diff --git a/pkgs/development/libraries/libical/default.nix b/pkgs/development/libraries/libical/default.nix
index fd9c8dc9a5e3..1efc16b2bf5c 100644
--- a/pkgs/development/libraries/libical/default.nix
+++ b/pkgs/development/libraries/libical/default.nix
@@ -1,29 +1,53 @@
-{ stdenv, fetchFromGitHub, perl, cmake }:
+{ stdenv, fetchFromGitHub, perl, pkgconfig, cmake, ninja, vala, gobjectIntrospection
+, python3, tzdata, gtk-doc, docbook_xsl, docbook_xml_dtd_43, glib, libxml2, icu }:
 
 stdenv.mkDerivation rec {
   name = "libical-${version}";
-  version = "2.0.0";
+  version = "3.0.3";
+
+  outputs = [ "out" "dev" "devdoc" ];
 
   src = fetchFromGitHub {
     owner = "libical";
     repo = "libical";
     rev = "v${version}";
-    sha256 = "0xsvqy1hzmwxn783wrb2k8p751544pzv39v9ynr9pj4yzkwjzsvb";
+    sha256 = "0dhlfn6n136di4fbqd74gdaibyh5zz1vac5x8ii3bjc2d5h7hw8h";
   };
 
-  nativeBuildInputs = [ perl cmake ];
+  nativeBuildInputs = [
+    perl pkgconfig cmake ninja vala gobjectIntrospection
+    (python3.withPackages (pkgs: with pkgs; [ pygobject3 ])) # running libical-glib tests
+    gtk-doc docbook_xsl docbook_xml_dtd_43 # docs
+  ];
+  buildInputs = [ glib libxml2 icu ];
+
+  cmakeFlags = [
+    "-DGOBJECT_INTROSPECTION=True"
+    "-DICAL_GLIB_VAPI=True"
+  ];
 
   patches = [
     # TODO: upstream this patch
+    # https://github.com/libical/libical/issues/350
     ./respect-env-tzdir.patch
   ];
 
-  doCheck = false; # fails all the tests (ctest)
+  # Using install check so we do not have to manually set
+  # LD_LIBRARY_PATH and GI_TYPELIB_PATH variables
+  doInstallCheck = true;
+  installCheckPhase = ''
+    runHook preInstallCheck
+
+    export TZDIR=${tzdata}/share/zoneinfo
+    ctest --output-on-failure
+
+    runHook postInstallCheck
+  '';
 
   meta = with stdenv.lib; {
     homepage = https://github.com/libical/libical;
     description = "An Open Source implementation of the iCalendar protocols";
-    license = licenses.mpl10;
+    license = licenses.mpl20;
     platforms = platforms.unix;
     maintainers = with maintainers; [ wkennington ];
   };
diff --git a/pkgs/development/libraries/libical/respect-env-tzdir.patch b/pkgs/development/libraries/libical/respect-env-tzdir.patch
index 715ba1fa8426..59d23e490e5a 100644
--- a/pkgs/development/libraries/libical/respect-env-tzdir.patch
+++ b/pkgs/development/libraries/libical/respect-env-tzdir.patch
@@ -1,9 +1,9 @@
 --- a/src/libical/icaltz-util.c
 +++ b/src/libical/icaltz-util.c
-@@ -96,9 +96,9 @@ typedef struct
- static char *zdir = NULL;
+@@ -94,9 +94,9 @@
+ static const char *zdir = NULL;
  
- static char *search_paths[] = {
+ static const char *search_paths[] = {
 +    "/etc/zoneinfo",
      "/usr/share/zoneinfo",
      "/usr/lib/zoneinfo",
@@ -11,13 +11,13 @@
      "/usr/share/lib/zoneinfo"
  };
  
-@@ -179,6 +179,15 @@ static void set_zonedir(void)
+@@ -178,6 +178,15 @@
      const char *fname = ZONES_TAB_SYSTEM_FILENAME;
      size_t i, num_search_paths;
  
 +   const char *env_tzdir = getenv ("TZDIR");
 +   if (env_tzdir) {
-+       snprintf(file_path, MAXPATHLEN, "%s/%s", env_tzdir, fname);
++       sprintf (file_path, "%s/%s", env_tzdir, fname);
 +       if (!access (file_path, F_OK|R_OK)) {
 +           zdir = env_tzdir;
 +           return;