Ministry of Defence
DEMAND NO.21
Defence Pensions
A. The Budget allocations, net of recoveries and receipts, are given below:á
(Cost Rs. Crore)
Sr. No.	Group/Sub Group/Sub Sub Group/Scheme/Sub Scheme/Programme/Sub Programme	Actual 2011-2012			Budget 2012-2013			Revised 2012-2013			Budget 2013-2014
Sr. No.		Plan	Non-Plan	Total	Plan	Non-Plan	Total	Plan	Non-Plan	Total	Plan	Non-Plan	Total
Pensions and other Retirement benefits
1	Pensions and other Retirement benefits[1]	0.00	37,566.34	37,566.34	0.00	38,972.95	38,972.95	0.00	39,464.95	39,464.95	0.00	44,475.95	44,475.95
2	Rewards - Army, Navy & Air Force[2]	0.00	3.05	3.05	0.00	27.05	27.05	0.00	35.05	35.05	0.00	24.05	24.05
Grand Totalá		0.00	37,569.39	37,569.39	0.00	39,000.00	39,000.00	0.00	39,500.00	39,500.00	0.00	44,500.00	44,500.00
Source: Ministry of Finance, Govt. of India

[1]

Pensions and Other Retirement Benefits:..Defence Pensions provides for pensionary charges in respect of retired Defence personnel (including civilian employees) of three Services viz. Army, Navy and Air Force and also employees of Ordnance Factories, etc. It covers payment of service pensions, gratuity, family pension, disability pension, commuted value of pension and leave encashment. The increase in BE 2013-14 is mainly due to normal growth in pensionary benefits and increase in provision towards payment of Gratuity, Commuted Value of Pension and Superannuation and Retirement Benefits. Increase of higher provision is also due to increase in number of pensioners and anticipated provisions of Dearness Relief.

[2]

Rewards- Army,Navy, Air Force:..The amount is provided for casuality awards such as war-injury, Pay and Gallantry awards like Param Vir Chakra, Mahavir Charka etc. in respect of three services i.e. Army, Navy and Air Force.