The Cabinet on Wednesday approved changes to Aadhaar and Other Laws (Amendment) Bill 2019 that incorporates a clause to allow use of Aadhaar data for state schemes and subsidies.
The amendment to the Aadhaar Act entails use of India’s nationalbiometric ID by states governments for their schemes that are funded throughthe ‘Consolidated Fund of the State’.
“The states had demanded (this). As per Supreme Courtorder, Aadhaar is allowed where the funds are going for beneficiary schemes comingstraight from the central government. It will enable the use…The waysubsidies to the central schemes are transferred from the central fund, Aadhaarcan be used for transferring state subsidies,” Information andBroadcasting Minister Prakash Javadekar told reporters while briefing about theCabinet decisions.
Earlier this month, Parliament had approved amendments tothe Aadhaar and other laws to allow voluntary use of the 12-digit unique numberas ID proof for obtaining mobile phone SIM cards and opening bank accounts. Thegovernment also inserted a new clause allowing the use of Aadhaar data bystates for implementation of their schemes.
A government official, who did not wish to be named,explained that since the particular clause was included after the Bill wasintroduced in Parliament, the Cabinet nod is in the nature of a ‘post facto’approval.
According to the Aadhaar and Other Laws (Amendment) Bill,2019 – posted by the Lok Sabha after its passage in the house – a new section5A was inserted.”In section 7 of the principal Act, afterthe words ‘the Consolidated Fund of India’, the words ‘or the Consolidated Fundof State’.