NEW DELHI, Sept 30 — Gen. S. Padmanabhan, who today took over as the Chief of Army Staff, said that he would work towards modifying the Army’s tactical systems to meet the challenge posed by the advent of nuclear weapons in the neighbourhood.

“The nuclear threat has manifested in the country’s neighbourhood and the Army has to evolve and finetune its tactics and strategy to face it,” he said.

General Padmanabhan, who was presented the COAS baton by the outgoing Army Chief, General V.P. Malik, after an impressive guard of honour, later called on the Defence Minister, Mr George Fernandes.

Talking to newsmen, he said the reaction to nuclear warfare would entail rapid dispersal and rapid build-up of forces. “Quite a few things have been worked out and others are being done,” he said.

Asserting that nuclearisation of the subcontinent had in no way changed the role of conventional forces, he said the Army would be made more “lean and trim.”

The new Army chief made it clear that meeting the challenge of terrorism in the Kashmir valley would be one of his top priorities. He would visit the valley on October 4 — his first official visit as Army chief — to take stock of the ground situation there.

Calls for jehad from the neighbourhood need to be taken note of, he said, adding that the contours of insurgency were rapidly changing colours and demanded a “dynamic riposte.”

Stating that there had been an escalation in the proxy war in the valley, he said that this had been caused by an increase in the number of foreign mercenaries being pushed from across the border.

Maintaining that the Army had a good grip of the situation, he expressed confidence that the designs of the mercenaries would be defeated.

Asked about his response to complaints made by an officer in connection with last year’s Kargil conflict, General Padmanabhan said the Army did not act unfairly. “We have a system of justice which is nearly perfect,” he said.

Replying to questions about the shortfall of officers in Army, the new chief said that intake in the training institutions would be increased. Due emphasis was being given to information technology which had a role in the times of war. “The Army Institute of Information Technology in Hyderabad is likely to be completed by next year,” he said.

Suggesting a funding of 3 per cent of the GDP for defence, he said that this would enable the Army to modernise in a planned way.

The General said the Army had also made known to the government its views on the restructuring of the defence forces.