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LATEST NEWS UPDATES | Govt slashes UIDAI budget by over 50 per cent

Govt slashes UIDAI budget by over 50 per cent

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published Published on Jul 11, 2010   modified Modified on Jul 11, 2010


Troubles continue for the government's dream project Unique Identification Authority of India (UIDAI). Already battling a staff crunch, its request for Rs 7,000 crore to roll out 60 crore UID numbers in the first phase has been shot down by the Empowered Finance Committee (EFC).

"The EFC is understood to have refused to entertain the request of the UIDAI for Rs 7,000 crore to execute the first phase of the ambitious project and has instead agreed to allocate Rs 3,000 crore, thereby slashing the expenditure by more than half," a senior government official said.

Upset by the less-then-expected allocation, the UIDAI headed by Infosys co-founder Nandan Nilekani is said to have expressed its inability to roll out 60 crore UID numbers and has said it would be able to release only 10 crore. The government is already concerned that the cost of the UIDAI to be borne by the public exchequer would be in the range of Rs 35,000-40,000 crore for the next five years and has argued that its ability to finance such an exercise also needs to be considered.

Earlier, apprehensive of possible duplication of efforts by the authority, the government had constituted a high-level committee comprising top bureaucrats from the Prime Minister's office, home ministry, planning commission and the UIDAI to iron out issues about duplication of methodology and huge costs. The panel would delve into the issues pertaining to possible duplication of efforts especially after the announcement of the National Population Register and the inclusion of iris details in biometric data. "There are concerns that since the NPR is a standardised format, the UIDAI's desire to talk to multiple registrars may result in duplication on a massive scale," the official said.

The NPR would include every resident of the country and is a standardised format. So the need for iris details seems to arise only because the authority is talking to multiple registrars. Since the UIDAI would have a number of registrars and numerous enrollment points, such standardisation was not possible, he argued. The UIDAI has planned to roll out the first set of numbers between August 2010 to February 2011. Over the five years, the it has targeted to issue 600 million UIDs, which would be released through various 'registrar' agencies across the country.


Yahoo.com, 11 July, 2010, http://in.news.yahoo.com/48/20100711/1238/tbs-govt-slashes-uidai-budget-by-over-50.html


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