UIDAI, led by Nandan Nilekani, former CEO of IT major Infosys, is reported to have demanded an increase in Plan outlay for the `Aadhar' project to Rs18,000 crore, in order to cover the entire population of the country, against the previously-set target of 200 million people.
The current Plan outlay for the `Aadhar' project is about Rs3,023 crore It seems the Plan panel now wants to get back control of oversight over UIDAI, which it had surrendered in November 2009 when it delegated financial powers to the UIDAI.
The Planning Commission is reported to have sought the appointment of independent financial advisors to monitor finances of UIDAI and has suggested an administrative structure that has inbuilt powers to control expenditure.
While the plan panel is questioning the independence of the Nandan Nilekani-led UIDAI, the latter says its powers were derived from the government and orders issued by the Planning Commission itself. Obviously, the plan panel, which is used to bureaucratic ways of functioning, cannot stand an innovative and independent functioning of the UIDAI.
UIDAI director-general R S Sharma, meanwhile, said the authority is dealing directly with the finance secretary owing to a notification issued by the Planning Commission itself. "If it wishes to undo its own notifications or orders, it is free to do so," he added.
Nadan Nilekani, who took over the reins of UIDAI in 2009, enjoys the powers of a secretary in any of the ministries and is entitled to take decisions independently For the Panning Commission, however, the problem is finding money to finance a project whose cost goes on escalating without the project itself moving apace.
Nilekani, however, claims that more than a million people will enroll for unique Aadhaar identity number each day by October, against the 37 million people across the country covered so far.
"The goal is to give 1.2 billion people unique number and that is well on its way. We have already given unique numbers to 37 million people, another 50 million people enrolled and are waiting to get numbers," Nilekani said at a function in New Delhi today.
The UID project has already missed the 30 September deadline for issuing unique identification numbers to all the people in the national capital. So far, only 4.55 million (or 27 per cent) of the capital's population has been enrolled and only 9.5 lakh UID-Aadhaar numbers have been generated. The Delhi government has now set a 2 January 2012 deadline for covering the population of an estimated 16.7 million in the National Capital Region.
The problem is that unlike other state agencies, UIDAI-Aadhaar is dependent solely on private agencies to finish its work. Unless the private agencies engaged for the purpose speed up the process, UIDAI will have to go on extending deadlines.
On top of it, the finance ministry has now extended the terms of reference of the authority to recommend a unified architecture for direct transfer of subsidies to beneficiaries using Aadhaar.
Aadhaar, the most ambitious project of the UPA government, is expected to bring in cashless, all-electronic transactions, using micro-ATMs with a fingerprint reader.
The Indian Institute of Technology-Bombay (IIT-B) at Powai is expected to test the first of the Aadhaar authentication systems with Unique IDs at the end of the current year.