diff --git a/controllers/component_build_controller_pac_repository.go b/controllers/component_build_controller_pac_repository.go
index f2ff6348..2aad079e 100644
--- a/controllers/component_build_controller_pac_repository.go
+++ b/controllers/component_build_controller_pac_repository.go
@@ -213,34 +213,32 @@ func generatePACRepository(component appstudiov1alpha1.Component, config *corev1
 			},
 		}
 
-		if gitProvider == "gitlab" {
-			if providerUrl, configured := component.Annotations[GitProviderAnnotationURL]; configured {
-				gitProviderConfig.URL = providerUrl
+		// gitProviderType is needed for incoming webhook handling
+		gitProviderType := gitProvider
+		if gitProvider == "bitbucket" {
+			// https://pipelinesascode.com/docs/guide/incoming_webhook/#incoming-webhook-url
+			gitProviderType = "bitbucket-cloud"
+		}
+		gitProviderConfig.Type = gitProviderType
+
+		var gitProviderUrl string
+		if providerUrlFromAnnotation, configured := component.Annotations[GitProviderAnnotationURL]; configured {
+			// Use git provider URL provided via the annotation.
+			// Make sure that the url has protocol as it's required.
+			if !strings.Contains(providerUrlFromAnnotation, "://") {
+				gitProviderUrl = "https://" + providerUrlFromAnnotation
 			} else {
-				// Get git provider URL from source URL.
-				u, err := url.Parse(component.Spec.Source.GitSource.URL)
-				if err != nil {
-					return nil, err
-				}
-				gitProviderConfig.URL = u.Scheme + "://" + u.Host
+				gitProviderUrl = providerUrlFromAnnotation
 			}
+		} else {
+			// Get git provider URL from source URL.
+			u, err := url.Parse(component.Spec.Source.GitSource.URL)
+			if err != nil {
+				return nil, err
+			}
+			gitProviderUrl = u.Scheme + "://" + u.Host
 		}
-	}
-
-	if url, ok := component.Annotations[GitProviderAnnotationURL]; ok {
-		if gitProviderConfig == nil {
-			gitProviderConfig = &pacv1alpha1.GitProvider{}
-		}
-		gitProviderConfig.URL = url
-	}
-
-	if gitProviderConfig != nil {
-		repositoryGitProvider := gitProvider
-		// https://pipelinesascode.com/docs/guide/incoming_webhook/#incoming-webhook-url
-		if repositoryGitProvider == "bitbucket" {
-			repositoryGitProvider = "bitbucket-cloud"
-		}
-		gitProviderConfig.Type = repositoryGitProvider
+		gitProviderConfig.URL = gitProviderUrl
 	}
 
 	repository := &pacv1alpha1.Repository{
diff --git a/controllers/component_build_controller_unit_test.go b/controllers/component_build_controller_unit_test.go
index c2970f11..95788c14 100644
--- a/controllers/component_build_controller_unit_test.go
+++ b/controllers/component_build_controller_unit_test.go
@@ -986,7 +986,7 @@ func TestGeneratePACRepository(t *testing.T) {
 		expectedGitProviderConfig *pacv1alpha1.GitProvider
 	}{
 		{
-			name:    "should create PaC repository for Github application",
+			name:    "should create PaC repository for GitHub application",
 			repoUrl: "https://github.com/user/test-component-repository",
 			pacConfig: map[string][]byte{
 				PipelinesAsCodeGithubAppIdKey:   []byte("12345"),
@@ -995,7 +995,7 @@ func TestGeneratePACRepository(t *testing.T) {
 			expectedGitProviderConfig: nil,
 		},
 		{
-			name:    "should create PaC repository for Github application even if Github webhook configured",
+			name:    "should create PaC repository for GitHub application even if Github webhook configured",
 			repoUrl: "https://github.com/user/test-component-repository",
 			pacConfig: map[string][]byte{
 				PipelinesAsCodeGithubAppIdKey:   []byte("12345"),
@@ -1005,7 +1005,7 @@ func TestGeneratePACRepository(t *testing.T) {
 			expectedGitProviderConfig: nil,
 		},
 		{
-			name:    "should create PaC repository for Github webhook",
+			name:    "should create PaC repository for GitHub webhook",
 			repoUrl: "https://github.com/user/test-component-repository",
 			pacConfig: map[string][]byte{
 				"password": []byte("ghp_token"),
@@ -1019,6 +1019,65 @@ func TestGeneratePACRepository(t *testing.T) {
 					Name: pipelinesAsCodeWebhooksSecretName,
 					Key:  getWebhookSecretKeyForComponent(getComponent("https://github.com/user/test-component-repository", nil)),
 				},
+				URL:  "https://github.com",
+				Type: "github",
+			},
+		},
+		{
+			name:    "should create PaC repository for GitHub application on self-hosted GitHub",
+			repoUrl: "https://github.self-hosted.com/user/test-component-repository",
+			componentAnnotations: map[string]string{
+				GitProviderAnnotationName: "github",
+				GitProviderAnnotationURL:  "https://github.self-hosted.com",
+			},
+			pacConfig: map[string][]byte{
+				PipelinesAsCodeGithubAppIdKey:   []byte("12345"),
+				PipelinesAsCodeGithubPrivateKey: []byte("private-key"),
+			},
+			expectedGitProviderConfig: nil,
+		},
+		{
+			name:    "should create PaC repository for self-hosted GitHub webhook and figure out provider URL from source URL",
+			repoUrl: "https://github.self-hosted.com/user/test-component-repository/",
+			componentAnnotations: map[string]string{
+				GitProviderAnnotationName: "github",
+			},
+			pacConfig: map[string][]byte{
+				"password": []byte("ghp_token"),
+			},
+			expectedGitProviderConfig: &pacv1alpha1.GitProvider{
+				Secret: &pacv1alpha1.Secret{
+					Name: PipelinesAsCodeGitHubAppSecretName,
+					Key:  "password",
+				},
+				WebhookSecret: &pacv1alpha1.Secret{
+					Name: pipelinesAsCodeWebhooksSecretName,
+					Key:  getWebhookSecretKeyForComponent(getComponent("https://github.self-hosted.com/user/test-component-repository/", nil)),
+				},
+				URL:  "https://github.self-hosted.com",
+				Type: "github",
+			},
+		},
+		{
+			name:    "should create PaC repository for self-hosted GitHub webhook and use provider URL from annotation",
+			repoUrl: "https://github.self-hosted.com/user/test-component-repository/",
+			componentAnnotations: map[string]string{
+				GitProviderAnnotationName: "github",
+				GitProviderAnnotationURL:  "https://github.self-hosted-proxy.com",
+			},
+			pacConfig: map[string][]byte{
+				"password": []byte("ghp_token"),
+			},
+			expectedGitProviderConfig: &pacv1alpha1.GitProvider{
+				Secret: &pacv1alpha1.Secret{
+					Name: PipelinesAsCodeGitHubAppSecretName,
+					Key:  "password",
+				},
+				WebhookSecret: &pacv1alpha1.Secret{
+					Name: pipelinesAsCodeWebhooksSecretName,
+					Key:  getWebhookSecretKeyForComponent(getComponent("https://github.self-hosted.com/user/test-component-repository/", nil)),
+				},
+				URL:  "https://github.self-hosted-proxy.com",
 				Type: "github",
 			},
 		},
@@ -1108,19 +1167,26 @@ func TestGeneratePACRepository(t *testing.T) {
 			},
 		},
 		{
-			name:    "should create PaC repository for Github application on self-hosted Github",
-			repoUrl: "https://github.self-hosted.com/user/test-component-repository",
+			name:    "should create PaC repository for self-hosted GitLab webhook and use provider URL from annotation that has no protocol",
+			repoUrl: "https://gitlab.self-hosted.com/user/test-component-repository/",
 			componentAnnotations: map[string]string{
-				GitProviderAnnotationName: "github",
-				GitProviderAnnotationURL:  "https://github.self-hosted.com",
+				GitProviderAnnotationName: "gitlab",
+				GitProviderAnnotationURL:  "gitlab.self-hosted-proxy.com",
 			},
 			pacConfig: map[string][]byte{
-				PipelinesAsCodeGithubAppIdKey:   []byte("12345"),
-				PipelinesAsCodeGithubPrivateKey: []byte("private-key"),
+				"password": []byte("glpat-token"),
 			},
 			expectedGitProviderConfig: &pacv1alpha1.GitProvider{
-				URL:  "https://github.self-hosted.com",
-				Type: "github",
+				Secret: &pacv1alpha1.Secret{
+					Name: PipelinesAsCodeGitHubAppSecretName,
+					Key:  "password",
+				},
+				WebhookSecret: &pacv1alpha1.Secret{
+					Name: pipelinesAsCodeWebhooksSecretName,
+					Key:  getWebhookSecretKeyForComponent(getComponent("https://gitlab.self-hosted.com/user/test-component-repository/", nil)),
+				},
+				URL:  "https://gitlab.self-hosted-proxy.com",
+				Type: "gitlab",
 			},
 		},
 	}