Social Inclusion through

UID

Unique Identification Authority of

India

www.uidai.gov.in

March 01, 2011

AgendaAgenda

• Context of UIDs and Mandate of UIDAI

• Features of UIDs (Aadhaar)

• Implementation Approach

• Status of Implementation• Status of Implementation

• Service Delivery Potential of Aadhaar

• Some Application Examples

Context of UIDs in IndiaContext of UIDs in India

• Provision of a robust, reusable ID to those

who do not have any ID papers

• Cleaning up existing databases through

Uniqueness : No duplicates or fakesUniqueness : No duplicates or fakes

• Improve Targeting and Delivery of Services

• Reducing the cost of Services’ Delivery

UIDAI’s MandateUIDAI’s Mandate

• To provide Unique ID Number to all Residents

• Guarantee Uniqueness through Biometric de-

duplication

• Provide online, cost-effective, ubiquitous • Provide online, cost-effective, ubiquitous

authentication services across country

• Define usage and applications of UID for

delivery of various services

Features of UIDs

Only Numbers – No Cards

Random Numbers – No Intelligence

Standard Attributes – No Profiling

All Residents – Including Children

Flexibility to Partners

Features Contd….

No Guarantees to Rights, Citizenship, Entitlements

Uniqueness – Ensured through biometric attributes

De-novo creation of databaseDe-novo creation of database

Ubiquitous Authentication – anytime any where

Ensuring Security and Privacy of Information

UIDAI will issue unique IDs …UIDAI will issue unique IDs …UID � Unique number � Random number

Basic demographic data and

biometrics stored centrally

Standardized identity attributes

Name

Parents

Gender

DoB

Address

Property of UIDAI - Highly confidential7

UID = 1568 3647 4958 UID = 1568 3647 4958

Central UID database

Standardized identity attributes

No duplicates(1:N check)

Flexibility to partners on Know

Your Resident (KYR)+

… and authenticate IDs online, real… and authenticate IDs online, real--timetime

Authentication - ‘Are you

who you claim to be?’

Property of UIDAI - Highly confidential 9

UID = 1568 3647 4958UID = 1568 3647 4958

Central UID database

1:1 check, no ID fraud

Only YES/NO response, no details – no invasion of privacy

Person can see self-details, no one else can

UIDAI will only enroll through RegistrarsUIDAI will only enroll through RegistrarsD

ata

flo

w

10

Various registrars in the country can enroll residents

Working closely with RGI to leverage NPR initiative

UIDAI empanelled enrolment agencies can be used

Da

ta f

low

Uniformity across systemUniformity across system

Enrol.

process

www.uidai.gov.in11

UID-ready Registrar systemStandards for universality

Biometrics KYR norms

Data fields

Quality is our over-arching goal

Device Certification

Process Standardization

Quality

StandardsManpower

Certification

National Launch of AadhaarNational Launch of Aadhaar

13

Aadhaar launched by PM and UPA Chairperson on September 29, 2010

in Nandurbar district, Maharashtra

Enrolment ProgressEnrolment Progress

• Nine States/UTs : Maharashtra, Andhra Pradesh,

Madhya Pradesh, Karnataka

Jharkhand, Tripura, Delhi, Chhattisgarh, HP

• Financial Institutions like LIC, Banks• Financial Institutions like LIC, Banks

• India Post, NSDL to start soon

• More than two million Aadhaar numbers issued.

• Current rate of enrolments ~ 50,000 per-day. Will

soon reach @ 1 million per-day

Service Delivery Potential of Service Delivery Potential of

Aadhaar Number: UniquenessAadhaar Number: Uniqueness• Uniqueness and Existence ensures no fakes or

duplicates

• Uniqueness ensures breaking of database silos

• As a sufficient KYC for Opening of bank accounts and • As a sufficient KYC for Opening of bank accounts and

other financial products – DoR’s notification of 16th

December

• Has become sufficient KYC for obtaining new phone

connections– DoT Notification of 14th January 2011

• States requested for similar notifications

Service Delivery potential due to Service Delivery potential due to

AuthenticationAuthentication• All transactions start with proving your identity

• Aadhaar online authentication will provide a common

platform which can be used across all applications.

• Entitlements should reach the intended beneficiary –• Entitlements should reach the intended beneficiary –

non-transferability to be ensured

• This can be effectively done by authentication at the

point of service delivery

• Many domains will be able to use as a proof of

presence for the beneficiary

Aadhaar Authentication Aadhaar Authentication

• Authentication will enable Improvements in

efficiency and transparency in service delivery

– Tracking end to end service delivery process

– Move service delivery towards a demand driven – Move service delivery towards a demand driven

beneficiary led system

– Strengthen existing accountability/vigilance

procedures

– Access to relevant MIS and empowerment of

beneficiaries

Who can use Aadhaar?

• NREGA, RSBY, other schemes

• PAN, Passport, EPIC, other cards

• Railways, Postal, Income Tax, other departments

Central Government

• PDS, SSA, other schemes

• Education, Healthcare, other programsState Govt

• Municipal Governance, Utilities

• Insurance – LIC

• Energy – Oil Marketing Companies

• Banking – SBI, Central Bank, other banks

Public Sector

• Telecom

• Microfinance

• Insurance, Manufacturing, Unorganized Labour, etc.

Private Sector

Types of Usage

• Subscription to a New Service, ProductKYC,

Database Cleanup

• Money Transfers, Consumer BankingTransactions • Money Transfers, Consumer Banking

• Attendance/Presence, Access to Locations

Presence, Access Control

• Social Security Number type of linkingAadhaar as a

Unique ID

Aadhaar-enabled Financial

InclusionInclusion

Extent of Financial ExclusionExtent of Financial Exclusion

• Only 30,000 habitations have banks (5%)

• Only 40% Population have bank accounts

• Life Insurance Cover < 10%; Non-life Insurance Cover .6%

• Debit Cards 13%; Credit Cards 2%

• Financial inclusion by state:• Financial inclusion by state:

– Most financially included: Himachal Pradesh (45%)

– Least financially included: Bihar (10%)

• Financial inclusion by gender in rural areas:

– Women : 6% ; Men: 28%

• Urban vs. rural financial inclusion

– Urban: 32% ; Rural: 18%

21

No Frills AccountBusiness Mobile Banking

Solution Components already exist , Aadhaar is the glue

No Frills AccountBusiness

Correspondents

Mobile Banking

Inter-bank Payment Switch Any Account, Anywhere Technology

Mobile Phone Use

4. Authenticate

Convenient cash withdrawal

ResidentRam’s bank account

Interoperable Switch

1. Withdrawal request

6. Debit

8. Inform: Call / SMS

9. Cash

5. Authorize

4. Authenticate

2. AADHAAR number, money

transfer instruction, biometrics

BC with Micro-ATMBC’s bank account

Interoperable Switch

3. Forward to switch 7. Credit

UIDAI

This means…This means…

• All the cash entitlements could be channeled

through Aadhaar enabled bank accounts.

Examples are: MNREGA wages, Scholarships,

Pensions, JSY, Disability Pensions etc

• This will improve viability of these accounts

• This has the potential to transform the

delivery of basic banking services at low costs

at the village level . Effectively replicating

business model of mobile phones. Aadhaar

Payments Bridge

Aadhaar-enabled PDS

ProcurementStorage

Distribution

Reform points in the PDSReform points in the PDS

ProcurementStorage

and transitDistribution

26

Procurement and TransitProcurement and Transit

• Traders benefits if the MSP is higher than the

market price

• Aadhaar can ensure that only registered

farmers are able to sellfarmers are able to sell

• Money transfer can take place directly to the

Aadhaar-enabled bank accounts

• Aadhaar-based Authentication can effectively

track movements

OffOff--take from Fair price shop take from Fair price shop

• Clean beneficiary list : ensures no fakes/duplicates

• Authentication at the time of off-take results in

– Transparency

– Accountability

– Effective Inventory control : FPS is also a point of

inventory control now

– Off-take based replenishments

• Possible to make demand-based supply chain

• Enables various delivery models

Other Potential Application areasOther Potential Application areas

• MNREGA – Beneficiary List, Attendance,

Payments : PoC being done in Jharkhand

• Scholarships, Pensions, JSY and other

entitlements : identifications and paymentsentitlements : identifications and payments

• Child Tracking for Education, Health, mid-day

meals

• Mobile KYC – convenience and reduction of cost

• Delivery of various financial products for the poor

Health & Aadhaar

Possible Interventions

Target BeneficiariesTarget Beneficiaries

• Expectant & Nursing Mothers (covered under

Janani Suraksha Yojana - JSY)

• <3 years children (covered under Integrated

Child Development Services - ICDS)Child Development Services - ICDS)

• 3 – 6 years children (covered under Integrated

Child Development Services - ICDS)

• 11 to 18 years girls (covered under Kishori

Shakti Yojana – part of ICDS)

GrassGrass--root level service providersroot level service providers

• ASHA workers

• Anganwadi workers (AWW)

• Anganwadi helpers (AWH)

• Auxiliary Nurse Midwife (ANM)• Auxiliary Nurse Midwife (ANM)

• Medical Officers (MO)

Expectant & Nursing MothersExpectant & Nursing Mothers

Registration of Beneficiary – JSY Card

Antenatal Checkups

Aadhaar Intervention

for Beneficiary

Aadhaar Intervention

for Service Provider

1. Embed Aadhaar no. in

JSY Card

2. Authentication after

every checkup

1. ASHA worker’s &

ANM’s authentication

2. ASHA worker’s & MO’s

authentication

3. ASHA worker’s & MO’s Delivery at Health

Centre

All Cash Disbursals

Neonatal checkup

3. Authentication after

delivery

4. Authentication before

and after receiving cash

5. Authentication after

checkup

3. ASHA worker’s & MO’s

authentication after

delivery

4. Authentication after

receiving cash

5. ASHA worker’s & MO’s

authentication after

checkup

Children below 3 yearsChildren below 3 years

Birth

Immunizations

Aadhaar Intervention

for Beneficiary

Aadhaar Intervention

for Service Provider

1. Enrol for Aadhaar &

embed Aadhaar no. in

birth certificate, health

card

2. Mother’s authentication

after immunization

1. AWA’s & MO’s

authentication after

immunization

Monthly weight & health check-ups

Supplementary nutrition

Referrals, as required

3. Mother’s authentication

after every checkup

4. Authentication before

and after receiving cash

/ ration

5. Mother’s authentication

after checkup

2. AWA’s authentication

after checkup

3. AWA’s & MO’s

authentication after

checkup

Children 3Children 3--6 years6 years

Immunizations

Quarterly weight & health check-ups

Aadhaar Intervention

for Beneficiary

Aadhaar Intervention

for Service Provider

1. Mother’s authentication

after immunization

2. Mother’s authentication

after every checkup

1. AWA’s & MO’s

authentication after

immunization

2. AWA’s authentication

after checkup

Non-formal pre-school education

Cooked meal at AngaanwadiCentre (pre-school)

Referrals, as required

3. Biometric enrolment

when children reach 5

years of age

4. Mother’s / child’s

authentication at pre-

school

5. Mother’s authentication

after checkup

3. AWA’s authentication

(equivalent to teacher’s

attendance)

4. AWA’s & MO’s

authentication after

checkup

Adolescent Girls 11Adolescent Girls 11--18 years18 years

Nutritional & health

education

IFA supplements

Aadhaar Intervention

for Beneficiary

Aadhaar Intervention

for Service Provider

1. Beneficiary’s

authentication as

attendance

2. Biometric re-enrolment

when girls reach 15

years of age

1. AWA’s authentication

(equivalent to teacher’s

attendance)

IFA supplements & deworminginterventions

Vocational training

3. Authentication after

receiving supplements

4. Beneficiary’s

authentication as

attendance

2. AWA’s authentication

(equivalent to teacher’s

attendance)

Aadhaar enabled SSA/educationAadhaar enabled SSA/educationCurrent issues How Aadhaar can address challenges

1 Duplicate/fake beneficiary lists • Aadhaar biometric de-duplication could ensure unique

genuine beneficiaries per school

2 Exclusion of residents without

proper identification documents • Aadhaar will provide identity and address proof

3 Tracking teacher and student

attendance

• Online Aadhaar authentication could help in real-time

confirmation of teacher, student presence in the

classroom

4 Lack of choice and mobility • Aadhaar authentication is not restricted to any one

school providing choice and mobility to the residents school providing choice and mobility to the residents

5 Leakages in scholarships, grants • Aadhaar authentication and FI platform could ensure

guaranteed and targeted delivery of benefit

6 Lack of monitoring student

enrolments/drop-outs

• Aadhaar enabled MIS system can help track students

and performance better

7 Integration with other student-

centric benefit programs

• Can help integrate student-benefit programs such as

ICDS, mid-day meals, bicycle programs, girl child

programs

8 Grievance handling and fraud

analytics

• Aadhaar authentication could enable fast grievance

reporting through mobile or online channels

Aadhaar enabled MNREGAAadhaar enabled MNREGA

Current issues How Aadhaar can address challenges

1 Duplicate/fake beneficiary lists • Aadhaar biometric de-duplication will ensure unique

genuine beneficiaries

2 Exclusion of residents without

proper identification documents

• Aadhaar could provide identity and address proof to

seek job cards

3 Difficulties in demanding work

• Work can be demanded by using Aadhaar

authentication through mobile or kiosk enabling timely

employment or unemployment wages

• Aadhaar authentication could guarantee worker

4 Attendance at work sites

Aadhaar authentication could guarantee worker

presence at work site and improved accountability on

the work supervisor

5 Lack of choice and mobility • Aadhaar authentication is not restricted to any one area

providing choice and mobility to the residents

6 Payments • Aadhaar enabled micropayments platform could help in

efficient payment of wages through microATMs/BCs

7 Grievance handling and fraud

analytics

• Aadhaar auth could enable fast grievance reporting and

resolution through mobile or online channels

Thank YouThank You