This Article is From Feb 04, 2016

Centre Clears Payments Under OROP, To Benefit Over 18 lakh Ex-Servicemen

Centre Clears Payments Under OROP, To Benefit Over 18 lakh Ex-Servicemen

The government had taken the decision to implement the OROP last year in November after Diwali. (File photo)

New Delhi: The Central government on Wednesday cleared the One Rank One Pension Scheme that will benefit over 18 lakh ex-servicemen.

The annual recurring financial implication of One Rank One Pension at the current rate will be approximately Rs 7,500 crore, the government said yesterday as it issued detailed instructions for the scheme.

The government also issued the OROP Tables which said that the arrears from July 1, 2014 to December 31, 2015 would be approximately Rs 10,900 crore.

Over 80 per cent of the total expenditure on account of OROP will benefit the Junior Commissioner Officers and other ranks.

The total increase in the defence budget for pensions is estimated to go up from Rs 54,000 crore (BE 2015-16) to around Rs 65,000 crore (proposed BE 2016-17), thereby increasing the defence pension outlay by about 20 per cent.

The government order said that the payment of arrears and revision of pension under OROP is to be made by the Pension Disbursing Authorities in four instalments, except for family pensioners and pensioners in receipt of gallantry awards who will be paid arrears in one instalment.

The government had taken the decision to implement OROP last year in November after Diwali, "fulfilling" the long standing demand of defence personnel after 42 years.


The move that will benefit over 18 lakh ex-servicemen and war widows had been rejected by a section of the veterans who are still protesting saying there are a number of "lacunae" in the scheme.

 
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