New Delhi: The defence ministry has rejected the `70,000-crore joint bid by Larsen & Toubro (L&T) and Spain’s Navantia to build six conventional submarines under Project 75 (India) for the Indian Navy.
The bid was rejected on technical grounds as it didn't meet Indian Navy's need for a proven air independent propulsion (AIP) system.
This leaves Mazagon Dock Shipbuilders Limited (MDL) and Germany’s ThyssenKrupp Marine Systems as the sole contender for the prestigious project. MDL, which recently delivered the final Scorpene-class submarine INS Vagsheer under Project 75, is now poised to undertake additional submarine projects with support from France’s Naval Group.
The Defence Acquisition Council, headed by defence minister Rajnath Singh, is expected to take a decision on the selection of the JV for the construction of the submarines.
In July 2021, the defence ministry had issued a request for proposal (RFP) for construction of six conventional submarines under Project 75 (India) for the Indian Navy.
Under the programme, MDL and private sector giant L&T were selected as Indian strategic partners (SPs) for bidding for the submarine project and were required to partner with one of five shortlisted foreign companies to submit their bids.
The P75(I) project, the first to be implemented under the ministry of defence’s strategic partnership (SP) model, calls for integration of an AIP system. This system significantly enhances a submarine’s underwater endurance, allowing it to remain submerged for extended periods without needing atmospheric oxygen.
As per the agreement between Germany's Thyssenkrupp AG and MDL, Thyssenkrupp Marine Systems will handle the engineering and design of the submarines, along with providing consultancy support. MDL will be responsible for constructing and delivering the submarines.
The construction work would take place in India and is expected to include significant local content.