ADNOC In-Country Value Program

Certification for ADNOC suppliers

ADNOC has introduced an In-Country Value (ICV) program for its suppliers. This procurement-led initiative aims to boost ADNOC’s ICV contribution by focusing on local supplier selection, development of UAE Nationals, and the localisation of critical functionalities in the oil and gas industry.

From 1 April 2018, all suppliers of goods or services to ADNOC are required to calculate and declare their certified ICV score for the previous financial year, to demonstrate how they are helping to deliver ICV.

Certification of the ICV score needs to be completed by an ADNOC approved certifying body, such as PwC, on an annual basis and submitted by the supplier to ADNOC with each proposal they make.

  • All organisations that supply goods or services direct to ADNOC will be asked for their ICV score in tender applications.
  • Organisations without ICV certification will still be able to participate in tenders, but will be given a score of zero and may be at a disadvantage to those with a higher ICV score.
  • ADNOC suppliers will review their own supply chain and request an ICV score from their own suppliers.
  • ICV certification will need to be carried out on an annual basis.

In order to ensure that suppliers’ ICV scores are evidence based and calculated according to the ADNOC-defined methodology, certification is required.

ADNOC has established a panel of independent certification bodies to confirm information submitted by suppliers under the program. PwC has been appointed as one of these independent certifiers and can support suppliers with certification of their ICV score.

ICV scores are calculated by assessing the economic value-add within the UAE for the goods or services offered by the company, according to a pre-defined methodology. The following areas are taken into consideration:

  • Goods manufactured
  • Third party spend
  • Revenue
  • Exports
  • Investment
  • Emiratisation
  • Expatriate contribution

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ICV Proposal Request

ICV Team, PwC Middle East

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