The indigenous AIP system being developed for the Indian Navy’s diesel-electric submarines has reached a key milestone with the start of its ‘Setting to Work Phase-2’ activity, the Ministry of Defence said through PIB on 24 October 2026.

What the AIP system does for submarines
AIP stands for Air Independent Propulsion. According to the ministry, the system boosts the underwater endurance of diesel-electric submarines by reducing their dependence on atmospheric oxygen. Conventional diesel-electric boats must come close to the surface regularly to run their diesel engines and recharge batteries, which can expose them. The Energy Module that has now entered Phase-2 work was developed indigenously by the Naval Materials Research Laboratory (NMRL) of the Defence Research and Development Organisation (DRDO). The ministry described the step as a significant milestone towards enhancing the Navy’s underwater capabilities. The ceremony took place at Larsen and Toubro’s AM Naik Heavy Engineering Complex in Hazira, Gujarat, on 24 October. The release said the Energy Module is part of DRDO’s indigenous AIP programme, and the Phase-2 activity began at the Hazira facility where the module is being built.
Key Facts
- Milestone: Setting to Work Phase-2 of AIP Energy Module
- Developer: NMRL, DRDO
- Venue: L&T AM Naik Heavy Engineering Complex, Hazira, Gujarat
- Date: 24 October 2026
- Next: integration on a Kalvari-class submarine in early 2027
DRDO chief praises science and industry teamwork
Defence Secretary and DRDO Chairman Rajesh Kumar Singh was the chief guest and joined the ceremony virtually. Chief of Materiel of the Indian Navy, Vice Admiral B Sivakumar, and DRDO Director General (Naval Systems and Materials) Dr R Balamuralikrishnan attended at Hazira. The DRDO Chairman congratulated DRDO and its industry partners and praised the scientific perseverance and industrial cooperation that, he said, had turned the indigenous programme into productive reality on the shop floor. He also acknowledged the help of the Indian Navy, which supported DRDO throughout the programme, including testing and validation at every stage of the trials. He asked the teams to keep the Navy’s induction timelines in view while maintaining the strict safety culture that hydrogen and fuel cell systems demand, without compromise. Rajesh Kumar Singh holds the posts of Defence Secretary, Secretary of the Department of Defence R&D and Chairman of DRDO, the release noted. The ministry issued the release from New Delhi with photographs of the ceremony.
Next step: Kalvari-class submarine fitment in 2027
The ministry set out what happens next. In the coming phase, the AIP Energy Module will be energised for power production and tested rigorously according to Indian Navy protocols. After that it will be handed over to Mazagon Dock Shipbuilders Limited for integration on a Kalvari-class submarine in early 2027. The Kalvari class is the Navy’s current line of conventional attack submarines built at Mazagon Dock in Mumbai. The release did not say which boat of the class will receive the module first, or give a cost figure for the programme. The ministry’s statement focused on the technical progress made so far and on the remaining tests that must be completed before the module is handed over for fitment.
Source: PIB, Ministry of Defence, 24 Oct 2026 · DRDO
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