All necessary steps have been taken for introduction of the National Identification Authority of India Bill, 2013 in the winter session of Parliament likely to commence from the 1st week of the next month. The Union Cabinet has already approved the proposal submitted by the Ministry of Planning for moving official amendments to the Bill last month, according to an official release by Planning Commission of India.

The National Identification Authority of India Bill, 2010 was introduced in the Rajya Sabha on 3rd December. The Speaker, Lok Sabha in consultation with the Chairman, Rajya Sabha referred the Bill to the Standing Committee on Finance. The Standing Committee presented the Report to the Lok Sabha and laid it in Rajya Sabha on 13th December 2011.

The UIDAI has been functioning under an executive order issued by the Government in January 2009, establishing UIDAI as an Attached Office of the Planning Commission. The Bill proposes to constitute a statutory authority to be called the National Identification Authority of India and lay down the powers and functions of the Authority, the framework for issuing Aadhaar numbers, defines offences and penalties and matters incidental thereto through an Act of Parliament.

The National Identification Authority of India Bill, 2010, inter alia, seeks to provide, among other things, specific details of the demographic information and biometric information for enrolment for Aadhaar and the processes for their collection and verification. It also aims to provide accurate details of these data collection agencies and ministries, said the release.

The release also stated the issuance of Aadhaar was based on the opinion of the Ministry of Law and Justice and the opinion of the Attorney General of India who had stated that the UIDAI can continue to function under the executive order issued by the Government and there is nothing in the law, or otherwise, which prevents the Authority from functioning under the executive authorization.

The release said that with respect to the concern of the Standing Committee on unauthorised access and misuse of personal information, provisions have been made in the Bill for protection of information.

As regards the apprehension that service/benefits might be denied to individual who do not have Aadhaar, it has been clarified that Aadhaar number is an enabler, with a purpose of effective delivery and benefits by establishing identity of the resident, said the release.

The actual requirement and the use of Aadhaar will be determined by the implementing ministries/agencies.

Among the procedural issues raised against Aadhaar are untested and unreliable technology; global experience of identity projects; high cost; absence of study on financial implication; duplication of effort with National Population Register exercise; and inability to in covering full or near full the marginalised sections. These issues have been answered by planning commission which has said in the release that cost projections for the UIDAI project were approved by the Government of India for total amount of Rs 12,398.22 crore as compared to Rs. 150,000 crore according to some media reports.

The total cumulative expenditure incurred by UIDAI, since inception of the project, is Rs. 3490 crore as on 30th September 2013, said the release.

It pointed out that a Cost-Benefit Analysis of Aadhaar Project conducted by the National Institute of Public Finance and Policy (NIPFP) shows that the Internal Rate of Return (IRR), in real terms, generated by Aadhaar would be 52.85%.

In January 2012, it was decided with the approval of the Cabinet Committee on UIDAI, that NPR and UIDAI enrolments should proceed simultaneously.