India’s Project 17-A Stealth Frigates
In our July 2006 article “India Orders 3 More Krivak III/Talwar Class Frigates,” DID noted that the Talwar/Krivak Class were better described as modern multi-role designs, given the presence of other classes with far better stealth features. The follow-on Project 17/ Shivalik Class offered improvements in that area, with 3 ships ordered and the possibility of more too follow.
In December 2006, India Defence reported that India was looking to acquire up to 7 more frigates with stealth improvements, and some level of joint development and technology transfer. The Request for Information (RFI), has reportedly been issued to about 12 European and Russian firms.
These “Project 17A” ships could be worth up to 45,000 crore (INR 450 billion, about $9.23 billion as of June 2009), according to a recently-approved budget. That approval came with a catch, however – one that will change the landscape for firms that wish to bid.
Project 17-A
India Defense characterizes this P-17A project as the next generation ships of the ongoing Project 17 Shivalik class multi-role stealth frigates. Ship “signature reduction” levels are expected to be up to fully modern standards, similar to Singapore’s new Formidable Class frigates from France (a Lafayette Class derivative).
Though Project 17 was approved in 1997, the first Shivalik class ship is only expected in 2009 due to construction delays and other hold-ups. The overall program envisages a total of 12 ships, and the 7 Project 17-A ships would form a part of it.
The proposed P-17A acquisition has had different figures floated. Early figures mentioned Rs 30,000 crore (300 billion Indian rupees, then about $6.7 billion), with expected costs of Rs 4,000 crore (then about $892 million) per ship. March 2009 reports give figures of Rs 17,000 crore, or about $3.3 billion at that time. By June 2009, however, reports of DAC approval mentioned Rs 45,000 crore, or about $9.23 billion total and $1.3 billion per ship. As a basis of comparison, India’s July 2006 order for 3 more Talwar Class frigates amounted to Rs 5,114 crore, or between $400-550 million per vessel.
The other area of uncertainty revolves around the industrial arrangements. Typical Indian contracts involve some number of ships built by the manufacturer and others built at Mazagon Docks Ltd MDL) in Mumbai, or Garden Reach Shipyard (GRSE) in Kolkata. On the other hand, in 2006 Navy Chief Admiral Sureesh Mehta specifically referred to force modernization problems stemming from both constraints on defense budgets, and the inability of Indian shipyards to deliver quickly. He added that:
“It is not necessary that we will take this route [of using MDL or Garden Reach], adding that the other Indian shipyards may step up warship production to meet the projected force levels.”
That option would disappear if these ships use modular construction, based on 300-tonne “blocks” that are fully equipped, and must fit together so precisely that pipes, wiring, and other components all align. MDL and GRSE are the only shipyards with the depth of experience to pull that off, but neither has ever used modular constrction.
Which leads to India’s 3rd option: build some of these ships at foreign shipyards, as the government is doing with its July 2006 “Improved Krivak Class” frigate order. The Navy would prefer to have MDL and/or GRSE workers learn by working at a shipyard with experience in this approach, then bring the skills back to India. As opposed to trying to learn a completely new shipbuilding method, while trying to build Navy ships and having the Navy foot the bill for any mistakes.
Based on past history, and the experience of other countries, India’s Director of Naval Design Rear Adm. Badhwar is clever to be cautious. Mistakes using the new modular method would be extremely expensive. The level of rework required could easily turn the Indian shipyards’ purported 100% cost advantage into a deficit, while creating project delays that would extend for months – and might even be measured in years.
June 19/09: India’s political Defence Acquisition Council (DAC) clears India’s largest ever indigenous defense contract: about Rs 45,000 crore (approximately $) to manufacture 7 Project 17A frigates.
The DAC reportedly made one major change, however, insisting that all 7 warships must be manufactured in India by the Mazagon Dock Ltd. in Mumbai (MDL), and by Garden Reach Shipbuilders and Engineers (GRSE) in Kolkata. Work will be divided between the 2 shipyards, making P17A India’s first dual-shipyard contract.
The DAC has essentially placed a bet that the modular construction approach will be successful without foreign shipyard training during construction of the first 2 ships of class, or that the budget increase to Rs 45,000 crore will cover any unpleasant contingencies. Time will tell whether that proves to be an expensive decision. Indian Express.
March 27/09: French shipbuilder DCNS’ board approves a 3-party design consultancy with Garden Reach Shipbuilders and Engineers (GRSE) of Kolkata, and the I.T. engineers of Infotech Enterprises. The consultancy will design ships for global clients, including back office work for DCNS itself. As India’s Business Standard reports:
“But the first design job that the JV is shooting for is Project 17-A, [which] needs a design partner…. because all seven frigates will be built using an advanced manufacturing process – modular shipbuilding…. Each 300-ton block is built separately, complete with all the piping, electrical wiring and fitments that would be a part of the ship. These must precisely connect…. This is the expertise that DCNS is hoping to sell as the foreign design partner for Project 17-A.”
indian shipbuilders GRSE and MDL are lobbying to have the frigates built entirely in India, and have joined forces to that end. The result may be India’s first dual-shipyard naval contract. Meanwhile, the firms are investing in the equipment required for modular construction, including large covered workshops with sliding roofs for module lift-out, and a 300-tonne, 138m span Goliath crane from Italy’s Fagioli and McNally Bharat Engineering.
March 27/09: India’s Business Standard reports that the crore 17,000 ($ equivalent) Project 17-A contract is stalled due a dispute between India’s Navy, and its 2 major shipyards. The Navy is insisting that the first 2 ships be built in a European shipyard, even if it doubles those ships’ bid cost.
Why? Because these ships will use modular construction based on 300-tonne “blocks” that are fully equipped, and must fit together so precisely that pipes, wiring, and other components all align. Neither Mazagon Dock Limited (MDL) in Mumbai, nor Garden Reach Shipbuilders and Engineers (GRSE) in Kolkata, has ever used this method. The Navy would prefer to have their workers learn by working at a shipyard with experience in this approach, before bringing the skills back to India. Rear Admiral MK Badhwar, India’s Director of Naval Design:
“This will also make the vendor demonstrate ‘buildability.’ He must demonstrate that his design can be actually built into a warship, using modular construction, in four years. That will create a demonstrated benchmark for GRSE and MDL; otherwise, if there are delays later, our shipyards could argue that the foreign yard too would have taken a long period to build each frigate.”
March 6/09: India’s Business Times reports that an overzealous US State Department bureaucrat appears to have created a serious delay in the related Project 17 program, after ordering GE to stop work on the program. Unlike the Krivak III Class, Shivalik Class ships use 2 American LM2500 turbines in place of Russian designs.
If India is lucky, the delay will be only 2 months. If the State Department’s actions cause India to miss sea trials due to the monsoon season, the delay could be many months longer. In the end, all the State Department may succeed in doing is jeopardizing the chances of other American companies under consideration for Indian defense buys. Read “US State Dept. Throws A Wrench Into Exports, Allied Shipbuilding” for more.
Dec 24/07: India Defence relays a story which suggests that state-run arms export agency Rosoboronexport may be negotiating with Indian authorities for the construction of a fresh lot of 3 “stealth frigates.”
From the reports, it would appear that negotiations are for an order over and above the follow-on order for 3 Talwar Class frigates – either more Project 17 Shivalik Class ships, or the initial Project 17A contract. As with all such reports concerning India, however, a wait-and-see attitude is advised.
December 2006: India issues an RFI for “stealth frigates.” They are looking to acquire up to 7 ships under “Project 17A”, along with some level of joint development and technology transfer.
These ships could be modified “Project 17” Shivalik Class frigates, which are an enlarged and enhanced design derived from the Kirvak IIIs. On the other hand, the RFI was issued to a number of foreign shipbuilders, raising the possibility that Project 17A ships could use an entirely different base platform.
India’s Project 17-A Stealth Frigates
