Who Gets What? ₹79,000 Crore DAC AoN Defence Modernisation Explained

In a major boost to India’s defence capabilities, the Ministry of Defence (MoD) on Thursday granted the preliminary “acceptance of necessity (AoN)” for a series of high-value military modernization projects worth around ₹79,000 crore ($9 billion). The approvals, cleared by the Defence Acquisition Council (DAC) chaired by Defence Minister Rajnath Singh, cover a wide spectrum of systems from amphibious warfare ships to advanced missiles, swarm drones, and indigenous anti-tank systems.

Amphibious Warfare Ships: ₹33,000 Crore

The largest project sanctioned is the construction of four large amphibious warfare ships (Landing Platform Docks or LPDs) at a cost of ₹33,000 crore. Each vessel, with a displacement exceeding 20,000 tonnes, will be built at an Indian shipyard to be selected through competitive bidding.

Officials explained that the LPDs will significantly strengthen the Navy’s capabilities, enabling joint amphibious operations with the Army and Air Force, in addition to supporting peacekeeping and disaster relief missions.

S-400 Missile Expansion: ₹10,000 Crore

A substantial ₹10,000 crore has been earmarked for the procurement of surface-to-air missiles for India’s S-400 Triumf air defence systems, covering ranges of 120 km, 200 km, 250 km, and 380 km. This order aims to replenish existing stocks and build strategic reserves.

The S-400 systems were pivotal during the May cross-border hostilities with Pakistan, where the IAF reportedly neutralized at least five advanced Pakistani fighters, including F-16 and JF-17 aircraft, as well as an ELINT/AEW&C platform at a record 314-km engagement range during Operation Sindoor.

The final two of the five ordered S-400 squadrons, originally contracted in 2018 for $5.43 billion (₹40,000 crore), are expected to be delivered next year after delays caused by the Russia-Ukraine war. With President Vladimir Putin’s visit to India in early December, plans are underway to acquire at least three additional squadrons, according to reports.

Swarm Drones: ₹5,500 Crore

Under the ‘Make-II’ category, the Ministry of Defence has approved swarm drones valued at ₹5,500 crore. These cutting-edge systems, officially termed Collaborative Long-Range Target Saturation/Destruction Systems (CLRTS/DS), are designed for autonomous operations, including take-off, navigation, landing, target detection, and payload delivery in designated mission areas. With a range exceeding 1,000 km, they are capable of executing precision strikes on enemy airfields and other critical targets. Prototype development for these systems is funded by domestic industry, with platforms such as NewSpace Sheshnaag 150 and NAL Loitering Munition among the likely contenders.

Army Modernisation

For the Army, approvals include:

• Nag Mark-2 (tracked) missile systems: 107 units for ₹2,500 crore, designed to neutralize tanks, combat vehicles, bunkers, and field fortifications.

• Ground-Based Mobile ELINT Systems (GBMES): Provide continuous electronic intelligence of enemy emitters.

• High-Mobility Vehicles (HMVs) with cranes: Enhance logistical support across varied terrains.

Naval Enhancements

In addition to LPDs, the Navy will also receive:

• 30mm surface guns (₹1,200 crore) for low-intensity maritime and anti-piracy operations.

• Advanced lightweight torpedoes for anti-submarine warfare.

• Electro-optical infra-red search and track systems for advanced surveillance.

• Smart ammunition for 76mm super rapid gun mounts on warships.

DAC AoN ₹79,000 Crore Split-Up

This massive ₹79,000 crore modernization drive marks a significant leap in India’s multi-domain military readiness, emphasizing indigenous capabilities, strategic deterrence, and modern warfare preparedness across the Army, Navy, and Air Force.