ICV Certification Service

INTRODUCTION

Tawteen Vision

In realization of the Qatar National Vision 2030, Qatar Energy (Formerly known as Qatar Petroleum) launched Tawteen, a strategic initiative to create local business opportunities in the Energy sector. 

The ultimate aim is to create a resilient and competitive energy support services sector for the State of Qatar by establishing long-term sustainable value through the localization of manufacturing, services and distribution channels. 

Tawteen has three primary objectives as follows: 

  1. Establish sustainable and competitive in-country Suppliers to meet the requirements of the Energy sector in Qatar. 
  2. Support the growth and diversification of Qatar’s economy through services and other value-added manufacturing industries using locally produced feedstocks from the Energy sector. 
  3. Support the realization of Qatar National Vision 2030 by attracting companies engaged in knowledge and technology-based businesses.

ICV Overview 

As part of the localization agenda, Tawteen is implementing an In-Country Value (ICV) framework designed to create commercial benefits that will drive sustainable economic growth and GDP diversification. The ICV strategic objectives are: 

  1. Maximize the sustainable in-country value creation 
  2. Upskill local talent 
  3. Develop local suppliers 
  4. Promote in-country private investment

There are 2 critical ICV inputs that will be used throughout the end-to-end procurement process:

  1. The ICV Scorecard
  2. The ICV Plan

1. The ICV Scorecard

The Supplier ICV Scorecard Submission Template is one of the tools provided as part of Tawteen. The ICV Scorecard is a historical view, based on the past year’s financial information. It must be certified by a pre-approved certifier, at a minimum, annually. And it is mandatory for all suppliers seeking to do business with the Energy sector in Qatar also expanding to other government tenders. 

Information Required

Tawteen requires The Company to report the following quantitative data: 

  1. Spend on: 
    1. Goods and services 
    2. Workforce training 
    3. Supplier development 
  2. Depreciation and amortization of The Company’s assets in the country 
  3. Revenue in Qatar, excluding exports 
  4. Others, as required by the certifier in accordance with Tawteen guidelines 
ICV Formula 

Once The Company provides the information mentioned above, the ICV Scorecard template calculates its aggregate ICV score via ICV Digital Portal. The aggregate ICV is measured as the total value created in the country across the selected components, divided by the in-country generated revenue.

The formula for calculating ICV is presented below:                     

                    

A: Goods and Service                                           C: Supplier Development

B: Workforce Training                                          D: Investment in Fixed Assets


2. The ICV Plan

The Supplier ICV Plan Submission Template is one of the tools provided as part of Tawteen. The ICV Plan is a forward-looking view, based on the Company’s plan to spend during the contract execution. The ICV Plan must be certified by a pre-approved certifier at the end of the contract. 

The Company should identify the mid-point and end of the contract, for contracts longer than one year. Subsequently, the Company should compare these planned ICV scores with the achieved (actual) at the mid-point and end of contact. 

Information Required

Tawteen requires The Company to report the following quantitative data: 

  1. Spend on: 
    1. Goods and services 
    2. Workforce training 
    3. Supplier development 
  2. Depreciation and amortization of The Company’s assets in the country 
  3. Contracts information 
  4. Others, as required by the certifier in accordance with Tawteen guidelines 
ICV Formula 

Once The Company provides the information mentioned above, the ICV Plan template calculates its aggregate ICV score. The aggregate ICV is measured as the total value created in the country across the selected components, divided by the value of the contract.

The formula for calculating ICV is presented below:

                      

A: Goods and Service                                           C: Supplier Development

B: Workforce Training                                          D: Investment in Fixed Assets

ICV in the procurement process