Quite a few people who voted against this did so purely because they didn’t want private companies controlling the system. If the proposal had been for the government to issue and control the identities, it may well have passed.
Yes, and that's a good thing. Balkanizing ID info between a gazillion government databases as we do in the US just creates inefficiency, and raises the thirst for more intensive surveillance to counter the inefficiency with which the data is used. (Consider the talk after 9/11 on the FBI and CIA not sharing info, and then we get the Patriot Act.)
Ironically, there's a >50% chance that the solution will entail 1) privately hosted platforms like AWS and 2) privately hosted support services and 3) privately written core modules (McKinsey business strategy, Accenture implemented etc.) and 4) at least some privately contracted IT people to manage the solution.
There's no reason to believe the gov. will make a more robust, scalable and secure solution that other entities.
A better approach might even be to mandate very specific identity protocols, and then allow citizens to chose their own identity provider among those that fit the regulatory requirements and oversight.
For example: https://en.wikipedia.org/wiki/Swiss_Post
It's owned by gov. and effectively independent. They could be an identity provider. They are already close to being able to do whatever need be done.
Having to create new government bureaucracies to do things is hard.