Project Report On
Unique Identification Number (UID)In the partial fulfillment of
the Master of Business Administration Program 2010-2011
Department of
Management Studies Upali Oden, Nathdwara.
Shrinathji Institute of Technology and Engineering
SUPERVISED BY:Dr. JP MISHRA
SUBMITTED BY:NEHA VARGHESE
Unique Identification Number (UID)
ACKNOWLEGEMENT
Behind every successful effort there lies a contribution from
numerous sources irrespective of their magnitude. My project is no
exception and I take this opportunity to express my sincere thanks
those helping hands whole heartedly. It is with great pleasure and
gratitude I acknowledge my indebtness to those who have helped me
in completing this project work. Let me take this opportunity to
express my sincere thanks to all of them, although they all cant be
mentioned here. I wish to place on record my thanks to Dr.Deepthi
Bhargv, head of the department, Srinathji institute of management
for giving me this opportunity. I wish to express my heartly
gratitude and sincere thanks to Dr. JP Mishra for their valuable
support, I also want to thank all the faculties of Sreenathji
institute of management for helping and providing their valuable
time for making this project a success. I give my profound thanks
to my friends for their support and last but not the least I want
to thanks my family for their help and support without their
presence it would not be possible for me to complete this project
satisfactorily. Above all I wish to thanks God Almighty for having
blessed me to complete this project.
NEHA VARGHESE
PREFACE
The Unique Identification Authority of India has envisioned the
UID as a number that will make it possible for Indian residents to
easily verify their identity to public and private agencies across
the country. The UID will pave the way for a variety of
applications that leverage the reliable authentication the UID
offers, within their infrastructure. This report lays out one
potential application of the UID the implementation, need of unique
identification in India, and its various strength and weaknesses in
respect to the functioning of the project in INDIA.
TABLE OF CONTENT
CH. NO. INTRODUCTION
CONTANT
I
II
HISTORY
III
NEED OF UID IN INDIA
IV V VI VII
RESEARCH METHODOLOGY ANALYSIS OF THE STUDY RECOMMENDATION
CONLUSION
VIII
BIBLOGRAPHY
Executive Summary In India, problems associated with identity
ofindividuals concerned constitute probably the single biggest
barrier preventing efficient delivery of welfare services to the
targeted groups of citizens. For efficient running of any scheme or
policy, the implementing agency requires proof of identity of the
targeted individuals. Unique Identification Number (UID) is a
recently finalized initiative by the Government of India to create
and manage a centralized identification system for all the adult
citizens and residents of India, which can be utilized for a
variety of identification purposes. Nandan Nilekani former
co-chairman of Infosys has been appointed as the head of Unique
Identification Authority of India and will have a ministerial rank.
UID (Unique Identification Number) is a unique number that can be
issued to every citizen of India. This number can be verified and
authenticated in an online manner, for various purposes related to
the needs and rights of a citizen. The UID project is being
undertaken by the Central Government under a special body called
Unique Identification Authority of India (UIDAI). The UID is
fundamentally similar to the Social Security Number (SSN) in the
US. However, it leverages existing biometric technologies, to make
it not only unique but also easily identifiable. While the main
purpose of the UID is the fair and just distribution of the various
social benefits to various sections of Indian society as per their
rights and eligibility, there are also a number of interesting
day-to-day applications possible using the UID Framework and this
is the main topic of this article. The Unique Identification (UID)
project of the government of India, being planned and implemented
by the Unique Identification Authority of India (UIDAI), might
prove to be the long awaited answer to many of Indias problems,
social and other.
CHAPTER I: INTRODUCTIONAcknowledging the existence of every
single citizen automatically compels the state to improve the
quality of service and immediately gives citizens better access. In
India, since independence, no one single widely accepted citizen
identity number has emerged that both citizens and agencies can use
with ease and confidence. Governments have embarked on numerous
citizen identity programmes some of them failed to kickstart,
others were phased out while the rest were or are unable to see a
clear road ahead. Despite the glitches experienced in the past,
experts feel that there is a pressing need for a universal identity
number for all citizens mainly to tackle the issues of fraudulent
disbursement of benefits provided by the government and security
concerns as well as administrative and other problems associated
with multiple identity numbers. The Unique Identification (UID)
project of the government of India, under which the Unique
Identification Authority of India (UIDAI) was formed in January
2009, is an attempt at harnessing Information Technology
Intensively for rectifying this lacuna. This paper is an exercise
in exploring the why, what and how of the UID project; why is UID
needed and what have other countries done on the national identity
number front? How can India leverage existing systems to realize
UID related goals? What is the most effective may not necessarily
be the most efficient implementation model at the disposal of the
Indian government? In USA, every citizen is given a national
identification number called Social Security Number (SSN). This
number is used almost everywhere and the government can track the
history of a person in many respects such as financial, criminal,
place of stay and many more. The American Social Security Number
(SSN) was created in 1936 as a nine-digit account number, assigned
by the Secretary of Health and Human Services, for the purpose of
administering the Social
Security laws. SSNs were first intended for use exclusively by
the US Federal government as a means of tracking earnings to
determine the amount of Social Security taxes to credit to each
worker's account. Over time, however, SSNs were permitted to be
used for purposes unrelated to the administration of the Social
Security system. In Colombia, identity cards are required to enter
public places such as subway stations, courtrooms and airports.
Malaysia is regarded as the first country to introduce smart
identity cards a proof of success in large scale incorporation of
biometrics. China does not have a national identity number
programme but is keenly interested in implementing one. Thus, many
countries across the world have realized the importance of a
citizens national identity number and have already implemented or
are in the process of implementing the same. While announcing the
UID project in November 2008, government had noted there has been a
long-felt need in the country for a system of unique identification
of every individual for a variety of purposes such as better
targeting of government's development schemes, regulatory purposes
(including taxation and licensing), security purposes, banking and
financial sector activities, etc. In the absence of such a
nationwide system, each sector of the economy or Department/agency
of the government adopts its own system of identification such as
PAN card, ration card, Electoral Photo Identity Card, credit cards,
etc .Such specific purpose identities were often found to have
inherent limitations in accuracy and currency levels on account of
low frequency of usage. Moreover, the multiplicity of such systems
renders it impossible to correlate information across sectors and
even across institutions within the same sector for providing
better services to people. The UID project of the Indian government
has found support across its various arms. Thus, planning and
implementation of the ongoing 15th Census of India, which is the
largest exercise of its kind in the world, is being done so that it
provides a database this shall be used to generate Unique Identity
Numbers (UIN) for all Indian citizens. Unique Identification Number
(UID) is an initiative by the Government of India to create and
manage a centralized identification system for all the adult
citizens and residents of India, which can be utilized for a
variety of identification purposes. Nandan
Nilekani former co-chairman of Infosys has been appointed as the
head of Unique Identification Authority of India and will have a
ministerial rank He has decided to step down from the board of
Infosys Technologies. The authority is notified as an attached
office under the aegis of the planning commission. Formally they
announced a new name and logo for the project called as Aadhaar
meaning Support in Hindi. The Unique Identification Project
(Aadhaar) was initially conceived by the Planning Commission as an
initiative to provide identification for each resident across the
country to be used primarily as the basis for efficient delivery of
welfare services. Unique Identification Authority of India (UIDAI),
established in 2009, is an agency of GOI, responsible for
implementation of providing a Unique Identification number (UID)
for all residents of India that can be verified and authenticated
in an online, cost-effective manner, which is robust Enough to
eliminate duplicate and fake identities. The centralized technology
infrastructure of the UIDAI will enable anytime, anywhere, anyhow
authentication. The ID is fundamentally being prepared to identify
Indian citizens so that better security can be provided by
identifying illegal immigrants and terrorists. However, the real
power of the ID is in its ability to provide ease of identity
establishment to Indian citizens when accessing a variety of
governmental and privatesector services. The likely benefits of the
new ID system to the citizens will be as below: 1) Subsidies on
food, energy, education, etc. to people who are entitled to receive
them. 2) Opening bank accounts 3) Getting new telephone, mobile or
internet connections, 4) New light or gas connections 5) Getting a
passport 6) The same card may act as a driving license and store
your traffic violation Records. 7) It may act as your electoral
card 8) Family genealogy may be traced
In less than ten months from now, India will witness a new
revolution; and its people will get to experience their first
complete, unique identity. All packed into sixteen simple digits
that possibly hold an answer to the question relates to the
identification. For a nation riding on multiple citizen identities
and a large number of ghost ones, Indian government's ambitious
Unique ID project signals a new revolution in the country's
socio-economic growth. The UID is not just another identity card to
hold/possess. It promises to be every Indian's gateway to social
and economic inclusion.
Identifying UID as AADHAARAadhaar is a new name and logo of
unique identification number; its a 12-digit unique number which
will be issued by the Unique Identification Authority of India
(UIDAI) to all residents of the country. Its a step towards putting
India in the club of more than 50 countries around the world that
have some form of national identity cards. These include most of
continental Europe (not the UK), China, Brazil, Japan, Iran, Israel
and Indonesia. The number will be stored in a centralized database
and linked to the basic demographics and biometric information
photograph, ten fingerprints and iris of each individual. The
number will be unique and would be available for online and offline
verification and, hence, will rule out the possibility of duplicate
and fake identities from government as well as various private
databases. It is the brand name of Indias ambitious Unique
Identification (UID) project. The announcement was made after
consultation between the Unique Identification Authority of India
(UIDAI) and the National Institute for Smart Government (NISG)
along with other stakeholders. Dhaneshwar, a farmer from Azamgarh,
U.P, unveiled the brand name and its logo.
The number (referred to until now as the UID) has been named
Aadhaar, which translates into foundation, or support. Aadhaar is a
12-digit unique number which will be stored in a centralized
database and linked to the basic demographics and biometric
information photograph, ten fingerprints and iris of each
individual. As Aadhaar number has been recognized by Ministry of
Finance, GOI (govt. of India), as an officially valid document to
satisfy the Know Your Customer (KYC) norms it would enable the poor
to fulfill Proof of Identity (PoI) and Proof of Address (PoA)
requirements that, today, often limits them from using basic
services such as banking and telecom. It would obviate the need for
a person to produce multiple documentary proofs of his identity for
availing any government service, or private services. It would also
facilitate the Banks in ensuring financial inclusion across the
country they can link the unique number to a bank account for every
resident, and use the online identity authentication to allow
residents to access the account from anywhere in the country. It
would also act as a tool for effective monitoring of various
programs and schemes of the Government. Further the Aadhaar number,
since its a portable identification/proof of address that can be
regularly updated by the individual and used nationally, is a
powerful tool for resident migrants to access services and
benefits. Aadhaar will also help the government to save enormous
costs while improving transparency and accountability. In other
words Aadhaar-based transfers will pave a way to secure lasting
improvement of governance in our country. Though Aadhaar will
demand proper verification prior to enrolment, the UIDAI will
ensure that its Know Your Resident (KYR) standards do not become a
barrier for enrolling the poor and has accordingly developed an
Introducer system for residents who lack such documentation.
Through this system, authorized individuals (Introducers) who
already have an Aadhaar, can introduce residents who dont have any
identification
documents, enabling them to receive their Aadhaar. Over five
years, the Authority plans to issue 600 million UIDs (1.2 billion
residents of the country) and over 100 millions UIDs by the end of
the current financial year i.e. by March, 2011. The numbers will be
issued through various registrar agencies across the country which
includes State Governments, State Public Sector Units (PSUs),
Banks, Telecom companies, etc. SBI, who have approx. 170 million
account holders, is the first bank to partner with the UID (renamed
Aadhaar) authority that plans to issue unique numbers to each of
Indias one billion-plus citizens. Life Insurance Corporation of
India, Indias largest life insurance firm, had also signed a MoU
with the UIDAI to become a registrar for the delivery of Aadhaar.
With this, the UIDAI will also have access to a database of 200
million policyholders of LIC. One of the key challenges faced by
people in India is difficulty in establishing identity. People have
multiple identity documents, each serving a different purpose. The
most important characteristic of Aadhaar is its universality and it
is assumed that the biometric card with the number will be
gradually accepted across the country as the identification number
by all service providers and government agencies. It is assumed by
that the card will increase the trust between private and public
agencies and reduce the denial of services to people who have no
identification. The number will also hopefully reduce the hassle of
repeatedly proving identity by various documents to avail services
like opening a bank account and obtaining passport or driving
license and so on. For the people living below the poverty line and
the ones who are entitled to various government-run welfare
programmes, the number and the biometric data will help in
identifying the beneficiaries.
FEATURES OF AADHAAR:1The UIN will only prove identity, not
citizenship. 2The UID project is based on a partnership model.
UIDAIs approach leverages the existing infrastructure of government
and private agencies across India. UIDAI will be the regulatory
authority managing a Central Identity Data Repository (CIDR) that
will issue UINs, update resident information and authenticate the
identity of residents as required. In addition, UIDAI will
collaborate with agencies such as central and state departments and
private sector agencies who will be Registrars for UIDAI.
Registrars will process UID applications and connect to the CIDR to
deduplicate resident information and to receive UINs. These
Registrars either can be enrollers or will appoint agencies as
enrollers, who will interface with people seeking UINs. UIDAI will
also collaborate with service providers for authentication. 3UIDAI
emphasizes on a flexible model for Registrars. The Registrars will
retain significant flexibility in their processes, including
issuing cards, pricing, expanding KYR (Know Your Resident)
verification, collecting demographic data on residents for their
specific requirements and in authentication. UIDAI will set
standards to enable Registrars maintain uniformity in collecting
certain demographic and biometric information and in basic KYR. The
KYR and Biometric committees that UIDAI constitutes will finalize
these standards. 4Technology is the backbone of the UIDAI system.
Technology systems have a major role across the UIDAI
infrastructure. The UID database will be stored on a central
server. Enrolment of residents will be computerized and information
exchange between Registrars and the CIDR will be over a network.
Authentication of citizens will be online. UIDAI will put systems
in place to ensure security and safety of information. 5UID project
will help reach the benefits of governments social schemes like
MANREGS (Mahatma Gandhi Rural Employment Guarantee Scheme), and
Public Distribution System (PDS) to large numbers of poor and
underprivileged, who have been effectively left out until now.
CONTOURS OF UID PROJECT:UIDAI will collect basic information on
citizens. It will seek demographic and biometric information of the
kind listed below, in order to issue a UIN: Name Date of birth
Gender Fathers name Fathers UID number (optional for adult
residents) Mothers name Mothers UID number (optional for adult
residents) Address (Permanent and Present) Expiry date Photograph
Finger prints
IMPLICATION OF AADHAAR:In the first phase, the UID will be
issued to people living in the coastal villages of Andhra Pradesh,
Gujarat, West Bengal, Kerala, Goa, Karnataka, Tamil Nadu,
Maharashtra and Orissa. The Union Territories of Pondicherry,
Andaman & Nicobar Islands, Dadar and Nagar Haveli as well as
Lakshadweep shall also be covered in the first phase. The first lot
of cards is expected to be delivered by early 2010. The Aadhaar
(UID) number is expected to roll out by February 2011 and finance
ministry officials hope the mandatory use of the UID for the issue
of PAN cards in the future would help curb the proliferation of
duplicate PAN cards.
TECHNOLOGY SUPPORTING UID PROJECT:National Informatics Centre
worked along with other agencies which included academia and
industry players, to evolve a complete implementable Smart Card
Operating Systems
Standards, which is named SCOSTA (Smart Card Operating System
for Transport Application). Since the standards were developed on
the request of Ministry of Transport and Highways, that is how the
name of standard included the name Transport Application in it. But
otherwise the standards are absolutely generic and are
deployment-ready for all kind of Identity applications like Citizen
ID Card, PDS card, Election Card, BPL Card, , PAN Card etc. Since,
SCOSTA is primarily based on ISO7816 standards, and therefore also
comply with any international requirements. By todays date, more
than twenty major national and international industry players have
adopted these standards into their Smart Card products and selling
to national and international market. SCOSTA has also been
recommended by the Technical Committee for MNIC Card, under
Ministry of home Affairs to be used as standard operating system
for MNIC Card, in pilot project. It is a secured electronic device
that is used for keeping data and other information in a way that
only authorized persons can view it. It can be used as a voter
I-card to proof for opening a bank account and among other things,
is supposed to "ensure that any lacuna in the UPA flagship schemes
(NREGS, Sarva Shiksha Abhiyaan, Food Security Act) ,etc.
Unique identification authority of IndiaThe Unique
Identification Authority of India (UIDAI) is an agency of the
Government of India responsible for implementing the envisioned
Multipurpose National Identity Card or Unique Identification card
(UID Card) project in India. It was established in February 2009,
and will own and operate the Unique Identification Number database.
The authority will aim at providing a unique number to all Indians,
but not smart cards. The authority would provide a database of
residents containing very simple data in biometrics. The agency is
headed by a chairman, who holds a cabinet rank. The UIDAI is part
of the Planning Commission of India Nandan Nilekani, a former
co-chairman of Infosys Technologies, was appointed as the first
Chairman of the authority in June 2009. Ram Sewak Sharma, an IAS
Officer of Jharkhand Government cadre has been appointed as the
Director General and Mission Director of the Authority. He is known
for his best effort in e-Governance project for Jharkhand State and
working as an IT secretary he received a number of awards for best
Information Technology Trends State in India. It is believed that
Unique National IDs will help address the rigged state elections,
widespread embezzlement that affects subsidies and poverty
alleviation programs such as NREGA. Addressing illegal immigration
into India and terrorist threats is another goal of the program.
Government issued IDs are fragmented by purpose and region in
India, which results in widespread bribery, denial of public
services and loss of income, especially afflicting poor citizens.
As the unique identity database comes into existence, the various
identity databases (voter ID, passports, ration cards, licenses,
fishing permits, border area ID cards) that already exist in India
are planned to be linked to it. The authority is liaising with
various national, state and local government entities to begin this
process. The
Union Labor Ministry has offered its verified Employment
Provident Fund (EPFO) database of 42 million citizens as the first
database to be integrated into the unique ID system. Other UID
projects implemented on a smaller scale in India can also
facilitate in the development of the national project. An example
is a project developed by Wolf Frameworks Cloud Computing vendor
and Social Education and Development Society (SEDS) for profiling
and generating Unique Identification for more than 40,000 members
in the Anantapur district of Andhra Pradesh. The UID will link a
person's Passport Number, Driving License, PAN card, Bank Accounts,
Address, Voter ID, etc and all this information will be checked
through a database. So, for example, if someone has different
addresses on PAN and driving license, is liable to get caught.
Those who will opt out of this program will have much inconvenience
in doing business, operating bank accounts and other offices which
will require a UID. UIDAI has headquarters in Delhi and a
technology centre in Bangalore. It also has 6 regional offices in
Chandigarh, Delhi, Lucknow, Ranchi, Guwahati, Mumbai, Hyderabad and
Bangalore. In India, an inability to prove identity is one of the
biggest barriers preventing the poor from accessing benefits and
subsidies. Public as well as private sector agencies across the
country typically require proof of identity before providing
individuals with services. But till date, there remains no
nationally accepted, verified identity number that both residents
and agencies can use with ease and confidence. As a result, every
time an individual tries to access a benefit or service, they must
undergo a full cycle of identity verification. Different service
providers also often have different requirements in the documents
they demand, the forms that require filling out, and the
information they collect on the
individual. Such duplication of effort and identity silos
increase overall costs of identification, and cause extreme
inconvenience to the individual. This approach is especially unfair
to Indias poor and underprivileged Residents, who usually lack
documentation, and find it difficult to meet the costs of, multiple
verification processes,. There are clearly, immense benefits from a
mechanism that uniquely identifies a person, and ensures instant
identity verification. The need to prove identity only once will
bring down transaction costs for the poor. A clear identity number
would also transform the delivery of social welfare programs by
making them more inclusive of communities now cut off from such
benefits due to their lack of identification. It would enable the
government to shift from indirect to direct benefits, and help
verify whether the intended beneficiaries actually receive
funds/subsidies. A single, universal identity number will also be
transformational in eliminating fraud and duplicate identities,
since individuals will no longer be able to represent themselves
differently to different agencies. This will result in significant
savings to the state exchequer. As an example, the Ministry of
Petroleum and Natural Gas can save over Rs.1200 crores a year in
subsidies now reportedly lost on LPG cylinders registered under
duplicate or ghost identities.
Organization Details:UIDAI was set up as an attached office of
the Planning Commission through Notification dated 28.01.09 with a
core team of 115 officers and staff. Under the Notification, 3
Posts (DG, DDG and ADG) were sanctioned for Headquarter with 35 UID
commissioners in each of the States. It was thereafter decided to
have Regional Offices in Bangalore, Chandigarh, Delhi, Hyderabad,
Guwahati, Lucknow, Mumbai and Ranchi with their jurisdiction
covering specific states across the country. A Technology Centre
has been set up in Bangalore. 268 additional posts were created in
September 2009. UIDAI at present has a total sanctioned strength of
383 officers and subordinate staff.
Headquarters Organization: The UIDAI is headquartered in Delhi
with Shri Nandan Nilekani as the Chairman and Shri R.S. Sharma as
the Director General and Mission Director. In the organizational
design, the DG is to be assisted by seven Deputy Director Generals,
officers of the level of Joint Secretary, who are in charge of
various Wings. One of the DDGs heads the Finance Wing. The DDGs
would be supported by 21 ADGs, 15 Deputy Directors, 15 Section
Officers and 15 Assistants. The HQ has a total sanctioned strength
of 146 numbers of officers and staff including the Accounts and IT
branch. All the officers and staff have been appointed on
deputation either under Central Staffing Scheme or through
bilateral route. Of the sanctioned strength, 85 are in position at
present. Appointments for the remaining vacancies are in
process.
- http://WWW.UDAI.GOV.IN
Regional Offices' Organizational Structure: Each of the Regional
Offices is headed by a Deputy Director General (DDG). The support
structure below comprises 4 ADGs, 3 Deputy Directors, and 3 Section
Officers, 1 Senior Accounts Officer and 1 Accountant and personal
staff. The list of regional offices with the States/UT that they
are covering is listed below:
- http://WWW.UDAI.GOV.IN
The UID System is envisioned as a means for residents to easily
establish their identity, anywhere in the country. It will be an
important step towards ensuring that residents in India can access
the resources and benefits they are entitled to. The resident will
be able to enroll for a UID number by providing basic demographic
as well as biometric details (which may include photograph,
fingerprints and iris scan) to the enrolling agency. The enrolling
agency will transmit these details to a central UID server. The
server will then perform a de-duplication check using the residents
key demographic and biometric fields against existing UID records
in the database, to ensure that she does not already have a UID
number. Once the check confirms that a duplicate record does not
exist, the central system will issue a UID number to the resident.
The resident can then use the number with different service
providers, who can verify his or her identity online. The agency
has to transmit the UID number and information provided by the
resident to the UID server, and the server immediately responds
with a yes or a no.
The UIDAI approaches:The Government of India undertook an effort
to provide a clear identity to residents first in 1993, with the
issue of photo identity cards by the Election Commission.
Subsequently in 2003, the Indian Government approved the
Multipurpose National Identity Card (MNIC). The Unique
Identification Authority of India (UIDAI) was established in
February 2009, attached to the Planning Commission. The purpose of
the UIDAI is to issue a unique identification number (UID) to all
Indian residents that is (a) Robust enough to eliminate duplicate
and fake identities, and (b) Can be verified and authenticated in
an easy, cost-effective way. The UIDAIs approach will keep in mind
the learning from the governments previous efforts at issuing
identity. The UIDAI will be created as a statutory body under a
separate legislation to fulfill its
objectives. The law will also stipulate rules, regulations,
processes and protocols to be followed by different agencies
partnering with the Authority in issuing and verifying unique
identity numbers.
Features of the UIDAI model:The UID number will only provide
identity: The UIDAIs purview will be limited to the issue of unique
identification numbers linked to a persons demographic and
biometric information. The UID number will only guarantee identity,
not rights, benefits or entitlements. 1The UID will prove identity,
not citizenship: All residents in the country can be issued a
unique ID. The UID is proof of identity and does not confer
citizenship. 1A pro-poor approach: The UIDAI envisions full
enrolment of residents, with a focus on Enrolling Indias poor and
underprivileged communities. The Registrars that the Authority
plans to partner with in its first phase the NREGA, RSBY, and PDS
will help bring large numbers of the poor and underprivileged into
the UID system. The UID method of authentication will also improve
service delivery for the poor. 1Enrolment of residents with proper
verification: Existing identity databases in India are Fraught with
problems of fraud and duplicate/ghost beneficiaries. To prevent
this from Seeping into the UIDAI database, the Authority plans to
enroll residents into its database with proper verification of
their demographic and biometric information. This will ensure that
the data collected is clean from the start of the program. However,
much of the poor and underserved population lack identity documents
and the UID may be the first form of identification they have
access to. The Authority will ensure that the Know Your Resident
(KYR) standards dont become a barrier for enrolling the poor, and
will devise suitable procedures to ensure their inclusion without
compromising the integrity of the data.
1A partnership model: The UIDAI approach leverages the existing
infrastructure of government and private agencies across India. The
UIDAI will be the regulatory authority managing a Central ID Data
Repository (CIDR), which will issue UID numbers, update resident
information, and authenticate the identity of residents as
required. In addition, the Authority will partner with agencies
such as central and state departments and private sector agencies
who will be Registrars for the UIDAI. Registrars will process UID
applications, and connect to the CIDR to de-duplicate Resident
information and receive UID numbers. These Registrars can either be
enrollers, or will appoint agencies as enrollers, who will
interface with people seeking UID numbers. The Authority will also
partner with service providers for authentication. 2The UIDAI will
emphasize a flexible model for Registrars: The Registrars will
retain significant flexibility in their processes, including
issuing cards, pricing, expanding KYR (Know Your Resident)
verification, collecting demographic data on residents for their
specific requirements, and in authentication. The UIDAI will
provide standards to enable Registrars maintain uniformity in
collecting certain demographic and biometric information, and in
basic KYR. These standards will be finalized by the KYR and
biometric committees the Authority constitutes. 3Enrolment will not
be mandated: The UIDAI approach will be a demand-driven one, where
the benefits and services that are linked to the UID will ensure
demand for the number. This will not however, preclude governments
or Registrars from mandating enrolment. 4The UIDAI will issue a
number, not a card: The Authoritys role is limited to issuing the
number. This number may be printed on the document/card that is
issued by the Registrar. 5The number will not contain intelligence:
Loading intelligence into identity numbers makes them susceptible
to fraud and theft. The UID will be a random number.
6The Authority will only collect basic information on the
resident: Process to ensure no duplicates: Registrars will send the
applicants data to the CIDR for de-duplication. The CIDR will
perform a search on key demographic fields and on the biometrics
for each new enrolment, to ensure that no duplicates exist. The
incentives in the UID system are aligned towards a self-cleaning
mechanism. The existing patchwork of multiple databases in India
gives individuals the incentive to provide different personal
information to different agencies. Since deduplication in the UID
system ensures that residents have only one chance to be in the
database, individuals will provide accurate data. This incentive
will become especially powerful as benefits and entitlements are
linked to the UID. 7Online authentication: The Authority will offer
a strong form of online authentication, where agencies can compare
demographic and biometric information of the resident with the
record stored in the central database. The Authority will support
Registrars and agencies in adopting the UID authentication process,
and will help define the infrastructure and processes they need.
8The UIDAI will not share resident data: The Authority envisions a
balance between privacy and purpose when it comes to the
information it collects on residents. The agencies may store the
information of residents they enroll if they are authorized to do
so, but they will not have access to the information in the UID
database. The UIDAI will answer requests to authenticate identity
only through a Yes or No response. The Authority will also enter
into contracts with Registrars to ensure the confidentiality of
information they collect and store. 9Technology will under gird the
UIDAI system: Technology systems will have a major role across the
UIDAI infrastructure. The UID database will be stored on a central
server. Enrolment of the resident will be computerized, and
information exchange between Registrars and the CIDR will be over a
network. Authentication of the resident will be online. The
Authority will also put systems in place for the
security and safety of information.
Benefits of UIDAI:1For residents: The UID will become the single
source of identity verification. Once residents enroll, they can
use the number multiple times they would be spared the hassle of
repeatedly providing supporting identity documents each time they
wish to access services such as obtaining a bank account, passport,
driving license, and so on. By providing a clear proof of identity,
the UID will also facilitate entry for poor and underprivileged
residents into the formal banking system, and the opportunity to
avail services provided by the government and the private sector.
The UID will also give migrants mobility of identity. 2For
Registrars and enrollers: The UIDAI will only enroll residents
after de-duplicating records. This will help Registrars clean out
duplicates from their databases, enabling significant efficiencies
and cost savings. For Registrars focused on cost, the UIDAIs
verification processes will ensure lower KYR costs. For Registrars
focused on social goals, a reliable identification number will
enable them to broaden their reach into groups that till now, have
been difficult to authenticate. The strong authentication that the
UID number offers will improve services, leading to better resident
satisfaction. 3For Governments: Eliminating duplication under
various schemes is expected to save the government exchequer
upwards of Rs. 20,000 crores a year. It will also provide
governments with accurate data on residents, enable direct benefit
programs, and allow government departments to coordinate
investments and share information. Revenue model. By providing
identity authentication, the UIDAI will be taking on a process that
Costs agencies and service providers hundreds of crores every year.
The Authority will charge a fee for its authentication services,
which will offset its long-term costs.
Registrars and service providers will also be able to charge for
the cards they issue residents with the UID number. Such pricing
will be within UIDAI guidelines. The UIDAI will start issuing UIDs
in 12-18 months, and the Authority plans to cover 600 million
people within 4 years from the start of the project. This can be
accelerated if more Registrars partner with the Authority for both
enrolment and authentication. The adoption of UIDs is expected to
gain momentum with time, as the number establishes itself as the
most accepted identity proof in the country. India will be the
first country to implement a biometric-based unique ID system for
its residents on such a large scale. The UID will serve as a
universal proof of identity, allowing residents to prove their
credentials anywhere in the country. It will give the government a
clear view of Indias population, enabling it to target and deliver
services effectively, achieve greater returns on social
investments, and track money and resource flows across the country.
The timing of this initiative is encouraging the creation of the
UIDAI coincides with growing social investment in India, a shift in
focus to direct benefits, and with the spread of IT and mobile
phones, which has made the public receptive to technologybased
solutions. The UIDAI is committed to making this project a success.
An initiative of this magnitude will also require the active
participation of central, state and local governments, as well as
public and private sector agencies across the country. With their
support, the project will help realize a larger vision of inclusion
and development. Indian government is planning to use Aadhar India
not only for identity but for the various other purposes. The
Aadhar India is expected to be come out with various purposes. Some
of the areas where it can be used are:
1. The Income Tax authority of India has planned to use UIN as
PAN card. 2. RBI is looking for UIN as this would help in finding
all the bank account of a person with ease. It would be mandatory
to provide your UIN to your bank to open a new bank account or to
operate in current bank account. 3. The UIN is also being to use as
phone no. of individual. The unique no. of person will become his
phone no. However this is possible only when there no use alphabet
is made in UIN. 4. This would also serve as license. 5. For various
monetary transactions providing UIN detail would be necessary, this
will help in reducing black money transfer. 6. The UIN card is also
purposed to be used as ATM cum Debit cum Credit card.
RESEARCH OBJECTIVE:Unique identification mission was launched by
Indian government in year 2006 with the objective to provide
identification to each citizen of the country. This identification
was primarily meant to be used for efficient delivery of welfare
services in the country. Wipro Limited is the consultant for design
and project management phase of the project. There will be a 10
digit identification number on each card that will be used to serve
multiple purposes. To ensure successful implementation, some
critical information need to be collected about the user i.e. KYR
(Know your resident) fields (Name, Address, Gender and Date of
birth), Photo and address verification, fingerprints on slap
scanner and Iris scan. Human Resource Development (HRD) ministry of
India has taken the lead in the use of UID scheme. Under a new
program, all school children will be provided an UID so
that their progress across classes can be tracked. This will
also help in monitoring the dropout rate and to control the dropout
trend. Additionally, UID will help to keep a track of students
movement across educational institutions, and their academic
records. The mission will be run in coordination with civil society
groups. UID has generated new hope amongst people. Government of
India feels that the system will help to curb corruption involved
in its various rural programmes like Sarva Shiksha Abhiyan, Rural
Health Mission, Bharat Nirman, National Rural Employment Guarantee
Scheme etc. Government also hopes to control the rise of terrorism
and crime in the country with the help of UID scheme. UID will not
only be resourceful for the State for proper administration but can
be used to achieve diverse goals. These IDs can also be of use to
Insurance companies, Banks and microfinance institutions, Income
tax department, Mobile Service providers, Passport offices etc. In
this case, UID will be a primary source of verification and
will
help in reducing time spent in Verification process. The scheme
can also be used to control the menace of fake Credentials and
identity cards such as Ration card, voter ID card etc. In case of
UID, magnetic flash memory chip will be used to secure the true
information about the card holder which may not be easily
duplicated. UID can also be used to contain illegal migration in
the country from the borders. The key objective of the UID is to
make the social services available to poor section of the nation.
As of 2010, approximately 37% of Indias population lives below
poverty line. To address this issue, the government of India has
been striving to deliver the basic essentials to these poor people
such as food. Fertilizers, fuel etc. Due to corruption and
ignorance of the poor people (about the facilities they can avail),
it was difficult for government of India to achieve their targets.
The UID will play a fundamental role in helping the government to
deliver these services to the people for which those are meant.
The research on UID is conducted for the following purpose: 1.To
study about the UID and its importance. 2.To study about the need
of UID in India and it benefits. 3.To measure the capability of UID
from prevailing systems in India. 4.To study about the technique
used in UID project. 5.To study about its origin. 6.To analyze its
success in India. 7.To study about its system and its functioning.
8.To study in detail about its organization. 9.To study about its
strength, weakness, opportunity and threats. 10.To get a clear idea
about what is UID and what its not. Etc.
CHAPTER II HISTORY
. In a recent cell phone advertisement a popular film star is
watched to recognize the rural folks by 'numbers'their mobile phone
numbers. The Government of India's initiative to issue Unique
Identity Card (UID) to its citizens under AADHAAR project takes the
fantasy a step forward. Of late 'terror' is a high-profile topic in
India. AADHAAR has been projected as a shield for the innocent
civilians against terrorism. A wave of euphoria sweeps the public
mood. The hi-tech bio-metric Identification card is marketed
hopefully to win over the hearts of millions of Indians. The Kargil
Review Committee submitted its report to the Government of India
(GOI) in January 2000 recommending immediate state intervention to
issue ID cards initially to people in the border areas and
gradually to all others residing in this country. In 2001 a Group
of Ministers of the NDA government drafted a report titled
'Reforming the National Security System' which cautioned that
"Illegal migration has assumed serious proportions". "All citizens
should be given a Multi-purpose National Identity Card (MNIC) and
non-citizens should be issued identity cards of a different colour
and design" suggested the report. As a follow-up measure The
Citizenship Act of 1955 was amended in 2003 by the government
whereby it had become mandatory for the citizens of India to get
them registered in MNIC. Any violation would be "punishable with
fine, which may extend to one thousand rupees. Under the UPA
Government the MNIC project was replaced by a new tag of UID, a
project under the Unique Identification Authority of India (UIDAI)
acting as an appendage to the Planning Commission of India. Nandan
Nilekani, a former co-chairman of Infosys Technologies was
appointed as the Chairman of the Authority. The project will
provide Unique Identity Numbers (UID), having close similarity to
the US social security number, to India's billion-plus citizens. It
will involve setting up a database with the identification details
of Citizens. On April 26, 2010 the
project was renamed 'AADHAAR' signifying 'support'. A yellow sun
with fingerprint embedded in it was selected as the logo.
In a Press release dated May 18, 2009 the Cabinet Committee on
UIDAI related issues approved the action plan of UIDAI for
collection of demographic and biometric attributes of face and all
ten finger-tips for all citizens and of iris for children in the
age group of 5 to 15 years. a) The concept of a unique
identification was first discussed and worked upon since 2006 when
administrative approval for the project "Unique ID for Below
Poverty Line (BPL) families" was given on 03 March 2006 by the
Department of Information Technology, Ministry of Communications
and Information Technology. This project was to be implemented by
the National Informatics Centre (NIC) over a period of 12 months.
Subsequently, a Processes Committee to suggest processes for
updation, modification, addition and deletion of data fields from
the core database to be created under the Unique ID for below BPL
project was set up on 03 July 2006. This was set up under the
chairmanship of Dr. Arvind Virmani, Principal Adviser, and Planning
Commission. b) A "Strategic Vision on the UIDAI Project" was
prepared and submitted to this Committee by M/S Wipro Ltd
(Consultant for the design phase and program management phase of
the Pilot UIDAI project). It envisaged the close linkage that the
UIDAI would have to the electoral database. The Committee also
appreciated the need of a UIDAI Authority to be created by an
executive order under the aegis of the Planning Commission to
ensure a pan-departmental and neutral identity for the authority
and at the same time enable a focused approach to attaining the
goals set for the XI Plan. The Seventh Meeting of the Process
Committee on 30 August 2007 decided to furnish to the Planning
commission a detailed proposal based on the resource model for
seeking its "in principle" approval.
c) At the same time, the Registrar General of India was engaged
in the creation of the National Population Register and issuance of
Multi-purpose National Identity Cards to citizens of India.
d) Therefore, it was decided, with the approval of the Prime
Minister, to constitute an empowered group of Ministers (EGoM) to
collate the two schemes the National Population Register under the
Citizenship Act, 1955 and the Unique Identification Number project
of the Department of Information Technology. The EGoM was also
empowered to look into the methodology and specific milestones for
early and effective completion of the Project and take a final view
on these. The EGoM was constituted on 04 December 2006. 1The first
meeting of the EGoM was held on 27 November 2007. It recognized the
need for creating an identity related resident database, regardless
of whether the database is created based on a de-novo collection of
individual data or is based on already existing data such as the
voter list, there is a crucial and imperative need to identify and
establish an institutional mechanism that will "own" the database
and will be responsible for its maintenance and updating on an
ongoing basis post its creation. 2The second meeting of the EGoM
was held on 28 January 2008. It decided on the strategy for the
collation of NPR and UIDAI. Inter-alia, the proposal to establish
UIDAI Authority under the Planning Commission was approved. 3The
third meeting of the EGoM was held on 07 August 2008. The Planning
Commission had placed before the EGoM a detailed proposal for
setting up UIDAI. The meeting decided that certain issues raised by
the members with relation to the UIDAI (Annexure to the EGoM
meeting proceedings) would need to be examined by an official level
committee. It referred the matter to a Committee of Secretaries to
examine and give its recommendations to the EGoM to facilitate a
final decision. 4 Subsequent to the Committee of Secretaries
recommendations, the fourth meeting of the EGoM was held on 04
November 2008. The recommendations of the Committee of Secretaries
were presented to the EGoM and the following decisions were
taken.
a) Initially the UIDAI may be notified as an executive authority
and investing it with statutory authority could be taken up for
consideration later at an appropriate time. b) UIDAI may limit its
activities to creation of the initial database from the electoral
roll/EPIC data. UIDAI may however additionally issue instructions
to agencies that undertake creation of databases to ensure
standardization of data elements. c) UIDAI will take its own
decision as to how to build the database. d) UIDAI would be
anchored in the Planning Commission for five years after which a
view would be taken as to where the UIDAI would be located within
Government. e) Constitution of the UIDAI with a core team of 10
personnel at the central level and directed the Planning Commission
to separately place a detailed proposal with the complete
structure, rest of staff and organizational structure of UIDAI
before the Cabinet Secretary for his consideration prior to seeking
approval under normal procedure through the DoE/CCEA. f) Approval
to the constitution of the State UIDAI Authorities simultaneously
with the Central UIDAI with a core team of 3 personnel. g) December
2009 was given as the target date for UIDAI to be made available
for usage by an initial set of authorized users. h) Prior to
seeking approval for the complete organizational structure and full
component of staff through DoE and CCEA as per existing procedure,
the Cabinet Secretary should convene a meeting to finalize the
detailed organizational structure, staff and other requirements.
1.1: Subsequently, on 22 January 2009 the Cabinet Secretary in
pursuance of the
decisions of the Empowered Group of Ministers considered the
proposal Submitted by the Department of Information Technology
regarding the governance structure and recommended that: a) The
notification for constitution of the UIDAI should be issued
immediately. b) A High Level Advisory, Monitoring and Review
Committee headed by Deputy Chairman, Planning Commission to be
constituted to oversee the work of the authority. c) A Member,
Planning Commission or the Secretary, Planning Commission may also
be assigned the task of looking after the work proposed for the
Chief UIDAI Commissioner. d) Core Team to be put in place. 1.2: In
pursuance of the Empowered group of Ministers' fourth meeting dated
04 November 2008, the Unique Identification Authority of India was
constituted and notified by the Planning Commission on 28 January
2009 as an attached office under the aegis of Planning Commission
with an initial core team of 115 officials. The role and
responsibilities of the UIDAI was laid down in this notification.
The UIDAI was given the responsibility to lay down plan and
policies to implement UIDAI scheme and shall own and operate the
UIDAI database and be responsible for its updation and maintenance
on an ongoing basis.
CHAPTER III NEED OF UID IN INDIA
The vision here is to ensure that every Indian has an official
identity, with sufficient details stored about that citizen. The
UID system can interface with the hundreds of government and large
public and private sector organizations, for better handling their
verification, validation, allocation, distribution, recovery and
law enforcement processes. The government of India has a large
number of social benefit schemes which have been in force for over
30 years. Most of these schemes are aimed at the under-privileged,
either economically or socially, sections of Indian society.
However, in order to avoid the misuse of these social benefit
schemes (at the cost of the State Exchequer), a lot of checks and
balances were also put in placeone of them being that the recipient
of these social benefits should produce the required and relevant
identity, to avail of these social benefits. In India, an inability
to prove identity is one of the biggest barriers preventing the
poor from accessing benefits and subsidies. Public as well as
private sector agencies across the country typically require proof
of identity before providing individuals with services. But till
date, there remains no nationally accepted, verified identity
number that both residents and agencies can use with ease and
confidence. As a result, every time an individual tries to access a
benefit or service, they must undergo a full cycle of identity
verification. Different service providers also often have different
requirements in the documents they demand, the forms that require
filling out, and the information they collect on the individual.
Such duplication of effort and identity silos increase overall
costs of identification, and cause extreme inconvenience to the
individual. This approach is especially unfair to Indias poor and
underprivileged residents, who usually lack documentation, and find
it difficult to meet the costs of multiple verification processes.
There are clearly, immense benefits from a mechanism that uniquely
identifies a person, and ensures instant identity verification. The
need to prove identity only once will bring down transaction costs
for the poor. A clear identity number would also transform the
delivery of social welfare programs by making them
more inclusive of communities now cut off from such benefits due
to their lack of identification. It would enable the government to
shift from indirect to direct benefits, and help verify whether the
intended beneficiaries actually receive funds/subsidies. A single,
universal identity number will also be transformational in
eliminating fraud and duplicate identities, since individuals will
no longer be able to represent themselves differently to different
agencies. This will result in significant savings to the state
exchequer. As an example, the Ministry of Petroleum and Natural Gas
can save over Rs.1200 crores a year in subsidies now reportedly
lost on LPG cylinders registered under duplicate or ghost
identities. The Government of India undertook an effort to provide
a clear identity to residents first in 1993, with the issue of
photo identity cards by the Election Commission. Subsequently in
2003, the Indian Government approved the Multipurpose National
Identity Card (MNIC). The Unique Identification Authority of India
(UIDAI) was established in February 2009, attached to the Planning
Commission. The purpose of the UIDAI is to issue a unique
identification number (UID) to all Indian residents that is: (A)
Robust enough to eliminate duplicate and fake identities, and (B)
Can be verified and authenticated in an easy, cost-effective way.
The UIDAIs approach will keep in mind the learnings from the
governments previous efforts at issuing identity. The UIDAI will be
created as a statutory body under a separate legislation to fulfill
its objectives. The law will also stipulate rules, regulations,
processes and protocols to be followed by different agencies
partnering with the Authority in issuing and verifying unique
identity numbers. To obtain these social benefits and other
fundamental rights, there are a multitude of identity cards and
numbers, which can be confusing indeed. This is where a proactive
measure by the Union Government of India to provide a UID to every
Indian with clearly identifiable parameters such as Biometric
Fingerprints,
IRIS scans, photographs, etc. can help in providing a common
interface to the citizen, across various government agencies,
public sector organizations and even the private sector in the long
run.
LIMITATIONS OF THE CURRENT PREVAILING SYSTEM:The plethora of
identity proofs currently issued by the government and its agencies
to Indian citizens, e.g. Birth Certificate, Ration Card, Driving
License, PAN Card, Voter Identity Card etc., prove to be a major
source of hindrance to an average citizen in his everyday
existence. Moreover, apart from requiring huge and expensive
administrative machinery, this multiplicity results in duplication
of effort and leads to conflicting databases. As can be seen from
table 1, none of the existing systems has the potential to cover
the entire population of India.
Voter Id Card Issuing Election Commission
Passport Ministry of External Affairs 40 Million 3.5
IT PAN Card Income Tax Dept.
Ration Card Civil Supplies Dept. 220 Million 19
Population Coverage International Acceptance
714 Million 60%
70 Million 6
Shortcomings
1. Duplication of data when voters migrate. 2. Electoral List is
observed to be 90-95 % accurate.
1. Does not cover population which has lesser financial
capacity
1. No physical Verification prior to issuing cards.
1. Very few in urban areas with higher financial Capacity holds
a ration card. 22 Lack of centralized
Database.
India, one of the fastest growing economies still lacks an
effective strategic framework to directly tackle the high poverty
levels. According to the World Bank figures, India reduced its
poverty from 60% to 42% of population between 1981and 2005. The
same time frame shows poverty reduction in China from 84% to 16%.
This eminent contrast is brought by improper canalization of
government benefits to the households that most deserve these
policy benefits. Even though there is a drastic increase in
government spending from 10.5% to 20% this fiscal year, the food,
fuel and other subsidies need the infrastructure to make sure that
they penetrate and target the aimed beneficiaries and to clear
identify the Below Poverty Line (BPL) families. The complexity of
beneficiary identification for a government policy reaches another
extreme in a nation of 1.2 billion. This leads to improper
identification of the vulnerable groups who need support. The
limited quota of government ration cards, a form of
poverty-assistance, entitles households to take advantages of
government funded subsidies. But the allocation of these cards is
skewed and more often than not leads to their subscription to
well-off families. This Wall Street Journal article cites many
cases advocating this skewness. UID can provide a platform to
address this problem by leveraging the crucial parameter in the
whole poverty assistance process - Identity. The IDs of the
households can have an authentic label making those households
worthy of using the food and fuel subsidies. This model circumvents
the limited ratio cards problem and provides all the BPL families
their due benefits. Although the problem of poverty definition
still persists with different frameworks employed by different
institutions and countries to define it, but whatever is the final
definition, UID project carries a huge scope in providing the
appropriate identification measure. UID project, if implemented
in accordance will be the center to an ecosystem comprising of many
addressed issues and enforced developmental applications. This
project forms a concrete base supporting the infrastructure that
directly addresses the needs of the worst 40% or so population of
India.
Do we really need Unique Identification Numbers?There are claims
and counter claims on the unique identification card to be issued
by the Government of India. By providing a unique identification
(UID) number to all the Indian citizens the ''scheme shall ensure
that various development deliverables reach the poor and needy in
time, shall enable better monitoring and help plug leakages,'' says
the Government of India notification. 1Members of the civil
society, especially human rights groups, say such claims by the
state are suspect. There are people who think that UID scheme is a
naked declaration of war on civil liberties. In early 19th century,
even Mahatma Gandhi had opposed a law similar to UID that used
finger prints of Indians in South Africa as a Black Act. 2The state
says that it will impact on the PDS (Public Distribution System)
and NREGA (National Rural Employment Generation Act) programmes,
and plug leakages and save the government large sums of money. But
the question is whats the percentage of people who benefit from PDS
and NREGA? If the card is primarily for the benefit of these
categories of people why has it been imposed on the rest of the
population? 3The project documents do not speak about other effects
of the project including its potential to be intrusive and
violative of privacy. Since the data of this kind is handled by
multiple persons involved in entering, maintaining and using, it
can be misused to target individuals and groups since the data is
widely available. 4Besides, the project is expected to cost Rs
45,000 crore to the exchequer in the next four
years. Several countries like the US, Australia and the
newly-elected British governments have abandoned UID for reasons of
costs and privacy. If it is too expensive for the US with a
population of 308 million, UK with 61 million people, and Australia
with 21 million people, why does India think it to be a Priority,
though we have 77 percent of poverty-stricken people? Cant we use
our resources better through poverty eradication programmes? 5While
abandoning the project, the UK home secretary explained that they
were abandoning the project because it would otherwise be intrusive
bullying by the state, and that the government intended to be the
servant of the people, and not their master. 6The other reservation
human right groups have voiced is the involvement of firms such as
Ernst & Young and Accenture. They raise further questions about
who will have access to the data, and what that means to the people
of India. The data about citizens should remain with the country
and if corporations possess they may use it to their purposes.
7Constitutionality of this project, including in the matter of
privacy, the relationship between the state and the people,
security and other fundamental rights are raised. What the citizens
are afraid of are issues of privacy, surveillance, profiling,
tracking and convergence, by which those with access to state
power, as well as companies, could collate information about each
individual with the help of the UID number. 8The UID scheme is akin
to allotting prisoner numbers to citizens. It is a project which
may ultimately lead to social control of citizens, a weapon of war,
and for the victimizations of ethnic groups, minorities and
political adversaries. 9The proposed UID legislation authorizes the
creation of a centralized database of unique identification numbers
that will be issued to every resident of India. On the other hand
it has failed to provide for provisions that preclude abuse of such
a database for invading citizens rights to privacy and freedom of
choice by national and
transnational corporations. 10The legislation poses a grave
threat as far as citizens right is concerned. It will damage
citizens sovereignty beyond repair and has the potential to target
select groups through profiling of minorities, political opponents
and ethnic groups if the state decides on doing it. 11The
undemocratic process of UID is the other issue. It was set-up
through a notification of the Government of India. There were no
discussions in civil society at all. In the year and a half of its
inception, the authority has signed MoUs with virtually all states
and Union Territories, LIC, petroleum ministry and many banks. 12In
July, the draft was circulated. The window for public feedback was
two weeks. Despite widespread feedback and calls for making all
feedback public, the authority has not made feedback available. The
bill was listed for introduction in the Lok Sabha 2010 monsoon
session. Why is the whole bill being hurried through? In a
democracy, the public should be informed and consulted, and the
wisdom of the project determined. 13A bill of this kind too needs
to be publicly debated. This is a project that could change the
status of the people in this country, with impacts on our security
and constitutional rights. That is why it is important to examine
the reasons of governments of US, Australia and UK to scrap similar
projects. There needs to be a wide debate prior to enacting the
bill into a law. Will the Government of India at least initiate
that now?
BENEFITS OF ADOPTING UID:The ID is fundamentally being prepared
to identify Indian citizens so that better
security can be provided by identifying illegal immigrants and
terrorists. However, the real power of the ID is in its ability to
provide ease of identity establishment to Indian citizens when
accessing a variety of governmental and private-sector
services.
One Aadhaar = 1 beneficiaryAadhaar is a unique number, and no
resident can have a duplicate number since it is linked to their
individual biometrics; 1Key benefits: - Increase employment
opportunity - Helps in financial inclusion - Prevent from external
threats - Micro payment to poor - Helps in identifying their
residence - helps in proper distribution and communication - help
in proper census.etc 2Convenience: It will make processes like
opening new bank accounts, applying for passport, ration card,
getting a new telephone or internet connection, gas or light
connection, etc. fast and convenient by reducing the paper work,
and making your identification easy. 1Convergence: The same number
may also act as your driving license as well as your electoral
card.
2
Curb Crime: The ID's based on an individual's exhaustive data
including his/her demographic
and biometric details (fingerprints, photograph, iris scan)
stored in the central database. So it can be considered safe enough
to uniquely identify a citizen. Therefore, by implementing this
system: 1Chances for identity theft get reduced. 2Illegal
immigrants and terrorists get identified. 3Other irregularities in
the present system such as the prolification of duplicate PAN Cards
get solved out.
CHAPTER IV
RESEARCH METHODOLOGYResearch methodology is a systematic way,
which consists of series of action steps, necessary to effectively
carry out research and the desired sequencing to these steps. The
marketing research is a process of involves a no. of inter-related
activities, which overlap and do rigidly follow a particular
sequence. It consists of the following steps:1Formulating the
objective of the study 2Designing the methods of data collection
2Selecting the sample plan 3Collecting the data 4Processing and
analyzing the data 5Reporting the findings
RESEARCH DESIGNResearch design specifies the methods and
procedures for conducting a particular study. A research design is
the arrangement of conditions for collection and analysis of the
data in a manner that aims to combine relevance to the research
purpose with economy in procedure. Research design is broadly
classified into three types as: 1 2 3 Exploratory Research Design.
Descriptive Research Design. Causal Research Design.
COLLECTION OF DATA:
The collection of data means collecting data from different
sources for various purposes using different kind of method and
techniques for analyzing the required information. There are two
types of data collection techniques: 1 2 Primary Data Secondary
data
PRIMARY DATA:Primary data can be collected through
questionnaire. The questionnaire can be classified into four main
types. 1 2 3 4 Structured non disguised questionnaire Structured
disguised questionnaire. Non structured non disguised questionnaire
Non structured disguised questionnaire.
SECONDARY DATA:Secondary data means data that are already
available the researcher refer the data which are already been
collected and analyzed by someone else. When the researcher prefer
secondary data, than he has to look into various sources from where
he can obtain them. Secondary data may either be published data or
unpublished data. Usually published data are available in: 1 2
Various publications of the central, state and local government;
Various publications of foreign government or of international
bodies and their subsidiary organizational; 3 Technical and trade
journals;
4 5
Books, magazines and newspapers; Reports and publications of
various associations connected with business san industry, stock
exchanges etc.;
6 7
Reports prepared by research scholars, universities, economists
etc; Public records and statistics, historical document and other
source of published information.
The sources of unpublished data are; Internet, Dairies, letters,
unpublished biographies and autobiographies and also may be
available with scholars and research workers, trade associations,
labor. Etc. In this project I used secondary source of unpublished
data for my research work in UID.
SWOT ANALYSISSWOT analysis is a strategic planning method used
to evaluate the Strengths, Weaknesses, Opportunities, and Threats
involved in a project or in a business venture. It involves
specifying the objective of the business venture or project and
identifying the internal and external factors that are favorable
and unfavorable to achieve that objective. The technique is
credited to Albert Humphrey, who led a convention at Stanford
University in the 1960s and 1970s using data from Fortune 500
companies. A SWOT analysis must first start with defining a desired
end state or objective. A SWOT analysis may be incorporated into
the strategic planning model. Strategic Planning has been the
subject of much research.
Strengths: characteristics of the business or team that give it
an advantage over others in the industry. Weaknesses: are
characteristics that place the firm at a disadvantage relative to
others. Opportunities: external chances to make greater sales or
profits in the environment. Threats: external elements in the
environment that could cause trouble for the business.
SWOT Analysis Framework Environmental Scan / Internal Analysis
/\ Strengths Weaknesses | SWOT Matrix Internal and external
factorsThe aim of any SWOT analysis is to identify the key internal
and external factors that are important to achieving the objective.
These come from within the company's unique value chain. SWOT
analysis groups key pieces of information into two main categories:
Internal factors The strengths and weaknesses internal to the
organization. External factors The opportunities and threats
presented by the external environment to the organization. The
internal factors may be viewed as strengths or weaknesses depending
upon their impact on the organization's objectives. What may
represent strengths with respect to one objective may be weaknesses
for another objective. The factors may include all of the
\ External Analysis /\ Opportunities Threats
4P's; as well as personnel, finance, manufacturing capabilities,
and so on. The external factors may include macroeconomic matters,
technological change, legislation, and sociocultural changes, as
well as changes in the marketplace or competitive position. The
results are often presented in the form of a matrix. SWOT analysis
is just one method of categorization and has its own weaknesses.
For example, it may tend to persuade companies to compile lists
rather than think about what is actually important in achieving
objectives. It also presents the resulting lists uncritically and
without clear prioritization so that, for example, weak
opportunities may appear to balance strong threats. It is prudent
not to eliminate too quickly any candidate SWOT entry. The
importance of individual SWOTs will be revealed by the value of the
strategies it generates. A SWOT item that produces valuable
strategies is important. A SWOT item that generates no strategies
is not important.
STRENGTH OF AADHAARUnique identification project was initially
conceived by the Planning Commission as an initiative that would
provide identification for each resident across the country and
would be used primarily as the basis for efficient delivery of
welfare services. It would also act as a tool for effective
monitoring of various programs and schemes of the Government. The
following report will describe the over all functioning and
implementation of unique identification number in India. 1 The
agency is headed by a chairman, who holds a cabinet rank. The UIDAI
is part of the Planning Commission of India. Nandan Nilekani, a
former co-chairman of
Infosys Technologies, was appointed as the first Chairman of the
authority in June 2009. Ram Sewak Sharma, an IAS Officer of
Jharkhand Government cadre has been appointed as the Director
General and Mission Director of the Authority. He is known for his
best effort in e-Governance project for Jharkhand State and working
as an IT secretary he received a number of awards for best
Information Technology Trends State in India. 5Aadhaar is a
12-digit unique identification number which will be issued by the
Unique Identification Authority of India (UIDAI) to all residents
of the country. Its a step towards putting India in the club of
more than 50 countries around the world that have some form of
national identity cards. These include most of continental Europe
(not the UK), China, Brazil, Japan, Iran, Israel and Indonesia. The
number will be stored in a centralized database and linked to the
basic demographics and biometric information photograph, ten
fingerprints and iris of each individual. The number will be unique
and would be available for online and offline verification and,
hence, will rule out the possibility of duplicate and fake
identities from government as well as various private databases.
6Apart from easy availability, the project will also rule out
frauds by employing Biometric techniques. Biometrics comprises
methods for uniquely recognizing humans based upon intrinsic
physiological or behavioral traits. So far, it is primarily used in
computer science for access control. In some form, the method is
also used For identifying individuals in groups who are under
surveillance. Generally, biometric characteristics are divided into
two main classes: physiological or those based on fingerprints,
face, DNA, palm prints, iris recognition; and behavioral, which can
include anything from gait or voice to typing rhythm. Aadhaar will
use physiological traits fingerprints and iris to issue the unique
identities. The iris recognition is included because the project is
aimed at encompassing every resident, which includes children for
whom fingerprints might not be a reliable identification and people
working at places like fireworks factories and some plantations who
have got their fingerprints rubbed off.
7
Human Resource Development (HRD) ministry of India has taken the
lead in the use of UID scheme. Under a new program, all school
children will be provided an UID so that their progress across
classes can be tracked. This will also help in monitoring the
dropout rate and to control the dropout trend. Additionally, UID
will help to keep a track of students movement across educational
institutions, and their academic records. The mission will be run
in coordination with civil society groups.
8
UID has generated new hope amongst people. Government of India
feels that the system will help to curb corruption involved in its
various rural programmes like Sarva Shiksha Abhiyan, Rural Health
Mission, Bharat Nirman, National Rural Employment Guarantee Scheme
etc. Government also hopes to control the rise of terrorism and
crime in the country with the help of UID scheme.
9UID will not only be resourceful for the State for proper
administration but can be used to achieve diverse goals. These IDs
can also be of use to Insurance companies, Banks and microfinance
institutions, Income tax department, Mobile Service Providers,
Passport offices etc. In this case, UID will be a primary source of
verification and will help in reducing time spent in verification
process. The scheme can also be used to control the menace of fake
credentials and identity cards such as Ration card, voter ID card
etc. In case of UID, magnetic flash memory chip will be used to
secure the true information about the card holder which may not be
easily duplicated. UID can also be used to contain illegal
migration in the country from the borders.
WEAKNESS OF AADHAARThe main criticism of the UID is based on
privacy concerns. The project is criticized because, unlike Western
countries, India is not known for stringent data protection laws
and the opposing group fears data theft and selling of the vital
information to a third party by corrupt officials. Apart from this,
they argue, its an individuals right
to protect his or her privacy from any unlawful interference,
even by the state. Article 21 of the Constitution, the Hindu
Marriage Act, the Copyright Act, Juvenile Justice (Care and
Protection of Children) Act, 2000 and the Code of Criminal
Procedure all place some form of restrictions on the release of
personal information. (1) Legal Framework: The UIDAI would be set
up under a statutory authority. The UIDAI is in the process of
drafting legislation for this purpose. In the absence of a
Constitutionally Sound Legislation empowering UIDAI to perform the
mandated functions, all act and actions of UIDAI would be
Unconstitutional and illegal. Till now, UIDAI is Not Legally
Constituted. As a natural consequence, all the acts of UIDAI as
well as expenditure incurred by it or for its purpose and on its
behalf cannot be Justified by any statutory law or Constitutional
provision and the same can be challenged through a RTI application
as well as in a court of law. (2) Privacy Protection: The first and
foremost evil of UID/UIDAI without a proper legal framework is that
it would violate the Right to Privacy as conferred under Article 21
of the Constitution. In the absence of just and reasonable law(s)
to support the same, it would violate the Human Rights and
Fundamental Rights of the citizens of India. The interaction of
Information and Communication Technology (ICT) with Human Rights is
no more a science fiction and India must keep in mind the mandates
of Human Rights Protection in Cyberspace while implementing
projects that have no legal sanction and backing. (3) Data
Protection: The Data Protection requirements would pose big
challenge before India. The amount of data collected for by UIDAI
would be tremendous. Presently, India does not have either a legal
framework or technical capabilities to accommodate the demands of
the proposed functions of UIDAI.
(4) E-Surveillance: In the absence of a constitutionally sound
legislation and transparency and accountability. The main aim of
the proposed UID Project seems to be to strengthen the
E-Surveillance Capabilities of India. With the passage of IT Act
2008 India has now officially become an endemic e-surveillance
society. The amendments have provided unregulated, unconstitutional
and arbitrary e-surveillance powers to Government of India and its
agencies and instrumentalities. The fact is that India has become
an E-Police State, as analyzed by the ICT Trends of India 2009.
This was also one of the main concerns while denying approval to
the National Intelligence Grid (NATGRID) Project of India. The
suggestions of Mr. Praveen Dalal regarding privacy protection and
prevention of potential misuse of information for political ends
gathered through NATGRID were accepted by the Cabinet Committee on
Security (CCS) of India. In the end, the CCS withheld its nod and
asked the Home Ministry to come back after further consultation
with all stakeholders. Similar, fate can happen to UID/UIDAI unless
it/they come up with constitutionally sound legislation in their
favors before starting this much needed project. (5) Cyber
Security: Cyber Security in India has never been given a national
level priority. As a result we do not have a very robust cyber
security infrastructure in India. The UID/UIDAI would collect
tremendous Information and Database that would be next to
impossible to protect in the absence of effective cyber security
capabilities of India. Crucial information and data may be stolen
by crackers and identity thieves. Till now UID/UIDAI has not shown
any progress in this regard.
(6) Data Leakage and Breaches: The cyber security and data
security nightmare of UID/UIDAI has already started haunting them.
The confidential working paper titled
"Creating a Unique Identity Number for Every Resident in India"
leaked on the Wikileaks. The leaked document also admitted that the
"UID Database will be susceptible to attacks and leaks at various
levels". If the confidential documents of the project itself are
susceptible to leakages and breaches, we cannot expect
Confidentiality of the sensitive information and data proposed to
be collected by UID/UIDAI. (7) Mutual Disharmony: There is also a
mutual disharmony among various
authorities dealing with UID/UIDAI. For instance, the Cabinet
Secretary KM Chandrasekhar has opposed the use of iris recognition
(IR) test as a part of UID project. Claiming the test has a useless
expenditure, Chandrasekhar also requested Prime Minister ManMohan
Singh to omit it as the third tool for the UID project.
OPPURTUNITY OF AADHAARThe primary purpose of creating and
allocating the UID/ Citizen ID is two fold: Identification of
Citizens (also legal migrants, if applicable) against the illegal
migrants into the Country Using UID for passing-on social and/or
economical benefits under various schemes of GoI (Government of
India) to the entitled citizens/ beneficiaries This can further
help identifying Citizens Vs legal migrants on term basis Vs
illegal Migrants For some, it might be patriotic reason to hold
National-id. In small way, we need to Value and respect the
emotions of them. Government can also, in a small way, track their
citizens in terms of their socioeconomic Patterns like Taxation.
Citizens can use UID to avail various benefits like healthcare,
banking and financial transactions, availing utility services. In
the current context, UID of residents (Citizen Vs Legal Migrants Vs
Illegal Migrants) has become more significant & relevant.
Lately, there have been series of
challenges being faced by India like Border security, internal
security, Terrorism, socio-economic benefits to entitled Citizens
by Government of India under various schemes, exercising
constitutional right like right to vote; hence, the identification
of citizen has become most significant to effective manage all such
acts. KYC (Know Your Customer) Challenges - Banks follow customer
identification procedures while opening new accounts to minify the
risk of fraud and money laundering. UID with its authentication and
KYR (Know Your Resident) standards will not only bring down the KYC
costs for the banks but also reduce the documentation the poor are
required to produce to open an account. Limited Accessibility &
High Costs to Poor - Indian banks cater to only 5% of the villages.
In this scenario, should an individual from a bank less village
need to make a transaction, he will need to pay the cost of this
financial distance in terms of his travel expense and the loss of
daily wages. UID's clear authentication will allow the banks to
network with local BCs (Business Correspondents) through which
customers will be able to make transactions. Technology for
electronic transactions can be employed by the banks to remotely
authenticate the customers thus reducing average cost per
transaction. It will also decrease the customers' dependence on
cash by allowing individual transactions with each other as well as
with firms outside the village. Multiple local BCs will provide a
choice to the customers. High costs to Banks - UID will mitigate
the high customer acquisition costs, high transactions costs and
other fixed costs that are faced in bringing financial services to
the poor. This can be achieved through high volume low cost
approach.
Intelligent local social networking kiosks: These could be touch
screen-based kiosks where in you can go and register biometrically.
An application of this is when
you go to visit (either for personal or official work) a
different city or area other than your usual city or area. In that
case, you can register yourself at these kiosks and it will tell
you, based on your personal profile, where you can find
restaurants, entertainment, places to visit, the addresses of your
relatives, shopping options based on your choice and level of
Privacy to be revealed. This would be a most disruptive technology
for the now ubiquitous mobile phone. Multi-User Touch Screen Phone
Panels (MUTSPP): Here you may have a personal mobile phone profile
in the cloud (as in cloud computing). Whenever you want to access
your mobile phone, you can visit a touch-screen phone panel and
login with the UID (either with a card or biometrically). If
authenticated, then your profile as a phone user would be available
on the touch screen phone panel and you would be able to access
your mobile phone. This would minimize the need to carry the mobile
phone all the time or alternatively also increase the access to the
phone even when the physical handset is not with you physically.
Modern day 911 panel: This panel, using the UID biometrically,
helps those in a disaster on the highway, find children who are
missing by training them to identify themselves at the nearest UID
based 911 panel, tracing criminals on the run (by placing 911 type
panels secretively at key locations). UID-based payment systems:
These systems can access your bank accounts based on the voluntary
use of your UID biometrically, to enable payments either in case of
emergencies or as a safer means of carrying your finances with you
while on the go (as compared to debit cards, credit cards and cash
which can be lost or stolen). Green tax credits: With the single
source of identification that UID is expected to provide, it
becomes possible to introduce tax rebates at individual levels for
those citizens who support the various environment and green
initiatives. This could be in the form of Purchasing
environment-friendly products, using facilities or resources that
are renewable or sustainable. Citizens can register their
contribution to the environment or green initiative using their UID
biometrically and avail of the various rebates and
benefits under the environment and green initiatives. UID for
corporations: Once the UID framework and infrastructure is in
place, there is even the possibility of spawning a UID framework
for the various public and private corporations. This can spawn off
another string of applications to track financial irregularities,
carbon emissions, carbon credits, corporate social responsibilities
and other issues of interest at the macro-economic and macro-social
levels.
TREATS OF AADHAARThere have been series of initiatives tried in
the past to allocate UID for each Citizen. These initiatives and
pilots have been undertaken by different agencies & bodies,
using multiple tools & technologies, with varied objectives
& purposes, basis different databases, all these initiatives
have not been conclusive as they were conceived and perceived with
limited scope, perspective, and objective. Also possibly these
initiatives were undertaken with select leadership support and
commitment of individuals. Government of India has
