AAGG Rules 2023: MeitY Proposes Amendment To Aadhaar Rules To Allow 'Any Entity' For Authentication

The Ministry of Electronics and Information Technology (MeitY) has proposed an amendment to the Aadhaar Authentication for Good Governance Rules (AAGG) to allow 'any entity' to undertake Aadhaar authentication. The move is aimed at promoting ease of living for residents and enabling better access to services. The draft amendment was released for consultation on April 20 and is open for public comments.

The proposed amendment states that "any entity other than the Ministry or Department" can prepare a proposal justifying the necessity for Aadhaar authentication and submit it to the concerned ministry or department of the appropriate government. The draft does not clarify whether "any entity" refers only to government bodies such as PSUs or includes private entities as well.

Legal challenges and previous amendments to Aadhaar Act

Although the Aadhaar judgement does not allow authentication of Aadhaar by private parties, experts point out that subsequent amendments to the Act in 2019 do pave the way for the same. However, these amendments are facing a legal challenge.

"Through an amendment enacted in 2019 to the Aadhaar Act, 2016, it was provided under section 4(4) of the Act that entities may be allowed to perform authentication if the UIDAI is satisfied that the requesting entity is compliant with standards of privacy and security specified by regulations and is permitted by law to offer authentication services or seeks authentication for a prescribed purpose," according to the notice by MeitY inviting comments on the draft.

AAGG Rules and criticisms

The AAGG Rules were originally introduced in 2020 by the government to prevent leakage of public funds and promote good governance. However, the rules were criticized for violating the Supreme Court's Aadhaar Judgement and exceeding the limits of the Aadhaar Act.

Assessment of proposals

The new proposed amendments would essentially expand the ambit of entities that can perform Aadhaar authentication from ministries and departments in the Centre and States to others. After an entity submits its proposal to use Aadhaar authentication to the concerned ministry, that particular ministry or department will assess the application and determine whether the reasoning to use such authentication fulfills the provisions of the rules. They will then relay their decision to the UIDAI, who will make a final decision.

ThinkWithNiche News Conclusion

The proposed amendment to the AAGG Rules to allow 'any entity' to undertake Aadhaar authentication is aimed at promoting ease of living for residents and enabling better access to services. However, the draft does not clarify whether private entities will be allowed to perform Aadhaar authentication. The legal challenges to the amendments made in 2019 to the Aadhaar Act may further complicate the matter. The assessment process of proposals for Aadhaar authentication will be done by the concerned ministry, and the final decision will be taken by the UIDAI.