Dubai issues new regulations for road transport, vehicle rental firms

The new resolution is applicable to all the relevant entities in Dubai – including those based in free zones

Dubai has issued new rules to regulate road transportation and vehicle rental activity in the emirate.

The rules are part of a new resolution issued by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and chairman of Dubai Executive Council, official news agency WAM reported.

The resolution is aimed at regulating the transportation of passengers, goods, valuables, packages, foodstuff and furniture by specialised companies and also oversees the rental of buses, trucks, recreational vehicles, motorcycles and bicycles.

Applicable to all the relevant entities in Dubai – including those based in special development zones, free zones and DIFC – the resolution forbids anyone from undertaking any transportation activity or renting transportation vehicles without obtaining a permit from RTA’s Licensing Agency.

The permit is valid for a renewable term of one year.

The RTA’s Licensing Agency will evaluate and approve applications, determine the number of vehicles operated by each company, monitor adherence to permit terms and conditions, and establish and manage a database for the activities, entities and vehicles.

Entities that receive a licence are only allowed to conduct those activities defined in the permit and have to ensure the provision of an office, vehicles and parking space suitable for the licenced activity.

The resolution also details the RTA Licensing Agency’s approved fees, fines and penalties for any violations, and grievance procedures.

Government entities are exempt from the resolution.

All entities undertaking road transportation and vehicle rental activity must comply with the provisions of the new resolution within one year of its date of issuance, the report said. However, this period may be extended by the RTA.

The resolution will be valid 60 days after it is published in the official gazette.