NEW DELHI: As the Narendra Modi government focuses on faster decision-making and quicker defence procurement processes, the Army’s regional commanders may soon get to break free of the bureaucratic rigmarole, if their demand for hiking their financial powers, in some cases even doubling it, is met by the Defence Ministry.
If this proposal is approved by the NDA government, it would pave way for speedier purchase of weapons and supplies urgently required by the troops for operational needs in troubled areas such as Jammu and Kashmir and in the North East states, say officers at the Army headquarters.
According to the officers, the Army headquarters has sought at least 50 per cent hike in the financial powers of its key formations such as the Udhampur-headquartered Northern Army Command in the state of Jammu and Kashmir and the Kolkata-headquartered Eastern Army Command, responsible for the security of the Northeastern states, to let them buy weapons and ammunition.
At present, under the financial powers accorded to them in 2006 by the previous UPA government, the commanders from the North and the East can buy weapons and ammunition worth only up to `50 lakh without the approvals of higher-ups. This amount could fetch only bare minimum ammunition for the nearly five lakh troopers cumulatively posted in both Jammu and Kashmir and the North East, according to Army officers.
In concurrence with the Integrated Financial Advisers (IFA), a system introduced in 2006, the Army commanders—who are all in the rank of a Central government secretary—can at present buy ordnance stores up to `10 crore.
“It is this financial power, in concurrence with the IFAs, that the Army wants hiked by at least 50 per cent. That is, instead of `10 crore, the Army commanders should be able to buy weapons up to `15 crore. This would though only help in offsetting the inflationary factors,” an officer told The Sunday Standard.
The issue of hiking financial powers was first discussed by the Army top brass at the commanders conference held earlier this year, after the Defence Ministry ordered a review of the 2006 delegation of financial powers on January 23 and sought improvements in the system.
The then Northern Army Commander Lt Gen Sanjiv Chachra, who retired in May this year, raised the issue at the Army commanders meeting, noting “the present budgetary cap restricts purchase of required stores owing to cost escalation.” He was quoted by sources as saying in the meeting that the “financial powers should be increased”. His contention was supported by the procurement branch of the Army headquarters under the Master General Ordnance, who brought out the case for increasing of financial powers to be reviewed with the Defence Ministry.
In the case of sector stores—basically weapons and ammunition that are unique to a particular border area such as Poonch sector or Menhdar sector— the Army commanders had the powers to buy up to `25 lakh without consulting the IFAs under the 2006 orders.
In consultation with the IFA, they could buy up to `2 crore. But the Army wants this power doubled to `4 crore.
In case weapons and equipment, such as snow boots and jackets for Siachen operations, are to be imported, the Army commander in Udhampur could do so only up to `2 crore. This again needs to be doubled to `4 crore, according to the Army.
“Most of the amount prescribed at present is pittance compared to the cost of weapons and equipment. Even if the hike proposed by the Army headquarters is accepted by the government, it would only help ward off the inflationary effects on the defence budget,” a Lieutenant General-rank officer said, requesting anonymity.