Governance
Delegation of Financial Powers to Defence Services, 2021 Rules
- 09 Sep 2021
- 2 min read
Why in News
Recently, the Ministry of Defence has released the Delegation of Financial Powers to Defence Services (DFPDS), 2021 rules.
- The primary focus of the enhanced delegation of financial powers is to overcome procedural delays, bring about greater decentralisation and operational efficiency.
- The DFPDS 2021 rules is another big step in defence reforms to strengthen security infrastructure.
Key Points
- Key Highlights of DFPDS 2021:
- Financial Powers Devolved to Field Formations:
- Enhanced the delegation of revenue procurement powers for the Army, Navy and Air Force.
- 10% increase in Delegated Financial Powers of Vice Chiefs of Services.
- Financial powers have also been delegated to new officers among the services, depending on requirements.
- Focus on Operational Preparedness:
- Under the new rules, critical equipment can be hired for short periods as compared to purchases or a long-term lease, which are not only considerably expensive but also take a long time.
- Enhanced delegation of financial powers is to empower Field Commanders and below to procure equipment/war-like stores in a speedy manner for urgent operational necessities and meeting essential sustenance requirements.
- Promoting Ease of Doing Business:
- Up to three times increase in funding related to Indigenisation/R&D to achieve ‘Atmanirbhar Bharat’.
- Financial Powers Devolved to Field Formations:
- Recent Reforms in Defence Sector:
- Creation of Chief of Defence Staff
- Establishment of Department of Military Affairs
- Defence Acquisition Procedure 2020
- Recent Critical Defence Acquisitions: Rafale fighter aircraft, S-400 missile defense system, etc.
- Participation of Women in Armed Forces
- Indigenisation of Defense Technology: LCA Tejas, Project 75, etc.