Why Is ICV Certification Important For Your Business In UAE?

Why Is ICV Certification Important For Your Business In UAE?

The Abu Dhabi National Oil Company (ADNOC) initiated a procurement-led In-Country Value (ICV) program in 2018 to encourage Emiratization, GDP diversification & strategic considerations. The program encourages all suppliers in the UAE to get an In-Country Value Certificate from the empaneled certifying bodies. Together with this, the suppliers are requested to get the ICV certificate showing the score depending on their contribution as per the last financial statement. Suppliers with ICV certificate gets an upper edge when submitting bids to ADNOC. The bid evaluation procedure ranks suppliers according to their weightage average ICV score and gives the first right of refusal to the highest ICV score bidder in their award strategy. This implies that bidders with ICV certificates have a benefit over the suppliers who don’t. As more & more entities are joining hands with ADNOC to accept ICV for their procurement initiative, acquiring an ICV certificate has become very significant.

With the implementation of the unified ICV program, suppliers of ADNOC, Abu Dhabi Ports, Aldar Properties, Abu Dhabi Department of Economic Development, Mubadala, and ENEC (together known as “Participating Entities”) are encouraged to declare their ICV score achievements for the last financial year. The ICV certificate can only be obtained from the approved ICV certifying bodies in UAE. As one of the approved empanelled certifying body, ARC Associates can help companies in obtaining a unified ICV certificate.

Even though it isn’t compulsory to have an ICV certificate for working with ADNOC, but it does offer worth to the provider having an ICV certification. The accompanying points should be remembered:

  • > Every supplier directly giving products or services to ADNOC or group companies will be requested their ICV score and ICV implementation (if required as per RFQ) in tender applications.
  • > All legal entities need to have a separate ICV certificate.
  • > Businesses that do not directly engage with ADNOC or other participating entities, however, engage with Tier 1 suppliers to participating entities, will also be required to take an ICV certificate.
  • > Suppliers who don’t have an ICV certificate can still participate in tenders however will be granted a score of 0 and as such in a tough spot to those with a higher ICV score.
  • > The ICV score assessment presently shapes a procurement initiative of  ADNOC & award strategy.
  • > ICV certificate has gotten practically significant for every business entity which expects to participate in a tender by ADNOC or group companies.

For getting the best & accurate score, the certification has to be performed by approved certifying bodies like ARC Associates.

How Can ARC Associates Help You Get A Unified ICV Certificate?

ARC Associates, one of the approved empanelled certifying bodies giving ICV consultation and issuing unified ICV certificates within a short turnaround time. We have an in-house team who will conduct an in-depth analysis of financial statements based on the ICV guidelines and recommend our clients the most suitable solution for getting a good ICV score. We also focus on regularly updating our clients on the updated information about the ICV program, if any.

If you need any help related to the ICV certificate, don’t hesitate to contact us at +971586918806 or icv@arcauditing.ae. We guarantee you the best professional service!

ICV Auditors in UAE      |      ICV Certification Bodies in UAE    |    ICV Auditors in Dubai