SAGEM S.A. FRANCE-CLOSURE OF 2001 AGREEMENT AND

HANDOVER OF THE NIGERIAN NATIONAL IDENTITY CARD PROGRAMME- THE ISSUES

Chris ‘E OnyemenamDG/CEO, NIMC

Outline of Presentation

Brief background

The NIMC Mandate

The SAGEM PROJECT

The Issues according to SAGEM

Efforts to Resolve the SAGEM Handover Issue

Key Benefits

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Citizenship

• Birth Education

Entrepreneurship

Useful Services

Health Social Life

Pension

Employment

Finance

Background: Citizen critical lifecycle events

Banking and insurance transactions

Customer Credits

NAPEP and other social safety programmes

We need to Guarantee identity assurance systems , Not rights , • Not entitlements

ID Card (document) ≠ ID

Multiple service providers, same customers

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Identity Verification is a Common Challenge in Nigeria

Civil Service

142 683 740 420

Banking and Insurance transactions

NAPEP and other social safety programmes

Customer Credits

Civil Service

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The NIMC Mandate

• By virtue of the NIMC Act No. 23 of 2007 – threefold:

– Set up the NIMC as the primary driver of the Identity Sector Reform;

– Takeover the assets and liabilities of the former DNCR (Sec 32);– Implant a National Identity Management System and

Infrastructure (which includes harmonization, Unique ID numbers, and issuance of GMPC.

• NIMC is empowered by the Act to partner with any private or public institution to achieve its objectives e.g. NCC on SIM Register, FIRS on ‘TIN Register’.

• NIMC’ 4E Implementation Strategy sought to reuse existing Government (2001 SAGEM Agreement) investment in the Identity Sector, particulary Automated Fingerprint Identification System (AFIS)

The SAGEM Project

Federal Government entered into a Turnkey Agreement with SAGEM in 2001 in the sum of $215,911,000.00 (off-shore component) and N2,089,600,000.00 (on-shore component) to deliver the Nigerian National ID Card project - an Integrated ID Card Production Facility.

Deliverables included the following:

The Scanning subsystem; Image Quality Control and the Fingerprint search Verification subsystem;Automated Fingerprint Identification System (AFIS)B (60m) Registered Candidates Database and Digital Library; ID Card personalisation Equipment (18Nos) NBS Horizon personalisation

machines; ICR Form Correction Centre; 60,000 Mobile Registration Workstation (MRWs);60m Registration Forms and 60m ID Cards from France;SAGEM and specified third Party Softwares;Downloading PCs, generators for Local Governments (774) and States and

Servers (37);6

Performance and Status of the Project Contract supervised by the Federal Ministry of Interior through the then Department for

National Civic Registration (DNCR); By SAGEM records, SAGEM Registered and processed 52,640,908 made up as follows:

Total Female - 18,062,443 (separately stored) Total Male - 19,307,165 (separately stored) Total Rejects - 8,098,248 Total Cards Issued - 37,369,608

Contracted for 60m but only 52,640,908 ID Cards records out of which only 37,369,608 were delivered;

8m ID Cards not delivered, SAGEM acknowledges receipt of USD$2.444m payment i.e 40% down payment;

About 260,000 Adhoc staff were trained to gather data within 6 weeks; Project concluded in December 2006 and entire system subsequently shut down since

then; Operations and management still under SAGEM to date; No form of handing over of operations and management has been conducted; No Nigerian including those DNCR staff trained by SAGEM were allowed to nor can

operate the system. 7

The SAGEM Handover IssueContract ended in 2006, SAGEM has not handed over, but:

Has confirmed receipt of full payment for contract from FGN;Shut down the ICPF since December2006;Only SAGEM expatriate staff can operate and support the ICPF;8m ID Cards not delivered, deposit of USD2.444m not refunded;Not successful in bid for NIMC Project in 2006, Did not bid for SI in 2008; Wants to continue the ICPF or be given the contract it did not bid for; Claims a Maintenance fee of USD$6.1m to be paid in full upfront; but

has no contract to support claim; Wants a long term Maintenance Agreement at a rate and scope of

work designed and approved by SAGEM;Refuses to commit to handing over a functional ICPF and Database in

the (unencrypted) format required by NIMC. Continues to insist on full payment of Maintenance and Support Fees

without contract and with no Performance Guarantee to hand over the ICPF if paid. 8

Efforts to Resolve the SAGEM Issue• NIMC offered to:

– Pay SAGEM the 2yrs Maintenance Fees of USD$6.1m (inclusive of the USD$2.444m paid for the 8m Cards not delivered);

– Payment of balance of USD$3.666m in milestone-based instalments;– SAGEM to execute and implement an MOU on Handover procedure in one month;– NIMC not interested in continuing with ICPF of SAGEM;– NIMC cannot award contract for NIDMS to SAGEM as it has already been awarded

following due process by FGN to other solution providers

• Offer based on strategic need to implement FGN policy on:• Re-use of existing investment;

– Database of about 40m; and– SAGEM 2001 AFIS;

• Takeover of assets and liabilities of former DNCR as provided for in NIMC Act;• Have Nigerians operate and manage asset henceforth;

• Failure by SAGEM to handover renders ICPF infrastructure not usable;

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SAGEM’s POSITION

• SAGEM wants:– NIMC to pay for the 2yrs Maintenance Fees of USD$6.1m (inclusive of the

USD$2.444m paid for the 8m Cards not delivered) even though there is no contract;

– Payment of balance of USD$3.666m should be in full and upfront as service has been provided as deemed fit by SAGEM;

– To retain control of operation and management of ICPF because NIMC has third party service providers;

– To hand over without a guarantee that ICPF will be functional since it shut down facility;

– NIMC not interested in continuing with ICPF of SAGEM;– NIMC cannot award contract for NIDMS to SAGEM as it has already been

awarded following due process by FGN other solution / service providers;

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Rationale for resolving the SAGEM Issue

• Re-use of part of existing FGN investment;– Database (though separated into female and male, needs ‘cleaning up’ to be

populated);– AFIS (though it is 2001 technology) can be redeployed as an interim measure and a

service; – Have Nigerians operate and manage asset henceforth; – Avoid duplication and wastage

Incorporate into the NIDMS project: Make 40m records Database available for possible uses under the NIDMS; Facilitate deployment for possible validation processes in the interim; access to the database for ease of operations and statutory functions of

intelligence community as necessary.

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Overall Description of NIDMS

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-National Identity Database-AFIS/ABIS as Service -Secure ID document (Smart Card)-Means to irrefutably confirm the identity of an individual ;

• THANK YOU• www.nimc.gov.ng

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