TRIBE VIBE: Anger after IDEMIA awarded SA driver’s licence contract after $20m ACSA debacle
IDEMIA's new smart card contract has sparked controversy in South Africa, following the cancellation of their troubled $20 million ACSA deal.
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BizNews Reporter
The BizNews Premium Interactive channel is buzzing with discussion around French tech firm IDEMIA being awarded the contract for SA smart card driver's licences shortly after the Airports Company of SA cancelled a $20m contract with same company.
Here are the major issues:
The ACSA Contract Cancellation
IDEMIA's troubles in South Africa began with a contract awarded by ACSA in 2018, valued at approximately R360 million (around $20 million). The contract involved implementing a biometric security system intended to enhance safety at major airports. However, the project quickly encountered significant issues, including delays, technical problems, and cost overruns. These challenges culminated in the contract's cancellation by ACSA. This cast a shadow over IDEMIA's reputation in South Africa, particularly concerning its capacity to manage large-scale tech projects.
The Driving Licence Smart Card Contract
Despite its troubled history, over the weekend, IDEMIA has emerged as the preferred bidder for the new driving licence smart cards contract. This tender, issued by the Department of Transport after a 16-month process, is part of a broader initiative to modernise the country's licensing system and reduce fraud. The new cards are expected to feature advanced security measures, such as biometric data, to combat identity theft and counterfeiting—significant issues in South Africa.
Public Outcry and Criticism
The awarding of this contract to IDEMIA has sparked widespread criticism. Many critics are concerned about the company's ability to fulfil its obligations, given its past performance. Among the voices protesting the award is civil society group Corruption Watch, while OUTA has been leading the charge for re-assessing the driver's licence smart card awards.
The Department of Transport's Defense
Responding to the criticism, the Department of Transport defended its decision. On eNCA, the department's spokesperson, Collen Msibi, said the tender process was conducted fairly and fully complied with legal requirements. He highlighted IDEMIA's global expertise in identity solutions and asserted that the company had addressed the issues that led to the ACSA contract termination.
"IDEMIA has a proven track record in over 100 countries, and we believe they are fully capable of delivering a world-class solution for South Africa's driving licence smart cards," Msibi said.
The Road Ahead
The stakes are high for both IDEMIA and the South African government. The successful implementation of the smart card driving licence system is crucial for improving road safety, reducing fraud, and enhancing the efficiency of the country's licensing system. However, any missteps could result in significant public backlash and further diminish trust in the government's ability to manage critical infrastructure projects.
As the project progresses, IDEMIA will be scrutinized closely to see if it can overcome its previous challenges and deliver a successful outcome. Watchdog groups and opposition parties will likely continue monitoring the project closely, ensuring that any potential issues are promptly addressed.
The controversy surrounding IDEMIA's contract win serves as a stark reminder of the need for transparency, accountability, and diligence in government procurement processes. Whether IDEMIA can redeem its reputation in South Africa remains to be seen, but the outcome will undoubtedly have significant implications for the country's public-private partnerships.
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