Project 75I, Background, Key Features and Improvements

Context

• The German government is considering taking a stake in submarine manufacturer Thyssenkrupp Marine Systems (TKMS).
• This move aligns with TKMS’s interest in increasing shareholder confidence and potentially strengthens India’s position in the Project-75I submarine deal.

About Project-75I

Project-75I is a military acquisition program by India’s Ministry of Defence (MoD) aimed at procuring six advanced diesel-electric submarines with Air Independent Propulsion (AIP) for the Indian Navy.

Background of India’s Submarine Projects Under Project-75I

• Project 75 Initiation:
  • Conceived in 1997 for the construction of two indigenous SSK submarines, Type 1500.
  • Approved by the Cabinet Committee on Security (CCS) of the Ministry of Defence (MoD).
• Scorpene Submarine Adoption:
  • In April 2001, collaboration with Thomson-CSF (TCSF) was discontinued when the Indian Navy chose to adopt the Scorpene design.
  • Technology Transfer (TOT) was offered by French naval firm Armaris (now Naval Group).
• Implementation Phases:
  • Phase I included constructing some submarines at Mazagon Dock Limited (MDL) under Project 75.
  • Phase II aimed at additional submarines built later using indigenous capabilities.
• Financial and Operational Challenges:
  • In 1999, the MoD approved a 30-year plan for 24 submarines.
  • Financial constraints limited operational status to only six Kalvari-class submarines by the mid-2030s.
  • Construction delays were caused by technology adoption challenges, industrial infrastructure issues, and procurement delays.
• Escalation of Costs: The project cost rose from Rs 12,609 crore to Rs 23,562 crore between 2002 and 2010 due to inflation and exchange rate variations.
• Exclusion of Indian Shipyards
  • In 2013, the Indian Navy excluded Indian shipyards from Project 75 construction due to delays at MDL.
  • MDL, Hindustan Shipyard, L&T, and Pipavav were shortlisted but faced reluctance due to delays in the Scorpene project.
• Strategic Partnership Policy
  • Strategic Partnerships in the Defence Sector were finalised as a part of the Defense Procurement Policy (DPP) 2016.
  • Foreign firms must now partner with Indian companies for major projects.
  • The defence ministry has favoured a proposal to build four Project-75I submarines at Mazagon Dock, Mumbai (MDL), and the remaining two through the designated “strategic partner”.

Project-75I Key Features and Improvements

• Project-75 (India), also known as P-75(I), is a military acquisition initiative by the Ministry of Defence (MoD).
• The initiative aims to procure diesel-electric attack submarines with fuel cells and Air-Independent Propulsion System (AIP) for the Indian Navy to build India’s naval strength and develop indigenous submarine-building capabilities.
• Project 75I succeeded Project 75, under which six Kalvari-class diesel-electric attack submarines, modelled on the Scorpene class, were constructed.
  • Six submarines in this project: INS Kalvari, INS Khanderi, INS Karanj, INS Vela, INS Vagir, and INS Vagsheer.
• AIP Technology:
  • Allows submarines to stay submerged for up to two weeks without surfacing.
  • This greatly enhances their operational capabilities and reduces detection risk.
• Other Features:
  • Advanced stealth design, including acoustic absorption.
  • Long-range guided torpedoes and anti-ship missiles.
  • Sophisticated sonars and sensor suites.
• Cost: In June 2021, the defence ministry issued a tender to build six conventional submarines at about Rs 43,000 crore, making it India’s largest acquisition project.
• TKMS and Spain’s Navantia are the only two bidders in the project.
• Compliance checks and evaluations of both bids are underway, with TKMS passing its field evaluation trials (FET) in March 2024.
• Navantia’s trials are expected to conclude before June.
• TKMS Submarine Design for P-75I:
  • TKMS is offering a design based on its successful Class 214 and Class 212CD submarines.
  • The proposed submarine will feature an angular design to minimise radar cross-section.
  • TKMS’s Indian partner, Mazagon Dock Shipbuilders Limited (MDL), has started the first phase of submarine design.

Emphasis on Indigenization and Benefits

• Gradual Increase: The Request for Proposal (RFP) specifies an initial indigenous content (IC) of 45% in the first submarine, increasing to 60% by the sixth.
  • The final design is a joint effort of TKMS and MDL.
  • India will own the submarine design, including rights for future integration of indigenous equipment.
• Boost for MSMEs: The project will benefit both core submarine manufacturing and smaller industries supplying parts and equipment (MSMEs).

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