New Delhi: The soaring differences between the Home Ministry and Planning Commission over the ambitious UIDAI project seem not to resolve soon.

Prime Minister Manmohan Singh on Wednesday held discussions with senior Cabinet colleagues over the issues prevailing in the UID project but failed to reach any consensus on the issue.

The Cabinet is scheduled to meet again on Friday with an aim of settling issues between the Plan panel and Home Ministry, who are locking horns over the security angle in the UID project.

"We have come to an agreement on how both the projects can proceed together without any difficulty. The Cabinet Committee (on UIDAI) is rescheduled and will happen on Friday. We are quite hopeful that we will derive a solution to the major issues obstructing the work on UID," Planning Commission Deputy Chairman Montek Singh Ahluwalia said here after the meeting.

The meeting presided by Prime Minister Manmohan Singh was attended by Montek Singh Ahluwalia, Finance Minister Pranab Mukherjee, Home Minister P Chidambaram, UIDAI Chairman Nandan Nilekani and National Security Adviser Shivshankar Menon.

According to the highly placed sources, Home Ministry had strongly objected giving the responsibility of collecting bio-metric data of all the residents to outside agencies. It has moreover, termed the decision to be a security threat.

The ministry further said that the data collection must be completed by National Population Register (NPR) and not by any outside agencies.