In the backdrop of a massive expansion of the Chinese Navy and its increasing presence in the Indian Ocean Region (IOR), the maritime capacity building and modernisation of the Navy and the Coast Guard got the highest priority in the defence budget for the coming year, with another area being border roads and connectivity.
The capital budget of the Navy and the Coast Guard saw an increase of 44% and 60% year-on-year compared to the budget estimates of 2021-22, while the Border Roads Organisation (BRO) got a record 40% hike from ₹2,500 crore to ₹3,500 crore for the same time in the backdrop of China’s infrastructure build–up along the Line of Actual Control (LAC).
There are major ship–building projects of the Navy under various stages which reached milestones and some of them were commissioned last year, a defence official said. These account for a lot of money to be given out in terms of committed liabilities and contractual timelines.
This increase is aimed at acquisition of new platforms, creation of operational and strategic infrastructure, bridging of critical capability gaps and building a credible maritime force for the future, the Defence Ministry had stated.
The Navy has around 135 ships and submarines, while there are 39 ships and submarines on order, of which 37 are under construction in India, the official said. In contrast, the People’s Liberation Army (PLA) Navy has built over 130 ships in the last 10 years and has emerged as the world’s largest Navy in numbers.
Within its share of the capital allocation, the Navy got ₹35,452 crore for ships, submarines and equipment, an increase of almost 75% year on year compared to ₹21,000 crore allocated in February 2021.
For instance, the Navy took delivery of two Scorpene class submarines last year, of which one was commissioned as INS Vela as well as the induction of the first P-15B destroyer Visakhapatnam. The second submarine to be named Vagir began sea trials on February 1, the Navy said on Wednesday. It is expected to be delivered to the Navy by year end.
This year will see the commissioning of the first indigenous carrier Vikrant as well as indigenous destroyer Mormugao, both undergoing sea trials. The Navy is also set to receive the balance two P-8I long range maritime patrol aircraft from Boeing, of the optional clause for four additional aircraft which completes the order. The first batch of three MH-60R multi-role helicopters of the 24 contracted are also scheduled to arrive in India by mid-2022.
The capital allocation for 2022-23 is ₹1.52 lakh crore, an increase of 12% compared to budget estimates and 9.7% with respect to the revised estimates of last year. Of this, the Army got ₹32,015 crore, the Navy ₹47,591 crore and the IAF ₹55,586 crore. This represents a 44% increase for the Navy year-on-year, while the IAF saw a modest increase of 4.5% and the Army’s capital allocation went down by about 12%.
It is pertinent to note that between the Budget estimates to the revised estimates, the Army had returned around ₹11,100 crore that was unspent and the IAF ₹1,383 crore. At the same time, the Navy got an additional funds of ₹12,767.99 crore.
Additionally, with focus on coastal security the capital budget of Coast Guard has been enhanced by 60.24% to ₹4,246 crore compared to ₹2,650 crore in 2021-22. “This enhancement is aimed at building up of assets such as acquisition of ships and aircraft, augmentation of infrastructure, establishment of coastal security network and building up technical and administrative support structures,” the Defence Ministry said.
With the growing focus on Indo-Pacific, the Navy’s tempo of exercises and engagements has significantly gone up in recent years coinciding with the shift in global attention to the Indo-Pacific. Maritime Domain Awareness has emerged as a major area of cooperation with friendly countries in the IOR. There has been a steep increase in the presence of non-regional Navies in the IOR, with around 120 warships present at any point of time now, as reported earlier.
The Navy had forward deployed ships as tensions rose on the northern borders, and additional ships were kept on standby, Navy Chief Adm R. Harikumar said at a press conference in December. “We had kept their [China] ships under close surveillance, which we continue to do even now. Any of their ships coming on deployment, we keep a watch on them,” he had stated.
Border connectivity
There has been significant push to improve infrastructure and connectivity in the border areas in the last decade and this gained urgency following the standoff with China in eastern Ladakh in 2020.
In 2021, the BRO executed a record number of infrastructure projects, at very high altitudes and in extreme weather conditions, amidst the raging pandemic. The Defence Ministry said 102 roads and bridges at various places in the north-western and eastern States including the world’s highest motorable road at Umling La, 19,024 feet. “This budgetary impetus will further facilitate BRO to construct bridges, roads and tunnels to assist in speedy mobilisation of the Armed Forces to strategically important sectors, further bolstering the security environment.”
It will also contribute significantly towards the overall economic growth of remote border areas specially in Arunachal Pradesh, Ladakh, Jammu and Kashmir, Uttarakhand, and Sikkim, the Ministry said.
