Do I need a ICV audit to work with Adnoc?

The Abu Dhabi National Oil Company (ADNOC) is one of the biggest and most influential oil and natural gas producers in the world. Founded in 1971, it has been the main driver of the growth and diversification of Abu Dhabi’s economy and continues to be incredibly influential to the economic success of both Abu Dhabi and the UAE.

With such influence, it is understandable that ADNOC is very selective with the companies it chooses to work with and wants to ensure that its vendors and suppliers support ADNOC’s overarching goals. To this end ADNOC created the Unified In-Country Value (ICV) programme.

What is the ICV?

The ICV is an ADNOC initiative which began in 2018 to ensure that the private sector is supporting the development and diversification of the UAE economy. The initiative’s three main aims are:

1. To improve employment opportunities for Emiratis in the private sector.
2. To contribute to diversification of the UAE economy.
3. To localise crucial parts of the supply chain in the oil and gas industry.

Is it mandatory to have ICV certification to work with ADNOC?

There is no requirement for companies to have ICV certification in order to participate in an ADNOC group tender. However, those companies that have an ICV certificate will have a significant advantage over those that do not and are considered to have 0% in-country value.

When deciding which companies to work with, the ICV carries 40% of ADNOC’s consideration in the final evaluation. An ICV score will be assigned based on the company’s activities in the previous financial year and ADNOC will generally award a tender to the company with the highest ICV score and the lowest quote.

How can my company obtain the ICV certificate?

To obtain the ICV certificate, you must use one of the UAE government’s 21 approved external auditors. Once you have chosen one of these certifying bodies, you will submit audited and approved financial statements, a list of procured goods and services and WPS reports. They will then evaluate the company based on information you submit in the ICV Certification Template before issuing the company with the final ICV certificate.

How long does it take to process the certificate?

The timeframe for the certificate to be issued is dependent on the size of the company. However, if the financial statements have already been prepared and approved, the process generally takes between 3 and 15 days.

How much does it cost to obtain an ICV certificate?

There are no fixed prices for the ICV certificates. Therefore, it is advisable to approach several certifying bodies so that you can compare a number of quotes. The list of certifying bodies can be found on the Industrial Development Bureau’s ICV certificate platform.

What is the validity period of the ICV certificate?

The ICV certificate is valid for 14 months from the date that the company’s financial statements are issued.

If you need assistance with registering as an ADNOC Vendor, working with ADNOC and obtaining an ICV audit, or any other related company set up, restructuring, local partner or PRO support matter in Abu Dhabi, Dubai, the wider UAE, Oman, Qatar or Saudi Arabia, then please do get in touch with us on +971 (0)4 456 1761 for Dubai or +971 (0)2 448 5120 for Abu Dhabi, email us at SovPPG@SovereignGroup.com or complete the contact form below and we will be delighted to assist you.