Vijay Mohan

Tribune News Service

Chandigarh, March 24

While the delegated financial powers enjoyed by the civilian leadership in the Ministry of Defence (MoD) to clear capital acquisitions have been sharply hiked, the three Service headquarters have been left out.Financial powers are delegated by the government to the Armed Forces Headquarters and subordinate authorities under them to streamline and fasten the procurement of goods and services required by them to meet routine administrative as well as urgent operational and technical requirements. In the Armed Forces headquarters, these powers are exercised by the respective Vice-Chiefs.According to a communiqué issued by the MoD’s Finance Division to various establishments a few days ago, the Cabinet Committee on Security (CCS) has approved the delegation of financial powers to the Defence Secretary, while enhancing the powers of the Defence Minister and the Finance Minister for sanction of proposals under the Services Capital Annual Acquisition Plans.Under the new structure, proposals between Rs 150 crore and Rs 300 crore can now be approved by the Defence Secretary, while those between Rs 300 crore and Rs 2,000 crore can be signed by the Defence Minister. Proposals between Rs 2,000 crore and Rs 3,000 crore will come under the Finance Minister’s purview while those above this limit will have to be placed before the CCS. Earlier, the Defence Minister’s limit was Rs 1,000 crore, sources said.The existing delegated powers of Vice-Chief of Army Staff, Vice- Chief of Air Staff, Vice-Chief of Navy Staff, Chief of Integrated Defence Staff and the Director General, Coast Guard, who can sanction proposals up to Rs 150 crore, remain unchanged, the communiqué states. The sanctioning power of the service headquarters was last revised in 2013, when it was just Rs 50 crore. During the time or prior revisions, the limit had been Rs 30 crore and Rs 10 crore.While capital procurements are expected to get a fillip with increase in sanctioning limits, the existing delegation of power for land acquisition and works, development projects and Defence Research and Development Organisation proposals and Ordnance Factory indents will remain unchanged. Delegation of powers for revenue proposal is separate

Cabinet panel decision

• The Cabinet Committee on Security has approved delegation of financial powers to the Defence Secretary, while enhancing the powers of the Defence Minister and the Finance Minister for sanction of proposals
• However, the existing delegated powers of Vice-Chief of Army Staff, Vice- Chief of Air Staff, Vice-Chief of Navy Staff, Chief of Integrated Defence Staff and the Director General, Coast Guard, remain unchanged