Our Special Correspondent /

New Delhi: Ending weeks of suspense the Modi government today announced implementing the One Rank One Pension (OROP) scheme for military veterans that would cost the exchequer an expenditure of RS 8000 crore annually and that would increase gradually even as the ex-servicemen said they were “not fully satisfied” with the government decision.

“The OROP will be fixed on the basis of calendar year 2013. Pension will be refixed for all pensioners on the same rank and with the same length of service as the average of minimum and maximum pension in 2013,” the Defence Minister Manohar Parrikar told reporters but declined to field questions from the journalists.

The pension would be refixed every five years and the scheme will be with effect from July 1, 2014, the Defence Minister said.

“NDA ne gaddaari kari humare sath; agar hume PM bolte ki VRS nahi denge to hum unko PM nahi banate” said Col. Pushpendra

Incidentally, the government announcement comes ahead of Bihar polls and within days the RSS gave a virtual deadline to the government to resolve the OROP agitation stir. At a conclave of senior RSS-BJP leaders, the Sangh fountainhead had pointed out to the government that the ex-servicemen have always been a very strong support base for both BJP and the RSS.

The RSS leaders had also pointed out that a number of top ranking military officials and the generals including the likes of Jaswant Singh, Gen V K Singh, Maj Gen B C Khanduri and Lt Gen JFR Jacob have been associated with the the Sangh or BJP.

Maj Gen (retd) Satbir Singh, spearheading the campaign for OROP said they will take a decision later on whether to continue with the agitation for the implementation of the scheme. “They are positive only on one issue and negative on six others…we reject their one-member judicial commission also,” he said.

For Congress, the former Defence Minister A K Antony said, “the Modi government’s OROP announcement is a great disappointment as several provisions have been substantially diluted”.

Another Congress leader Kapil Sibal called it a betrayal of the cause of ex-servicemen. However, the BJP leaders and union ministers welcomed the announcement enthusiastically and most also tried to steal the credit for the party and the Prime Minister Narendra Modi.

“We kept our promise; the OROP decision will boost morale of our soldiers,” said BJP chief Amit Shah while Parliamentary Affairs Minister M Venkaiah Naidu urged the military veterans to call off their agitation.

“I thank and welcome PM @narendramodi for a historical decision on #OROP a big step for the welfare of our soldiers.. the real life heroes,” Amit Shah tweeted.

Parrikar said that the arrears for the much-awaited scheme will be paid in four half- yearly instalments. Widows and war widows will get it first in one instalment.

Parrikar said that the previous government had set aside a sum of Rs.500 crores for OROP, but it was “not based on a thorough analysis”.
He said experts have now estimated that the cost to the exchequer will be Rs.8,000 crores to Rs.10,000 crores. “This will increase further.” The expenditure on arrears alone will be around Rs.10,000 crores to Rs.12,000 crores.

Those drawing pensions above the average will be protected.
The minister said that personnel who opt for premature retirement will not be covered under the OROP scheme.

“In future, the pension will be refixed every five years,” he said.

According to government estimates, over 25 lakh veterans would benefit from the implementation of the OROP scheme.

The veterans have been protesting at Jantar Mantar for nearly three months to demand the implementation of the OROP scheme. They had said they would step up their protest if their demand was not met.

The Defence Minister Parrikar said that the OROP issue has been pending for four decades and this was a matter of deep anguish.