Govt gives more financial powers to field formations; IAF to lease mid-air-refuellers

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September 07, 2021 7:06 PM

The main focus is to empower Field Commanders and below to procure equipment/war-like stores faster which is required for critical operational requirements. The last time such enhancements of financial powers took place was in 2016.

Raksha Mantri Shri Rajnath Singh addressing the gathering after releasing order on Delegation of Financial Powers to Defence Services (DFPDS) 2021 in New Delhi on September 07, 2021.

Enhancing jointness among the Services, and operational preparedness, field formations get more financial powers.

Order on Delegation of Financial Powers to Defence Services (DFPDS) 2021, released by the defence minister Rajnath Singh on Tuesday, is expected to give enhanced delegation of Revenue Procurement powers to the Armed Forces.

How will this help?

This will help in making quicker decisions at all levels and this in turn will help in better operational preparedness and planning of the services and will also help in optimal use of resources.

The main focus is to empower Field Commanders and below to procure equipment/war-like stores faster which is required for critical operational requirements. The last time such enhancements of financial powers took place was in 2016.

Defence minister Rajnath Singh has described DFPDS 2021 as another big step in the series of defence reforms which has been undertaken to strengthen the security of the nation. To cater to the needs of the armed forces, the minister stressed on the need to revise the policies. “This will help in overcoming the procedural delays, greater operational efficiency and decentralisation,” he said while speaking on the occasion. And calling for optimum use of resources, reiterated the Government’s resolve to make the security system of the country strong and ‘Aatmanirbhar’.

Financial Advisor (Defence Services) Sanjiv Mittal in his remarks said that DFPDS will accord greater efficiency in attaining operational preparedness of the Defence Services

According to the Ministry of Defence the DFPDS 2021 was a result of deliberations by the three Services under the aegis of Department of Military Affairs and Department of Defence.

More about the DFPDS

A general enhancement of up to two times has been approved for the Competent Financial Authorities (CFAs).

And in certain Schedules, on account of operational requirements at the field formations it is in the range of up to 5-10 times.

The delegated Financial Powers of Vice Chiefs of the Services have been increased by 10 per cent. It is subject to an overall ceiling of Rs 500 crore.

The Financial Powers of Chief of Integrated Defence Staff to the Chairman Chiefs Of Staff Committee (CISC) as CFA has been improved significantly and associated with that of the Vice Chiefs of the Services.

Also, new CFAs have been added including Deputy Chief of Army Staff, ADG (Procurement)/DG Air Operations/DG Naval Operations, Master General Sustenance, etc. in Service Headquarters. And, on account of reorganisation/restructuring/functional requirements, also in the field formations.

Raksha Mantri Shri Rajnath Singh releasing order on Delegation of Financial Powers to Defence Services (DFPDS) 2021 in New Delhi on September 07, 2021. Also seen are Chief of Defence Staff General Bipin Rawat, Chief of Naval Staff Admiral Karambir Singh, Defence Secretary Dr Ajay Kumar and Financial Advisor (Defence Services) Shri Sanjiv Mittal.

In the Emergency Powers Schedule, an enabling provision of Emergency Financial Powers for the Field formations below Command level for the Defence Services has been included.

According to the Defence Ministry statement, there are new Schedules for Field Commanders Special Financial Powers to meet Strategic/Operational requirements. This is in line with the existing Army Schedule on ‘Army Commanders Special Financial Powers’ have been introduced for Navy and Air Force.

In line with “Atmanirbhar Bharat’’, there is a substantial enhancement up to three times of the existing powers in the Schedules related to Indigenisation/Research & Development.

Now, a new schedule has been introduced which will help in the hiring of aircraft and associated equipment for the Indian Air Force and also, hiring of Air to Air re-fuellers.

Powers for replenishment of Disaster Management Bricks for the Indian Navy have been delegated to Command Level. This will help in the immediate response to Natural Disasters/HADR Operations.

Clarifications or interpretation of provisions are going to be addressed by an Empowered Committee headed by AS&FA, Ministry of Defence with representatives of Department of Defence (DoD)/Department of Military Affairs (DMA).

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