Aadhaar authentication for withdrawing subsidy to continue: UIDAI
NEW DELHI: Aadhaar-issuing authority UIDAI said that beneficiaries can continue to withdraw LPG subsidy and other government payments using Aadhaar authentication from micro-ATMs at their doorstep.
Legal opinion on the Supreme Court verdict that restricted the use of the national biometric ID Aadhaar has stated that banks can continue with Aadhaar Enabled Payment System (AEPS) facility uninterruptedly to help beneficiaries of government schemes withdraw their entitlement smoothly at their doorsteps.
AEPS is a payment service developed by the National Payments Corporation of India (NPCI) allowing banks, financial institutions to use ‘Aadhaar’ number and online UIDAI authentication for transactions through their respective business correspondent service centres.
The AEPS allows transactions using Aadhaar and biometric authentication and enables a person to carry out the financial transaction on a micro-ATM provided by a banking correspondent at the doorstep of beneficiaries.
“Following the legal opinion, UIDAI has asked banks to continue with AEPS facility uninterrupted as this mode of withdrawal is a part of Direct Benefit Transfer (DBT) scheme where the use of Aadhaar is permissible,” UIDAI said in a statement here.
As per the verdict of the Supreme Court, Aadhaar can be used in direct benefit transfer schemes under Section 7 of the Aadhaar Act.
“AEPS is of great help to beneficiaries who live in remote villages. Almost 14 crore beneficiaries under Pahal and Ujjawala scheme receive gas cylinder subsidy in their bank accounts every month,” it said. (PTI)