OREANDA-NEWS. The Defence Acquisition Council (DAC) has approved of a proposal to build six conventional diesel electric submarines indigenously;The Acceptance of Necessity (AON) cost of the project is Rs.18798 crore (2005 cost). However, the final cost arises through the bidding / negotiation process.

The Defence Acquisition Council (DAC) has approved constitution of a ‘Core Committee’ to identify suitable Indian shipyards to bid for construction of six submarines.

This information was given by Defence Minister Shri Manohar Parrikar in a written reply to ShriA.K. Selvaraj in Rajya Sabha today.