Dharmendra Pradhan Asks Naveen Patnaik To Reconsider Decision To Pay Odisha Pension Beneficiaries In Cash

Bhubaneswar: Union Education Minister Dharmendra Pradhan has written to Chief Minister Naveen Patnaik to reconsider Odisha government’s decision to disburse monthly social security pension to beneficiaries of Madhu Babu Pension Yojana (MBPY) in cash. 

He requested him to continue with the direct benefit transfer (DBT) mode.

“I write to you today, expressing my worry, and more importantly, the distress of the citizens of Odisha, regarding the recent decision of the Odisha Government to shift the social security pension for old age and divyangjans to cash, rather than maintaining the existing Direct Benefit Transfer (DBT) strategy. This decision, unfortunately, appears to be a step backwards in our collective pursuit of corruption-free governance and efficient public service delivery,” he wrote.

Dharmendra further said that DBT was a mean to to ensure that the fruits of government schemes reach every individual, without any pilferage. “The Jan Dhan Yojana is a sterling example of this approach. Across India, a whopping 48.99 Crore bank accounts
have been opened under this scheme, amassing savings of %1.97 lakh crore. In Odisha itself, 2.01 crore bank accounts have been activated, saving %8,751 Crore for the people of our state. Moreover, 1,45,48,473 Rupay cards have been issued in Odisha for ease of transactions. Prime Minister Modis social security schemes such as the PM Jeevan Jyoti Yojana, PM Suraksha Bima Yojana, PM Matru Vandana Yojana, and Old Age, Widow and Divyangjans Pension Scheme under the National Social Assistance Programme (NSAP) have provided safety nets for our fellow citizens in Odisha, settling claims worth hundreds of crores, and financially aiding numerous families through the DBT Mechanism,” he said.

Under the NSAP, 2.99 crore beneficiaries especially old, widow and divyangjans are being paid monthly pension
through their bank accounts. Similarly in Odisha also, 20,95,695 beneficiaries are being provided with benefits through the DBT mechanism, the Union Minister mentioned.

“You must appreciate the fact that these significant number of beneficiaries are being disbursed directly to their bank accounts, eliminating any possibility of corruption,” he further stressed.

Dharmendra further said that adoption of DBT has resulted in massive savings to the exchequer, by removal of fake / ghost beneficiaries and reducing need for intermediaries/middlemen. It has immensely helped in plugging leakage and diversions and has eliminated scope of corruption. It promotes transparency by cutting down discretionary decision making and opacity in
processes.

Stating that Odisha had swiftly adopted DBT both in central and state schemes, he said the state’s total DBT in FY 2022-23 was a whooping % 8135.18 crore, which includes transfers through centrally-sponsored schemes and state Schemes and almost 1.95 crore beneficiaries have been covered in FY 2022-23.

“Due to elimination of ghost/duplicated beneficiaries by adoption of DBT, Government of Odisha has made an estimated saving of 459.96 crore in FY 21- 22. Needless to mention Government of India has saved approx.%2.73 lakh crore cumulative till close of FY 2021-22 due to adoption of DBT. These figures elucidate how the DBT strategy has been instrumental in alleviating poverty, empowering citizens, and improving service delivery, directly benefiting crores of Indians, especially our brethren in Odisha.
Considering such a substantial impact, it is disconcerting to witness the Odisha Government’s decision to return to cash payments for old age pensions,” he wrote.

On concerns related to pension payment to elders and divyangjans, he said there are 82,261 active banking correspondents available with different banking institutions in Odisha. Apart from it there is a wide network of 8491 post offices in Odisha which are fully capable and trained to provide financial services in remote and rural areas, India Post has a wide presence and its wide network needs to be leveraged along with DBT. Furthermore, 6,772 Gram Panchayats in Odisha are covered through more than
22,000 functional Common Service Centres across Odisha, their extensive presence has been used in implementation in various social security, financial services, agriculture, and farmer welfare schemes of Government of India successfully, he added.

On May 21, the government rolled back its decision to provide social security pension to beneficiaries through DBT following reports from across Odisha about the struggle of elderly people in receiving their monthly pension. All of them will now receive the assistance in cash, some even at their doorsteps, from next month.

Under MBPY, eligible individuals, including widows, transgenders, persons with disabilities and the destitute aged between 60-79 years are provided Rs 500 per month, while those above 80 years get Rs 700 per month.

While over 28.5 lakh beneficiaries, including old age people above 60 years, destitute and widows, have been enrolled under the scheme, 15 lakh are receiving the amount in their bank account through DBT and the remaining beneficiaries in cash.