In a report sent to Bernard Burrows, Political Resident in Bahrain, dated 9 April 1957, Peter Tripp, Political Agent, Dubai, discussed the required budgets for Trucial States Development Program in 1958 and 1959. He proposed the establishment of municipalities in Sharjah and Abu Dhabi, similar to the one in Dubai, suggesting to seek assistance from the same Iraqi expert Mr. Abdul Salam Raouf, or his colleagues in the Iraqi government, with a budget of 800 Pounds Sterling.
The Abu Dhabi Municipality was established in 1961, initially operating with six employees. Until 1966, its mandate primarily encompassed a limited set of tasks such as conducting health-related activities, granting construction licenses, overseeing building projects, issuing commercial licenses, and providing basic public health services.
Sheikh Shakhbut Bin Sultan Al Al Nahyan, Ruler of Abu Dhabi, adopted a unique approach to establish the Abu Dhabi Municipality, due to the Emirate's successful oil exploration. Oil was discovered in Abu Dhabi in 1958, leading to the first oil shipment from Das Island in 1962. This enabled the allocation of sufficient funds for the establishment of the Municipality and for overall development in the Emirate.