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Cost, Politics, To Determine MMRCA Winner, Report With MoD, Awaits Approval !
Only determinable factors to go in towards computation of life-cycle cost, which will along with ToT , go towards identifying the L1 (lowest bidder). Life cycle, which is being calculated for the first time in any Indian defence deal, is a complex calculation, but will make up the actual total acquisition cost of a plane.
According to the RFP, "The life cycle cost of the aircraft should be as low as possible. Manufacturer would be responsible to provide parameters for computation of life-cycle cost and verifiable analysis of the same for life time usage of the aircraft. " But at the same time the RFP also provides some factors to the OEMs to determine the same, such as operational hours/year, MBTF, requirement of maintenance spares, mandatory replacements during preventive maintenance schedules etc.
The IAF has had 14 meetings with vendors over life-cycle and has termed it 'risky', as it has never been practised before, and seeks 'performance warranty'.
And now for ToT, which will form part of the commercial proposal, the cost of technology will be laid down by the manufacturer for the 54 key technologies laid down in the RFP for transfer of technology, many of whom are critical, under broad headings like--Airframe, Engine, Avionics and Communication and Accessories.
There is an option of the numbers going up more than 126, but only after the conclusion of the present contract.
"The commercial proposals of the firms whose aircraft is short listed after technical trials and evaluation, whose ToT criteria have been met and whose offset offers have been accepted technically will only be opened and a comparative statement will be prepared. Comparison of offers will also be done on the same basis."
Not all six vendors are compliant, as per the minimum requirements, some will be definitely knocked out, so as to ease the opening of the commercial bids, because the commercial proposals of all vendors can't be opened.
Though all top of the line fighters, but cost, international relations and national security will be paramount in determining the winner ! Best of luck all of you !!!
