MoD Signs ₹586 Crore Contract for Indigenous Auxiliary Power Units for T-72 and T-90 Tanks

The Ministry of Defence has signed a ₹586 crore contract with Accurate Industrial Controls Private Limited for the procurement of Auxiliary Power Units for the Indian Army’s T-72 and T-90 main battle tanks.

The contract was signed in New Delhi on September 21, 2026, in the presence of Defence Secretary Rajesh Kumar Singh. The procurement marks another step in the indigenisation of critical systems used across India’s armoured vehicle fleet.

Auxiliary Power Units for Armoured Platforms

An Auxiliary Power Unit, or APU, provides an independent source of electrical power to a tank when the main engine is not being used for power generation.

In the T-72 and T-90 platforms, the APU supports several important systems, including the fire control system, firing circuit, gun stabilisation system and other onboard ancillaries.

This capability allows essential electrical systems to remain operational without requiring the tank’s main engine to run continuously, contributing to more efficient operation during extended deployments and stationary combat conditions.

Boost to Operational Readiness

The induction of indigenously developed APUs is expected to improve the operational readiness, reliability and sustainability of the Indian Army’s mechanised formations.

Armoured units depend on a range of electrical and electronic subsystems for targeting, weapon stabilisation, communications and other battlefield functions. Reliable auxiliary power therefore plays an important role in keeping these systems available during operations.

The new APUs will strengthen the support infrastructure for both the T-72 and T-90 fleets, which continue to form a major component of the Indian Army’s armoured strength.

Make-II Route Drives Indigenous Development

The procurement has emerged through the Make-II framework, which promotes industry-led research, development and production of defence equipment within India.

Under this route, Indian industry is encouraged to develop systems and subsystems that can replace imported equipment or reduce dependence on foreign supply chains.

The APU contract demonstrates how indigenous development programmes can progress from design and testing to production and operational induction.

Indigenising Critical Tank Subsystems

The contract is significant because it focuses on the localisation of a critical subsystem rather than only the development of complete combat platforms.

Modern armoured vehicles rely on a large ecosystem of power units, electronics, sensors, fire-control components, mobility systems and supporting equipment. Building domestic capability in these areas can improve availability of spares, simplify maintenance and reduce vulnerability to external supply disruptions.

The APU procurement therefore forms part of the broader effort to increase indigenous content across the Indian Army’s armoured platforms.

Strengthening India’s Defence Industrial Base

The Ministry of Defence has linked the procurement to the wider objective of building a more self-reliant and competitive Indian defence manufacturing ecosystem.

The ₹586 crore order provides domestic industry with a production opportunity while also supporting the armed forces with an indigenously developed system intended for frontline armoured platforms.

The contract also reflects the increasing role of private-sector companies in developing and supplying specialised defence technologies under India’s indigenisation programmes.

With the induction of the new APUs, the Indian Army will gain a domestically developed power solution for its T-72 and T-90 tanks while advancing the localisation of critical armoured-vehicle subsystems.

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References

Press Information Bureau, Ministry of Defence, Government of India — MoD inks Rs 586 crore contract to procure Auxiliary Power Units for T-72 & T-90 Tanks, September 21, 2026.

Ministry of Defence, Government of India — Make-II and defence indigenisation initiatives.

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