P75I: Plans in choppy waters much before any submarine sees light of day

For, the strategic partner (SP) that the designated four domestic shipyards need to access technology to build the subs has not yet been identified. Reason: the Request for Proposal (RfP) to be sent to these shipyards would require them to find the right partner. And the guidelines for that are yet to be published.

The mystery deepens here. Originally, the recently released Defence Procurement Policy (DPP) 2016 was to have the rules for selecting SPs to constitute chapter five. But the DPP itself appeared much delayed after much pulls and pressures.

Defence Minister, Manohar Parikkar, possibly innocent of the ways of New Delhi, and that too the byzantine ministry he oversees kept on making commitments that it will be out on such a date. And still that date will be missed, much to the mirth of the media and stakeholders of the sector.

Eventually it appeared on the horizon a little more than ago, leaving most stakeholders confused what it wanted to achieve. A specialist and a veteran of the defence ministry, a former Indian Defence Accounts Officer was equally mystified as a veteran researcher in one of the premier think tanks of the country. 

So many crucial pieces of the document were missing that one needed a shovel to dig the depths of documents to find kernels that can be considered policies of the MoD. The P751 is one of the projects that is missing the midwife, which the DPP could have played.

The P75I is supposed to be a cutting-edge high technology flotilla of vessels that was to be built two each at Mazagon Docks and Hindustan Shipyards, besides two private shipyards. But the subs needed to have technology support and build capacities.

The two private shipyards, Anil Dhirubhai Ambani Groups (ADAG) recently acquired Pipavav Shipyard, and Larsen and Toubro (L&T) are unsure of spending an extra Rs 2,000-3000 crores. They need this money to build the specialised infrastructure for building the conventional subs. But the private shipyards face exclusion for not sinking in the cash before the MoD give them firm contracts.

While the government says that they will not qualify if they do not put in the new production line. The impasse continues even as ADAG seems unable to raise debt from the market as it is overextended, a knowledgeable source says.  

Four foreign firms were sent an initial Request for Information (RfI). They are DCNS of France, HDW of Germany, Nevantia of Italy and Rosoboronexport of Russia. Vice Admiral Pradeep Chauhan, a Fleet Commander, Western Naval Command says, “If I was to prepare the RfP, it would be DCNS.” According to him, the best single hulled diesel-electric air independent propulsion technology is with the company.