ADNOC ICV Certification
Services in UAE
In-Country Value – ICV Certificate in Dubai, UAE
Abu Dhabi National Oil Company (ADNOC) group companies introduced the ICV programme in November 2017. The programme was initiated by the UAE government to boost the country’s economic growth. The ICV certificate in Dubai, UAE, aims to improve the sustainability of the industrial sector by supporting the Ministry of Industry and Advanced Technology (MoIAT).
Subsequently, a unified ICV programme was established, bringing together various government and semi-government companies. ADNOC and 5 other participating entities were merged to extend the Domestic Value programme to Abu Dhabi and the UAE. The provision of ICV certificates has been part of our consulting expertise for many years. Let’s look at this process in more detail:
What is an ICV certificate?
The ICV certificate in its full form is the Inland Value Certificate, originally developed by ADNOC, the national oil company of the United Arab Emirates. The national ICV programme is being implemented by MoIAT to achieve optimal value from the UAE’s oil and gas resources. The programme is expanding to cover sectors other than oil and gas. ICV certification bodies assign a value score to UAE companies, which determines a company’s contribution to the national economy.
The Purpose of Introducing in-country Value Certification
The ICV certificate aims to increase the contribution of the private sector to the UAE’s national GDP. The ICV programme contributes to key objectives of the UAE government, such as
- Diversification of GDP, to move goods and services within the UAE.
- Strategic location in the domestic supply chain in all categories of business.
- Stimulation of foreign investment and value in the country.
Are all UAE Companies Subject to ICV Certification?
ICV certification is mandatory for companies intending to do business with ADNOC or its group companies. Suppliers must apply for ICV certification to the approval body appointed by ADNOC. This certification must be obtained in order to evaluate tenders and enter into contracts with partners. Suppliers benefit from ICV awards when participating in government tenders. However, it is also important that different companies owned by the same person have separate LCI certificates. A single comprehensive ICV certificate is only valid for business owners if they have different branches in the same emirate and are engaged in similar activities.
Does the ICV certificate change the situation of companies?
The ADNOC ICV certificate is a game changer, but it is directly related to the ICV score you receive from the regulator. There is no failure on the ICV, you either get 1% or 100%. If you get a high score, you will be given high priority by the government when applying for tenders. To gain this competitive advantage, you need to outsource your accounting and auditing services in Dubai, UAE and let them handle this.
How do certifying authorities calculate ICV?
ICV scores are calculated by a dedicated team of more than 30 members from all certification bodies. ICV contributors include partners, directors, managers, senior consultants, assistant consultants, the ICV core team, and project coordination and support teams. Suppliers can declare ICV certificates for the results of the financial year. This value is calculated based on the total value of purchases made by the supplier from UAE-registered suppliers during the year. The valuation always varies according to the operating model of the previous year. As there is no specific threshold for obtaining an ICV certificate, each company should strive to achieve a higher ICV score in the country’s internal value scheme.
Validity of the National Value Certificate
The ICV certificate is valid for 14 months from the date of issue of the organization’s audited financial statements. Recertification of the ICV certificate can be obtained from the same certification body using the same audited financial statements during the ICV validity period. However, the validity of the Domestic Value Certificate will remain unchanged for 14 months.
How to obtain an ICV certificate in Dubai, UAE?
The ICV certification body in the UAE has approved this particular process when applying for the country’s Domestic Value Scheme. The process is described below.
1. Collecting data: The company completes the “Supplier Application Form” provided by ADNOC based on the latest audited financial statements.
2.Agreed procedures: The completed data is compared with the agreed procedures.
3.Report: Provide a factual report of findings based on the work carried out during the meeting to help identify the company’s weaknesses.
4.Validation of forms: The ICV certificate is signed and stamped in Dubai by an ADNOC-accredited body and is valid for 14 months from the date of issue.
Al-Hayat Consulting ICV Improvement Plan
Why choose us?
Al-Hayat Consulting works with a variety of business sectors in the ICV certification process. Our team of professionals helps suppliers, manufacturers, SMEs, large companies and entrepreneurs to participate in the state’s internal assessment scheme. Our goal is to ensure that you get the best possible ICV certification results and are able to compete with your competitors in federal contracts and competitions.
Let us know how our team can help you in the ICV certification process!
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