Chairman of the Executive Council Resolution No. (12) of 2019 Concerning the Financial Powers of the Executive Council’s Committees and Chairmen of the Governmental Entities

Article 1 — Definitions ¶

In the implementation of the provisions of this Resolution, the following
words and phrases shall have the meanings corresponding thereto unless
the context requires otherwise:
Emirate : The Emirate of Abu Dhabi
Executive Council : The Executive Council of the Emirate
Executive
Committee
: The Executive Committee of the Executive Council
Sub-Committees : Committees that are formed and whose powers are
determined by an Executive Committe Resolution.

-- 46 of 154 --

46
Department : The Department of Finance
Governmental
Entities
: The Departments and any legal person affiliated to
the Government, enjoying full legal capacity to act
and assuming the management of a public utility or
aiming at delivering a public service, or any other
entity affiliated to the Government.
Affiliates : The governmental entities that are affiliated to the
Departments and are subject to their control and
supervision.

Article 2 — Scope of Application ¶

• The provisions of this Resolution shall apply to all the Governmental Entities
in the Emirate except for the entities listed in the schedule attached to this
Resolution.
• The Executive Council may amend the schedule attached to this Resolution
by adding or deleting entities.

Article 3 — Financial Powers of the Chairmen of the Governmental Entities ¶

• The Chairman of the Governmental Entity or whoever is delegated thereby
in accordance with the approved delegation of Authority at the Entity shall
have the following powers:
1. Approve the award of contracts pursuant to the appropriations of capital
projects and operating expenses of which value as well as any amendments
thereto does not exceed AED (50,000,000) and submit whatever exceeds
such amount to the concerned Sub-Committee.
2. Subject to the first Clause of this Article, the Chairman of the Governmental
Entity may approve any amendments introduced to the contracts, provided
that they don’t exceed 25% of the contract value.
3. Disburse from the appropriations of capital projects and operating

-- 47 of 154 --

47
expenses, in the light of the cash flow plan submitted by the Governmental
Entity to the Department.
4. Write-off the assets and fixed assets as well as damaged and perished
materials and equipment and the like from the accounting records of
the Governmental Entity, dispose thereof by offering them for sale in a
public auction or in any other way of disposition in accordance with the
applicable legislations, provided that their book value does not exceed
AED (25,000,000).
• The Departments shall determine the financial power of their Affiliates at
an amount not exceeding AED (50,000,000) for each entity. Such entities
shall commit to disburse them in accordance with the controls laid down
by the Department and applicable legislations.

Article 4 — Financial Powers of the Sub-Committees ¶

The financial power of the Sub-Committees shall be determined by an
Executive Committee Resolution at an amount that does not exceed AED
(250,000,000) for each committee.

Article 5 — Financial Powers of the Executive Committee ¶

The Executive Committee shall have the following financial powers:
1. Approve the awarding of contracts of capital projects and operating
expenses as well as any amendments thereto of which value does not
exceed AED (1,000,000,000) and submit whatever exceeds such amount
to the Executive Council.
2. Subject to the first Clause of this Article, the Executive Committee may
approve any amendments introduced to the contracts, provided that they
don’t exceed 25% of the contract value.
3. Approve the writing-off of the assets and fixed assets as well as damaged
and perished equipment and the like from the accounting records of

-- 48 of 154 --

48
the Governmental Entity, dispose thereof by offering them for sale in a
public auction or in any other way of disposition in accordance with the
applicable legislations, provided that their book value does not exceed
AED (500,000,000), and submit whatever exceed this amount to the
Executive Council.

Article 6 — Abiding by the Rules of Governance ¶

All the Governmental Entities shall commit to the implementation of the
following rules of governance:
1. Verify every financial request submitted to the Executive Committee or
the Department by the Director of Finance or the like at the Governmental
Entity. The request shall be also approved by the Chairman of the
Governmental Entity.
2. Include the appropriations, budgets and decisions awarding the contracts
of capital projects and operating expenses as well as the amendments
thereto, the particulars of the main clauses, their value and the number
of each appropriation.
3. The contracts of the capital projects, purchase orders, the contracts for
materials and contracts for services and execution of works may not be
divided for the purpose of changing the level of financial powers.
4. The power of approving the variation orders in respect of the contracts
and purchase orders shall be at the same level with the power of whoever
approved the contract and purchase order in the first place, unless the
variation order entailed the increase of the overall value of the contract
or purchase order, in which case a higher level of power is required.
5. Assuming the aforesaid powers shall be conditioned upon the availability
of appropriations in the budget.
6. Obtain a fair assessment of the assets and fixed assets as well as the
damaged and perished equipment and the like before disposing thereof.
7. Pay the dues of contractors, consultants, outsourcers and suppliers as

-- 49 of 154 --

49
per the contracts after receiving the documents and invoices confirming
implementation as appropriate.

Article 7 — Repeal of Contrary Provisions ¶

• The aforesaid Chairman of the Executive Council Resolution No. (30) of
2008 shall be repealed.
• Any provision contrary to the provisions of this Resolution shall be repealed.

Article 8 — Effective Date ¶

This Resolution shall be effective from the date of its issuance and published
in the Official Gazette.
Issued by us in Abu Dhabi
On: 23 April 2019
Corresponding to: 17 Shaaban 1440 Hijri
Mohamed bin Zayed Al Nahyan
Crown Prince
Chairman of the Executive Council

-- 50 of 154 --

50
Schedule of Entities exempted from the Implementation of
the Chairman of the Executive Council resolution No. (12) of
2019
1 Crown Prince Court
2 Ruler's Representative Court in Al Ain Region
3 Ruler's Representative Court in Al Dhafra Region
4 General Secretariat of the Supreme Petroleum Council
5 General Secretariat of the Executive Council
6 Abu Dhabi Executive Office
7 Executive Affairs Authority
8 Abu Dhabi Accountability Authority
9 Abu Dhabi Global Market
10 Abu Dhabi Securities Exchange
11 Emirates Nuclear Energy Corporation
12 Abu Dhabi Investment Council
13 Abu Dhabi Fund for Development
14 Abu Dhabi Retirement Pensions and Benefits Fund

-- 51 of 154 --

51