The Automobile Association (AA) has welcomed the Auditor-General’s (AG) decision to expand the audit of the procurement process for South Africa’s new smart driving licence cards.
This follows concerns raised by the AA and other civic organisations about the appointment of French multinational technology company IDEMIA Identity and Security as the preferred bidder by the Department of Transport (DoT).
IDEMIA’s selection has drawn scrutiny, particularly after its contract with the Airports Company of South Africa (ACSA) was cancelled less than a week before the DoT’s announcement. Further questions were raised about why other bidders, including local service providers such as Government Printing Works, were not selected.
In response to these concerns, Transport Minister Barbara Creecy has requested that the AG widen the scope of its audit. Key areas of investigation will include whether supply chain management rules were followed, whether the project’s specifications adequately protect personal data, and how IDEMIA’s technical capacity and delivery track record were considered. The AG will also examine the implications of IDEMIA’s contractual disputes and whether more affordable, local options were available.
“This is a positive development and highlights the important role organisations like the AA play in holding government accountable,” the AA said. “Public trust in the process is essential, especially given the significant funds at stake. The DoT must justify the selection of specific entities, not just in terms of cost but also how they compare to local suppliers.”
The AA also acknowledged concerns raised by OUTA regarding the project’s budget. IDEMIA’s bid of R762 million, now increased to R898 million, far exceeded the Driving Licence Card Account’s (DLCA) original budget of R468 million. “This is another red flag, and we welcome the AG’s investigation,” the AA concluded.
Compiled by Justine Fortuin