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With reference to the Emergency financial powers, consider the following statements:
  1. Under the FTP route, the forces can procure weapons systems upto ₹3000 crores on an “urgent basis without any further clearances to cut short the procurement cycle”.
  2. Three tranches of EPs were executed under which 68 contracts worth ₹6,000 crores were placed and the fourth EP for indigenous equipment is underway.
Which of the statements given above is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
With reference to the Emergency financial powers, consider the followi...
Emergency basis without going through the normal procurement process.

1. The above statement is partially correct. The emergency financial powers (EFP) allow the armed forces to procure weapons systems on an emergency basis, but the procurement limit is not fixed at 3000 crores. The limit is decided by the Ministry of Defence based on the specific emergency situation.

2. The FTP (Fast Track Procurement) route is one of the procurement methods available to the armed forces under the EFP. This route allows the forces to bypass the lengthy procurement process and directly purchase weapons systems from a pre-approved list of vendors.

3. The EFP is invoked only in exceptional circumstances, such as natural calamities, war-like situations, or other emergencies that require urgent action. The decision to invoke the EFP is taken by the Ministry of Defence, in consultation with the Cabinet Committee on Security.

4. The EFP is meant to provide the armed forces with the necessary financial powers and flexibility to respond to emergencies quickly and efficiently. However, the use of EFP is also subject to strict oversight and scrutiny to ensure transparency and accountability in the procurement process.
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Community Answer
With reference to the Emergency financial powers, consider the followi...
The Indian Army recently issued two Request For Proposals (RFP) for procurement of 7,000 body-worn camera systems and 1,612 ballistic shields to be procured under Emergency Procurement (EP) through the fast-track procurement (FTP) route.
  • The ballistic shields should have a minimum indigenous content of 50% and the manufacturer should provide a 60 months warranty for the ballistic shield and 24 months for the harness.
  • The shield should have a service life of five years.
  • The shield should be of ambidextrous design with height not less than 860 mm and width not less than 520 mm.
  • The weight should not be more than 20 kg plus 5%, including ballistic view port and accessories attached to the shield.
  • It should be provided with support harness to enable hands-free carriage of ballistic shield while ensuring unhindered usage of personal weapon and balanced weight distribution once fully worn.
Emergency financial powers:
  • Emergency financial powers were granted to the armed forces by the Defence Ministry in the past on three occasions; post the Uri surgical strikes in 2016, the Balakot air strike in 2019 and the 2020 standoff with China in eastern Ladakh.
  • Under the FTP route, the forces can procure weapons systems upto ₹300 crores on an “urgent basis without any further clearances to cut short the procurement cycle”.
  • Three tranches of EPs were executed under which 68 contracts worth ₹6,000 crores were placed and the fourth EP for indigenous equipment is underway.
Hence only statement 2 is correct.
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With reference to the Emergency financial powers, consider the following statements: Under the FTP route, the forces can procure weapons systems upto 3000 crores on an “urgent basis without any further clearances to cut short the procurement cycle”. Three tranches of EPs were executed under which 68 contracts worth 6,000 crores were placed and the fourth EP for indigenous equipment is underway.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer?
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With reference to the Emergency financial powers, consider the following statements: Under the FTP route, the forces can procure weapons systems upto 3000 crores on an “urgent basis without any further clearances to cut short the procurement cycle”. Three tranches of EPs were executed under which 68 contracts worth 6,000 crores were placed and the fourth EP for indigenous equipment is underway.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about With reference to the Emergency financial powers, consider the following statements: Under the FTP route, the forces can procure weapons systems upto 3000 crores on an “urgent basis without any further clearances to cut short the procurement cycle”. Three tranches of EPs were executed under which 68 contracts worth 6,000 crores were placed and the fourth EP for indigenous equipment is underway.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for With reference to the Emergency financial powers, consider the following statements: Under the FTP route, the forces can procure weapons systems upto 3000 crores on an “urgent basis without any further clearances to cut short the procurement cycle”. Three tranches of EPs were executed under which 68 contracts worth 6,000 crores were placed and the fourth EP for indigenous equipment is underway.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'B'. Can you explain this answer?.
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