The goal is to have a CA for (existing) OpenPGP keys which checks if the name in it is matching the one from the identity card. When you sign a PGP key to tell that you trust it you should compare the name in the identity card or passport with the one from the key, this system does it automatically.
One tricky part is that many people like me leave out some names in the PGP key. In the first implementation of the PGP signing service it only ensured that at least one first name and one last name is also in the PGP key. I do not know if this is still the case.
The German Federal Office for Information Security (BSI) is supporting GPG4Win since many years, see for example here: https://www.golem.de/news/bsi-deutsche-behoerden-bekommen-gp...
Disclaimer: I worked for Governikus some years ago and worked on the initial version of this service.