The Shura Council has passed an article granting the Supreme Electoral Commission (SEC) the right to set election dates.
The law change on Sunday was made in response to a High Constitutional Court decision in May that deemed four articles in the parliamentary election law unconstitutional.
The president has the authority to call referendums and can set the date of elections if the House of Representative (lower house of parliament) is dissolved, the article adds.
The House of Representative was dissolved in June 2012 so the amendment means President Morsi is currently authorised to set election dates.
In addition, the article states, elections or referendums can be postponed by the president or the SEC in case of "necessity."
Among the four articles deemed unconstitutional by the court in May was one permitting the use of religious slogans during election campaigns.
The court also challenged the allocation of parliamentary seats across governorates which it said did not tally with population density and thus did not ensure equal representation.
President Mohamed Morsi originally called for parliamentary elections to take place in April but they were postponed due to a constitutional court decision in March.