Economic Highlights
New Delhi, 1 March 2014
Defence: Pennywise
Pound Foolish Decisions
WILL NEW
GOVT MAKE A
DIFFERENCE?
By Shivaji Sarkar
An emaciated nation cares more for food and daily chores
than security of the nation. Bogged by economic mis-management any wonder India has
continuously been ignoring investment in defence services.
Politically also it is not so much a vote-catcher except at
war time. True, India
has the advantage of not getting engaged in an all-out battle but it is being
continuously pestered by proxy war or “limited war” on its land borders in the
North, North-East and West. The sea frontiers have also seen a series of proxy
attacks whereby these low-intensity battles have caused concern among the
forces but sadly, the nation has largely ignored these as a “routine affair” or
failed to appreciate that they were a threat.
So while a series of “accidents” of naval submarines and
ships, 10 in a matter of months, have not been able to wake the country up from
its slumber. Yet, the resignation of Naval Chief DK Joshi has ruffled feathers
of the political and defence Establishment wherein it could become an election
issue.
Undeniably, this would be good for the nation as people
would have an informed choice for electing a Government that would be able to
take care of critical security needs.
Alas, some Parties have made customary periodical noises,
but the nation has not seen a fruitful debate in Parliament or outside on the
actual threat, needs and the defence forces annual budgetary allocation. Given
that the three wings, navy, air force and even the army need large investments.
Pertinently, Parliament’s Standing Committee on Defence has
expressed its concern over miniscule --- around 10 per cent a year increase in
annual allocation --- several times but to no avail. In reality, the final
utilisation or sanctions have been less or the increase has been gobbled up by
inflation.
In the 2013-14 Budget, capital outlay for the three services
was pegged at Rs 86,740 crore but in the revised estimate presented now it has
come down to Rs 78,872 crore, while the total allocation of all defence needs
has been increased to Rs 224,000 crore from Rs 203,672 crore in 2014-15. But
this comprises regular expenses, including salaries and other routine stuff.
This budget also includes an increase in pensionary needs owing to the grant of
one-rank-one-pension.
Thus, the leeway to the defence forces remains limited for
shoring up actual requirement as also upgradation. This apart, each demand has
to be vetted by bureaucrats, who often least understand professional needs,
resulting in delayed decisions by defence officials who shirk their
responsibilities.
Sadly, red tape is a reality. Shockingly, the Mumbai harbour
is considered risky for operation of naval ships as it is not dredged to create
the necessary draught. Since dredging entails a financial cost, the Harbour
saves on it thereby creating unsafe conditions. Remember, the Sindhughosh
submarine had got stuck because of low depth recently.
As there are constraints for a Government, wherein its
non-plan expenditure goes on increasing every year, the powers-that-be does not
mind bureaucratic delays. Quite often, this is counted as important savings
that help the Government meet its fiscal “deficit”, a necessity to create
international “trust” in the Administration’s “ability” to manage.
Consequently, acquisition of new submarines is approved “in
principle” but remain stuck for years on end for a decision. One instance: In 2007 six new submarines under Project 75
valued at over Rs 50,000 crore got acceptance as “necessity”. Three Committees
since then have gone into this question without giving any recommendation.
Presently it is shuttling between the Finance and Defence Ministries awaiting
clearance. Of these, two are to be sourced from foreign suppliers while the other
four are to be built in the country.
Notably, most other submarines have out-lived their lives,
the CAG has noted while many others were retro-fitted. But this is considered a
risky affair as a submarine has a projected life of 25 to 30 years wherein as
it ages the risks of malfunctions rise. Also, re-fits do not help much. Thus,
it is akin to a ticking time-bomb underwater which could go haywire any time.
Pertinently, the two recent submarines which met with the
worst accidents had been repaired and re-fitted. The Sindhuratna, the latest victim
of the fire incident in which two officers lost their lives and the
Sindhurakshak, which sunk due to internal blasts with all 18 seamen on board
had gone through this process. But now it appears that the Sindhuratna’s old
batteries were not replaced and had got stuck because of low depth. A pennywise
pound foolish decision.
Importantly, the distrust between the civilian-controlled
Defence Ministry and the defence leadership has been deepening for the past few
years. The civilian officials suspect each move by top defence officials. They
allege that demands are “hiked” and often are “unrealistic”. On their part,
defence officials grudge that the civilians never realize their needs and look
for pretexts to keep off projects that are vital to the country’s needs.
Some of the recent purchases be it Augusta copters, guns or aircrafts have also
been mired in corruption controversies and payment of commissions. In some
cases, even foreign firms have alleged paying bribes. Presently, a retired Air
Force Chief and his family members are facing probes and prosecution for
certain acquisitions.
Recall, each deal has a clause that no commission should be
paid. But the reality is different, internationally every deal involves cuts
and commissions. True, there have been suggestions to allow these commissions
legally to smoothen the process of purchases. However, the ghost of Bofors
continues to haunt. So nobody takes a decision.
Clearly, it is not just the navy, the air force too is in
need of adding to its capabilities. For decades, it had been flying the MIGs,
nicknamed ‘flying coffins’. The army also has many of its requirements, guns,
high powered-armoured vehicles and tanks, soldiers’ dresses which remain
pending.
Undoubtedly, the demands projected needed scrutiny. But
could the process be so long that the defence forces themselves remain
defenceless? The Sindhuratna and Sindhurakshak disasters and the torpedoing of
the Naval Chief are symptomatic of a deepening malaise.
In sum, one cannot blame the bureaucracy alone. The UPA’s
political leadership has also not acted.
One hopes the ensuing elections will decide the direction of India’s defence
preparedness. Till such time will the chaos continue? ----- INFA
(Copyright,
India News and Feature Alliance)
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