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Centre Says All Welfare Schemes Must Use Aadhaar-based Direct Benefit Transfer, Seeks Detailed Review

The central government has sought a comprehensive review of all welfare schemes implemented by all ministries and departments, and said that all such schemes should be using Aadhaar-based Direct Benefit Transfer (DBT), News18 has learnt.

The move is aimed at ensuring smooth disbursal of benefits to beneficiaries identified under different schemes of the central government while eliminating duplication of data and fake beneficiaries.

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An office memorandum (OM) issued last month by the Cabinet Secretariat — accessed by News18 — stated that it is the endeavour of the government to ensure that all beneficiary-oriented welfare schemes use Aadhaar-based DBT. “Accordingly, Ministries/Departments are requested to comprehensively review all their schemes, both Cash and In-kind, and thereafter on-board the newly-identified schemes on the DBT Portal,” the OM dated June 28 stated.

It further said these schemes will also need to be notified under relevant sections of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016, in consultation with Unique Identification Authority of India (UIDAI).

The Direct Benefit Transfer programme was aimed at bringing transparency through transfer of subsidies directly to the beneficiaries through their bank accounts.

As per latest official data, 313 central sector schemes and centrally sponsored schemes have been put on the DBT Bharat Portal from 53 ministries. There were 70.6 crore beneficiaries (cash) and 74.1 crore beneficiaries (kind) in 2019-20, while in 2020-21, there were 98 crore and 81.9 crore beneficiaries.

Earlier this month, Prime Minister Narendra Modi said that in the past eight years, Rs 23 lakh crore has been transferred to the beneficiaries of the central government schemes through digital payment modes under the DBT mechanism. Last year, he had emphasised on ensuring 100% saturation of all government schemes.

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Transparency in Transfer

Stating that that Aadhaar-based DBT is a good governance reform for targeted delivery of benefits, the Cabinet Secretariat order further said it ensures greater transparency and accountability in public service delivery through effective use of technology.

It said Aadhaar, as an identity proof, ensures cost-effective authentication of beneficiaries on a real-time basis and eliminates fake beneficiaries by removing duplication of records. It added that Aadhaar can also be used as a financial address as more than 77 crore bank accounts are linked with it.

Talking about the move, a senior government official explained that many ministries have individual portals where the list of beneficiaries and other records are maintained.

“Putting them all on a common portal will ensure there is no duplication and will help the government keep track of their effective implementation,” the official said.

“Moreover, Aadhaar being unique, it will remove duplication of records, so that benefits of the schemes reach the correct beneficiary,” the official said.

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