Opinion Digital Public Infrastructure: The story of India’s digital revolution

India’s history with technology in the public domain began with disconnected applications developed in the ’80s and ’90s. State and central governments then developed infrastructure projects like state-wide area networks, Common Service Centres (CSCs), and State Data Centres (SDCs), along with several Mission Mode Projects (MMPs). The objective was to create the necessary infrastructure and software development in various domains.

In 2009, the project of creating unique identities for residents of India, later christened Aadhaar, was started. Aadhaar was developed as a next-generation digital ID, offering authentication as a service. Being a bonafide proof of identity residing on the cloud, it could be plugged into any service delivery transaction to verify an individual’s identity. It soon began to be used for multiple service deliveries, like opening bank accounts, obtaining mobile SIMs, or receiving ration. Products like the Digital Locker, electronic KYC (eKYC) and digital signature on demand (e-Sign) were developed in addition to Aadhaar. A massive programme of Direct Benefit Transfers (DBT) also began, resulting in huge savings for the government. Payment of subsidies directly into bank accounts eliminated the black marketing of commodities, with LPG cylinders being the most visible examples.

Aadhaar’s development taught valuable lessons in minimalism, federated architecture, purpose agnosticism of authentication, privacy, security, unbundling of functions, open APIs and a layered approach. This became the foundation for India’s DPI philosophy.

A comprehensive understanding of DPI requires recognition of its three integral layers: Market, governance, and technology standards. The market layer consists of innovative and competitive players designing inclusive products. The governance layer requires legal and institutional frameworks, along with public programmes to drive adoption, and specific overarching principles and policies. Technology standards, including those for identity, payments, and data sharing, must be built or adapted to enable interoperability and the adoption of shared standards. These layers collectively define the structure and functionality of DPI, reflecting the complexity and potential of this transformative concept.

Two paths to the development of digital systems are common: All government or all private. The former may lead to quality and maintenance issues, while the latter may result in monopolies. DPI creates a balance, identifying frameworks consisting of frequently required services and components efficiently managed by the public authority. It develops open protocols, shared platforms, and enabling policies to create an interoperable ecosystem. The DPI does not provide the complete solution but makes the job of solution providers easier by offering readymade components and services.

The matter of pricing for services provided by DPI has stirred a debate. Some argue that accountability and Service Level Agreements (SLAs) can only be enforced when the services are priced. However, from a personal standpoint, I believe that the operation of DPIs should be entrusted to a professional agency, rather than a government ministry or department, to ensure SLAs. Since DPIs are funded by public money, and the incremental work done in providing the services is minimal, the services should not be charged. This approach would ultimately reduce costs, benefiting the people of the country. We should also remember that unlike physical commons, digital commons being inexhaustible do not degrade with overuse.

Registries are an essential reusable component of DPI. The entity managing this DPI must ensure continuous updates. Interoperability is at the heart of all DPIs.

Security is another vital aspect of DPIs. To ensure robust protection, secure pipelines must be created to access DPI’s services. The Aadhaar experience of creating Authentication User Agencies (AUAs) offers an excellent framework in this regard. Additionally, certification of the end-user application is required to ensure the safety of both the infrastructure and the connecting application. CoWin, with over a 100 applications connected to it, serves as a robust example of this security model.

This approach ensures reduced development costs, more modular end-user solutions, a vibrant ecosystem of diverse applications, reduced entry barriers, and a more democratic and non-monopolistic system. If DPI has built-in scalability, private innovators do not have to invest much for scalability.

Successful DPIs in India include Aadhaar, Unified Payment Interface (UPI), and CoWin, which managed the world’s largest vaccination programme. Others like Unified Health Interface (UHI), Ayushman Bharat Digital Mission (ABDM), and Open Network for Digital Commerce are in the rollout stage.

There are many more areas where DPIs can be created in the coming months and years. An essential DPI in the connectivity space, PM-WANI, aims to provide ubiquitous and affordable internet connectivity.

India’s approach to DPI is a beautiful blend of scalability, interoperability, innovation, and frugality. It’s more than a technological advancement; it’s a vision for a digitally inclusive future that resonates not only within the nation but also on the global stage. The India story of DPI is a testament to the country’s commitment to leveraging technology for the greater good, setting a precedent for other nations to follow.

The writer is the former Secretary to the Government of India. Views are personal