Aadhaar number mandatory for availing of govt subsidies and benefits

Under Section 7 of the Aadhaar Act, a person not assigned an Aadhaar number "shall be offered alternative and viable means of identification for delivery of the subsidy, benefit or service"

The Unique Identification Authority of India (UIDAI) has now made it compulsory to have an Aadhaar number on the enrolment slip in order to avail of government subsidies and benefits.

The move was announced by UIDAI on August 11, 2022, in a series of circulars. The circulars, which were marked to all state governments and central ministries, states that "as on June 30, 2022, more than 99% of adult residents of India have been issued Aadhaar numbers barring a few states." It also added that Aadhaar has significantly improved the quality of resident/citizen experience in receiving welfare services".

According to Section 7 of the Aadhaar Act, a person who hasn't been assigned an Aadhaar number “shall be offered alternative and viable means of identification for delivery of the subsidy, benefit or service."

According to the circular, an Aadhaar number holder is required to undergo authentication or furnish a proof of possession of Aadhaar number, in order to avail of the subsidies and benefits. 

The UIDAI has previously offered the facility of Virtual Identifier (VID) to citizens. VID is a temporary and revocable 16-digit random number which is mapped with the Aadhaar number. Virtual Identifier can be used in place of Aadhar number for e-KYC services and authentication. According to the latest circular released by the UIDAI, authentication using VID may be made by the government entities. It (VID) also provides a sense of security and privacy to the Aadhaar number holder concerned. 

Each individual has a unique 12-digit Aadhaar number which is allotted to the residents on successful verification of biometric and demographic details. It can be used for online and offline verification and provides uniformity in terms of verification. The Govt of India has come up with Direct Benefits Transfer (DBT) scheme to reduce the role of middlemen and to ensure that people belonging to the lower economic strata get subsidies and other benefits directly in their bank accounts. The central govt provides subsidy to the citizens under various schemes; people have to apply for these if they are eligible.