Lok Sabha Question No. 294 (STARRED), answered on 2019-01-01
Subject: Aadhaar Based Biometric Authentication
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: VINOD KUMAR BOIANAPALLI

## GOVERNMENT OF INDIA

## MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

## LOK SABHA

STARRED QUESTION NO.

294

TO BE ANSWERED ON 01 JANUARY, 2019

## AADHAAR BASED BIOMETRIC AUTHENTICATION

*294. SHRI B. VINOD KUMAR:

Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k ea=h be pleased to state:

- (a) whether the Government has conducted or is aware of any study on the impact  of  Aadhaar  Based  Biometric Authentication  (ABBA)  on  public distribution system and if so, the details thereof;
- (b) whether  the  Government  has recognised  that  ABBA  has  in  many cases led to increased hassles for the poor such as repeated trips, longer queues and in some cases even deaths;
- (c) if  so ,  the  reasons  for  insisting  on ABBA despite large social costs associated with  it  and  the  steps  proposed  by  the Government to  provide relief to the beneficiaries; and
- (d) whether  the  Government  has considered  the  technology  of  Smart Cards for disbursal like in Tamil Nadu, if so, the details thereof and if not, the reasons for not using Smart Cards?

A N S W E R MINISTER OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION (SHRI RAMVILAS PASWAN)

(a) & (d): A statement is laid on the Table of the House.

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STATEMENT REFERRED TO IN REPLY TO PARTS (a) to (d) OF THE STARRED QUESTION NO. *294 DUE FOR ANSWER ON 01.01.2019 IN THE LOK SABHA

(a) to (d): So far no study has been conducted on the impact of Aadhaar based biometric  authentication  (ABBA)  on  Public  Distribution  System  (PDS). The National Food Security Act 2013 (NFSA) inter-alia provides for undertaking reforms by application of information and communication technology  tools  including  end-to-end  computerization  in  order  to  ensure transparent  recording  of  transactions  at  all  levels,  and  to  prevent  diversion and leverage of 'Aadhaar' for unique identification with biometric information of entitled beneficiaries for proper targeting of benefits under the Act.

With  an  aim  to  improve  the  efficiency  and  effectiveness  of  the  Public Distribution System (PDS) and to address the challenges such as leakages and diversion of foodgrains, elimination of fake and bogus ration cards etc., this Department in collaboration with all States/UTs is implementing a scheme on 'End-to-End Computerization of PDS Operations' including automation of Fair Price Shops (FPSs) for biometric authentication of beneficiaries.

During  the  last  one  year,  the  number  of  monthly  biometric/Aadhaar authenticated  transactions  in  PDS  has  increased  from  nearly  4  crore  in October 2017 to about 8 crore in October 2018. Further, only about 33% ration card holders (about 8 Crore out of nearly 23 Crore ration cards under NFSA) are presently getting the foodgrains after Aadhaar based biometric authentication distribution.

The Hon'ble Supreme Court of India in its order dated 26/09/2018 has held that  -  'it  becomes  compulsory  for  those  who  seeks  to  receive  any  subsidy, benefit or service under the welfare scheme of the Government expenditure whereof  is  to  be  met  from  the  Consolidated  Fund  of  India.  It  follows  that authentication under Section 7 would be required as a condition for receipt of a subsidy, benefit or service only when such a subsidy, benefit or service is taken care of by Consolidated Fund of  India.  An added requirement is that such  individual  would  undergo  authentication  at  the  time  of  receiving  such benefits  etc'.  However,  the  Hon'ble  court  has  also  held  that  -  'no  genuine beneficiary would be denied of any subsidy due to failure of authentication'. Accordingly,  this  Department  has  directed  all  State/UT  Governments  to ensure, that owing to failure of biometric/Aadhaar authentication, no genuine beneficiary  shall  be  denied  the  foodgrains  entitled  under  the  PDS,  and  to ensure this, exception mechanisms have also been provided for.

The  Government  had  already  earlier  piloted  a  Smart  Cards  scheme  for delivery of essential commodities under TPDS in Union Territory of Chandigarh and Haryana State during the years 2008-09 and 2009-10. The pilot scheme was later subsumed under the scheme on End-to-End Computerization of TPDS operations.

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