Virtual ID system in operation: UIDAI

The UIDAI on Saturday said virtual ID mechanism that can be used in lieu of Aadhaar number for identity verification is now "operational" with its various authentication agencies.

The authority, which issues 12-digit identifier, however, said banks would have time until August 31 to deploy the new feature.

In January this year, the Unique Identification Authority of India (UIDAI) announced plans to introduce virtual ID (VID) feature which an Aadhaar-card holder can generate from its website and produce for various authentication purposes, instead of sharing the actual 12-digit biometric ID.

The VID feature aims at strengthening the privacy and security of Aadhaar data, given increasing concerns over collection of personal and demographic details of individuals.

In a statement on Saturday, UIDAI said virtual ID (VID) system is operational with authentication user agencies (AUAs) which have migrated to VID and UID token using the software (Auth API 2.5 and e-KYC API 2.5) that supports new VID capability.

The body has also classified all authentication agencies registered with it into two heads — global or local. Banks have been categorised as global AUAs (authentication user agency), and telecom companies amongst local AUAs for the purpose of authentication and KYC entitlement.

According to the norms laid down by the UIDAI, global AUAs will be allowed access to complete KYC with Aadhaar number, and the entities classified as local AUAs will have limited access to KYC details of customers.

According to UIDAI release, the telecom companies and e-sign companies, which may not have implemented the VID system from tomorrow shall be charged Rs 0.20 for every transaction performed thereafter, a sort of ‘disincentive’.

However, in case they are able to fully migrate to the new platform by July 31, the entire “authentication transaction charges imposed for the above said period of July 1-31, 2018, shall be waived”.

A UIDAI official explained, that this will nudge such companies to expedite the migration process to VID.

“Also, for all other the AUAs including banks but other than those mentioned above (telecom operators and E-sign service providers), it has been decided that they shall migrate to VID and UID Token...by 31st August 2018,” the UIDAI statement said.