Nilekani addresses fears on security and privacy aspects of UID

According to Unique Identification Authority of India chairman Nandan Nilekani, the Unique Identification System incorporates an inbuilt security and privacy component that ensures that the data from the data bank cannot be accessed except on specific grounds like national security. He added that the UID data base can not be read for any purpose other than authentication and the security precludes its easy access.

Nilekani was speaking at the launch of the Forum for Revitalising of Public Services (FRPS) today in Bangalore. The forum is a collaborative effort between National Academy of Customs and Excise and Narcotics and The Direct Taxes Regional Training Institute (DTRTI).

The project, aims to provide every Indian citizen a unique identity number and is expected to be rolled out shortly to help the government deliver welfare schemes, boost financial inclusion and enable other service providers like banks, insurance companies and others tap the system for authentication purposes.

He said the UID could also help establish micro ATMs as part of the government's objective to promote financial inclusion. With the UID a grocery store in a village could help a beneficiary of the welfare scheme withdraw cash by simply providing the UID number.

The store could help authenticate the beneficiary through the UID number and thus allow micro ATMs to be set up everywhere to serve consumers even in remote places.

"It could give acknowledged existence to those currently out of the system", he said in an allusion to thousands of homeless people or those who do not possess birth certificates or other proof of identity.