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- The Concept: The correct identification of targeted beneficiaries for delivery of various subsidies, benefits, services, grants, wages and other social benefits schemes which are funded from the Consolidated Fund of India has become a challenge for the Government. The failure to establish identity of an individual has proved to be a major hindrance for successful implementation of these programmes. This has been a grave concern for certain categories of persons, such as women, children, senior citizens, persons with disabilities, migrant unskilled and unorganised workers, and nomadic tribes. In the absence of a credible system to authenticate identity of beneficiaries, it is difficult to ensure that the subsidies, benefits and services reach to intended beneficiaries.
- Arrival of the UIDAI: The Unique Identification Authority of India was established by a resolution of the Government of India, Planning Commission vide a notification dated the 28th January, 2009. The object of the establishment of the said Authority was primarily to lay down policies and to implement the Unique Identification Scheme of the Government, by which residents of India were to be provided unique identity number. This number, when authenticated successfully, would serve as proof of identity and could be used for identification of beneficiaries for transfer of benefits, subsidies, services and other purposes.
- What is Aadhar? Aadhaar is a twelve digit number that serves as a unique identifier for Indian citizens and residents. It was introduced in 2010, with the intentions of making subsidy and benefit deliverance more effective and eliminate leakages in the process. The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016 was enacted with a view to provide for, as a good governance, efficient, transparent, and targeted delivery of subsidies, benefits and services, the expenditure for which is incurred from the Consolidated Fund of India, to individuals residing in India through assigning of unique identity numbers.
- Huge increase in usage: Over the period of time, the use of Aadhaar number has been increased manifold. As a result, commensurate measures relating to ensuring security of such information need to be taken and offences pertaining to certain unlawful actions, created.
- Ensuring smooth operations: In view of this, and to provide for the effective, secure and accurate delivery of benefits, subsidies and services from the Consolidated Fund of India to targeted beneficiaries, and authenticating their identity through Aadhaar numbers, it was felt that the processes of enrolment, authentication, security, confidentiality and use of Aadhaar-related information be made statutory and to facilitate the use of Aadhaar number for delivery of various benefits, subsidies and services the expenditure of which is incurred from the Consolidated Fund of India.
- Aspects of the 2016 Bill: The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Bill, 2016, inter alia, seeks to provide for—
- issue of Aadhaar numbers to individuals on providing his demographic and biometric information to the Unique Identification Authority of India;
- requiring Aadhaar numbers for identifying an individual for delivery of benefits, subsidies, and services the expenditure is incurred from or the receipt therefrom forms part of the Consolidated Fund of India;
- authentication of the Aadhaar number of an Aadhaar number holder in relation to his demographic and biometric information;
- establishment of the Unique Identification Authority of India consisting of a Chairperson, two Members and a Member-Secretary to perform functions in pursuance of the objectives above;
- maintenance and updating the information of individuals in the Central Identities Data Repository in such manner as may be specified by regulations;
- measures pertaining to security, privacy and confidentiality of information in possession or control of the Authority including information stored in the Central Identities Data Repository; and
- offences and penalties for contravention of relevant statutory provisions.
- Amendment Bill: An amendment bill was brought in 2017 and was passed by the Parliament.
- Challenges to Aadhar’s Constitutionality: Since 2014, multiple petitions challenged various aspects of the Aadhar Law. A final verdict was delivered by a Constitution Bench in Sept. 2018.
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