Rakesh, the cost of second line is 1250Cr or so, which is HAL's share and 50% of total cost (rest 25% from IAF and 25% from IN). That 130Cr figure is a typo. Missed one Zero.
nachiket wrote:Indranil wrote:
It's not about that. They showed urgency over IJT, HTT-40, LUH, LCH.
LCA is different because its ADA's baby?
To some extent, Yes. Thought its been reduced to a large extent now. HAL does not have ownership of the design. Even if they want to expedite they need SOP frozen first. If you read CAG report, one big reason for delays in first production line set up was because ADA kept changing SOPs for LSPs. There are huge differences among the LSPs. The changes in turn were dictated by the ever changing requirements. How do you set up a production line for ever changing SOP..? HAL does have its own money but no ownership of LCA. Where they have full ownership of projects they went ahead and invested own money. For LCH they even went ahead with Limited series production despite no orders. Orders came later. For second LCA line where HAL's 50% share was 1250Cr, they had to wait for MoD's approval (HAL has only a limited financial autonomy owing to its Navaratna status, and this was beyond that limit. Elsewhere they have invested 500-600Cr of own money on projects like HTT-40, HTFE/HTSE/ LCA/LUH, as that's within HAL governing body's power). MoD sat on the proposal for over a year. Not its cleared and HAL has already set up second line (setting up an assembly line is not a big deal, just a big hall and bunch of jigs/fixtures/machines are needed. What is more challenging is to get supply chain rolling and skilled man power to man the new stations and keep the cost of expansion reasonable so the unit cost don't shoot up too much).
On the other hand is ADA which has the ownership but no money of its own to commit. Neither it have any statutory authority or control over other involved organizations. This issue has been raised/discussed ever since LCA was conceived and ADA was in concept stage, in early 1983-84 time period. The program management model is flawed. Only until in 2006 that there was a combined governing body to steer LCA was formed. IAF/ADA/HAL seat together in it and its chaired by RM. They have quarterly or monthly meetings. So all the stake holders at the top are aware of all the decisions and why they have taken.
But now it seems HAL might be more keen to take LCA's ownership. MK1A is basically HAL's baby which got approved against ADA's MK2 proposal. IMO LCA can be completely transferred to HAL, even the MK2 version. ADA can focus on AMCA/Ghatak. As such majority of LCA's subsystems are actually designed by HAL. It will should not be a big deal for them to take the project over completely. We need to do away with this misplaced Responsibility-Authority-Accountability model.