Identity Usage in Service Delivery
From the advent of modern governance and structured commerce, both public and private service agencies across the country typically require proof of identity before providing services to individuals. Every resident in India from rich to poor has to go through identity and service entitlement establishment in day to day life, be it opening a bank account, withdrawing or depositing money, getting a ration card, receiving pension, or during travel.
What is Identity and How it is Used
For any service agency, establishing both identity and service entitlement of the beneficiary is necessary. Though individual identity should be unique and independent of services availed, entitlement is very specific for the service availed and has to be established by each service agency separately. For example creation of a ration card involves individual identity (name, address) verification andration entitlement identification (BPL, APL).
Benefits of Aadhaar Card
unique number, unique identity
opening Bank Account
Gas cylinder connection
Mobile number connection
Applying for new Passport
Making PAN card
Identity for booking railway, air ticket
other online services & more..
Typically an individual identity is defined in terms of demographic attributes namely name, gender, age and address.
But demographic data alone cannot guarantee uniqueness. Unique Identity is possible by linking demographic attributes
with biometric attributes like fingerprint and iris patterns
of the individual.
With recent advancement in technology, it is now possible to create a digital unique identity for an individual in a large population using biometric attributes (fingerprint and iris) which can be verified online. Each unique identity can be assigned multiple identity tokens of various kinds (What the user known-PIN, What the user has - mobile/OTP, Who the user is fingerprint, iris) which can be used appropriately for authentication as per the business need of service rendered.
Creation and usage of a national unique identitywhich is digital and verifiable online, can address the current challenges faced in identity establishmentby service agencies.Following are the key benefits:
Availability of portable(works anywhere in India) identity, verifiable online
• Removal of duplicateandfake identities plugging leakages ofwelfare benefits.
• Authenticate the individual always as the same and unique person, anywhere and anytime ensuring rightful claimant gets service or benefit.
• Higher scalability of services with online authentication, allowing the service agencies to use multiple channels for service delivery.
• Reduced beneficiary harassment and rent seeking due to reduced dependency on manual processes.
• More efficient service delivery processandreduced cost of identity establishment. • No need to submit physical copies of identity documents. Reduced risk of identity theft associated withphysical documents usage.
•Electronic audit trail can be created allowing service agencies to audit their service delivery processmore effectively.
Going digital and online in Indian context has always proven to increase access, convenience and
transparency to the common man. Banking and railway reservation are the best two examples.
Banking moved from specific branch only to anywhere banking through any branch, internet, ATM,
phone. Similarly people can nowreserve rail tickets through various channels (any railway reservation
centre, internet, mobile). Though banking, railway reservation and other similar systems have
benefited immensely by going digital and online; they still face challenges in proving the unique
identity for an individual.
Availability of a unique identity for each resident of India is highly relevant for Indian context today. As discussed above, service agencies are currently facing challenges in termsof service deliverywhich can be addressed effectively by such an identity. Aadhaar program by providing a national unique identity toeach residentwhich is digitalandverifiable online is aiming toachieve that.
In addition, combining Aadhaar with the existing banking industry initiatives (microATM, business correspondent model, mobile banking) not only provides us the opportunity of making financial inclusion a reality but also allows us to potentially convert financial inclusion from social obligation to viable business opportunity.
Aadhaar combined with a bank account and a mobile phone can act as three foundation pillars which can be leveraged by service agencies (public and private alike) to open up new developmental and growthavenues for residents.