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Last Updated: 2025-04-16 ~ Inc42
Aadhaar Law Set for Overhaul to Align with DPDP Act, Says Union Minister Ashwini Vaishnaw
Union Minister for
Electronics and IT, Ashwini Vaishnaw, has urged the Unique Identification
Authority of India (UIDAI) to draft a revised Aadhaar legislation aligned with
the Digital Personal Data Protection (DPDP) Act, 2023.
Speaking at the Aadhaar
Samvaad event on Tuesday, the minister emphasized the importance of
updating the legal framework surrounding Aadhaar to reflect current privacy
standards and data protection requirements.
“When the Aadhaar Act was
enacted, India did not have a comprehensive data protection law. Now, with the
DPDP Act in place and the accompanying rules soon to be notified, it is time
for the Aadhaar law to be made compatible with this new legal environment,”
Vaishnaw stated, as reported by The Economic Times.
He called upon UIDAI to
lead the initiative in drafting a new, DPDP-aligned Aadhaar framework that
prioritizes privacy, transparency, and user control over personal data.
🔐 New Aadhaar App Featuring Face ID &
Consent-Based Data Sharing
In a related development,
the government is testing a new Aadhaar mobile application that introduces face
ID authentication, eliminating the need for physical Aadhaar cards or
photocopies.
Currently in beta testing,
the app is designed to allow users to share only essential identity information
based on explicit consent, thereby strengthening user privacy and
reducing the risk of identity misuse. The timing is notable, following reports
of misuse of AI tools to generate fake Aadhaar and PAN details.
📜 DPDP Rules Finalization in Progress
Following the introduction
of the Digital Personal Data Protection Act, 2023, the Centre had
released draft implementation rules for public consultation. Key focus areas
included:
- Consent management standards
- Parental control and verifiability for minors
- Data localisation requirements
- Clarity on data fiduciary responsibilities
The feedback window, which
closed on March 5, saw extensive participation from stakeholders. As of
March, the government has reviewed inputs and is finalizing the rules, expected
to be notified shortly.
The DPDP Act replaces
previous data protection provisions under Section 43A of the Information
Technology Act, 2000, marking a significant shift in India’s digital
governance framework.
📌 What This Means for Organizations:
With the Aadhaar Act and DPDP Act on track to be aligned, businesses leveraging
Aadhaar-based services should prepare for stricter compliance, enhanced consent
mechanisms, and updated contractual obligations. Legal, IT, and compliance
teams should begin reviewing their privacy programs accordingly.
Need help navigating these
regulatory changes? Get in touch with DPDP Consultants to prepare your
business for the evolving privacy landscape.
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