? Who constituted it? Read on to know more about the Defence Acquisition Council for the UPSC exam.

Defence Acquisition Council (DAC)

The Defence Acquisition Council (DAC) was formed after recommendations made by the Group of Ministers on ‘Reforming the National Security System’ in 2001, post-Kargil war.

• DAC is the highest decision-making body in the Defence Ministry for deciding on new policies and capital acquisitions for the three services – Army, Navy and Air Force, and the Indian Coast Guard.
• The Defence Acquisition Council is headed by the Defence Minister. The decision of Raksha Mantri on DAC deliberations flows down from implementation to Defence Procurement Board, Defence Production Board and Defence R&D Board.

DAC Composition

The composition of the DAC is as follows.

• Defence Minister: Chairperson
• Minister of State for Defence: Member
• Chief of Army Staff: Member
• Chief of Air Staff: Member
• Chief of Naval Staff: Member
• Defence Secretary: Member
• Secretary Defence Production: Member
• Secretary Defence R&D: Member
• Chief of Integrated Defence: Staff Member Secretary
• Director General Acquisition: Member
• Chief of Integrated Staff Committees HQ IDS: Member

DAC Functions

In this section, the functions of DAC are mentioned. They are:

• Accord approval for AoN (Acceptance of Necessity) for Capital Acquisition Proposals.
• Categorising the acquisition proposals into ‘Buy, Buy & Make , & Make’. 
  •  ‘Buy’ Projects (outright purchase) 
  •  ‘Buy and Make’ projects (purchase followed by licensed production/indigenous development) 
  •  ‘Make’ Projects (indigenous production and R&D) 

• In-principle approval of 15 Year Long-Term Integrated Perspective Plan (LTPP) for Defence Forces.
• Monitor the progress of major projects on feedback from the Defence Procurement Board.  

Also read: Defense Acquisition Procedure 2020

Defence Acquisition Council Latest News

The Defence Acquisition Council (DAC) has accorded approval for Acceptance of Necessity (AoN) for 24 Capital Acquisition Proposals.

• It is important to mention that 21 proposals (97.4%) are approved for procurement from indigenous sources.
• It will provide a significant boost to the defence industry to achieve the goal of ‘Atmanirbhar Bharat’ thereby reducing foreign spending significantly.

AoN for 24 Capital Acquisition Proposals

The 24 Capital Acquisition Proposals include 6 for Indian Army, 6 for Indian Air Force, 10 for Indian Navy and 2 for Indian Coast Guard, collectively worth Rs 84,328 cr.

• Indian Army – The Capital Acquisition Proposals will equip the Indian Army with Futuristic Infantry Combat Vehicles, Mounted Gun System and Light Tanks.
  • It also includes procurement of Ballistic Helmets with advanced protection levels.
• Indian Air Force – The procurement will equip IAF with a new range of missile systems with advanced lethal capabilities, Range Augmentation Kit, Long Range Guided Bombs and Advanced Surveillance Systems.
• Indian Navy – The procurements will include Naval Anti-Ship Missiles, High Endurance Autonomous Vehicles and Multi-Purpose Vessels.
• Indian Coast Guard – The procurement of Next Generation Offshore Patrol Vessels will enhance surveillance capability in the coastal areas to new heights.

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