|23 January, 2020

Shifting houses, renting car? Dubai issues new rules

Issuance of this decision is part of a plan for leveraging road transport and streamlining vehicle rental activities in the emirate.

Electronic car Udrive which provides car rental by the minute is seen parked in down town Dubai, United Arab Emirates, December 28, 2018. Image used for illustrative purpose.

Electronic car Udrive which provides car rental by the minute is seen parked in down town Dubai, United Arab Emirates, December 28, 2018. Image used for illustrative purpose.

REUTERS/ Hamad I Mohammed

Dubai's Roads and Transport Authority (RTA) has issued Administrative Decision No. 706 of 2019 in implementation of the Executive Council's Resolution No. 47 of 2017 for regulating road transport and car rental activities in Dubai, which is aimed at regulating the transportation of passengers, goods, valuables, packages, foodstuff and furniture by specialised companies.

The resolution also regulates the rental of buses, trucks, recreational vehicles, motorcycles and bicycles.

"The issuance of this decision is part of a plan for leveraging road transport and streamlining vehicle rental activities in the Emirate. The overall objective is to regulate the practicing of such activities in this vibrant city," said Sultan Al Marzooqi, Director of Commercial Transport Activities at RTA's Licensing Agency.

"The decision clearly defines the roles of RTA's Licensing Agency in this regard, which include deciding on applications for permits covered by the decision, and specifying the number of vehicles the company may operate for delivering passenger transport and setting up a database for activities, facilities and vehicles covered by this decision.

"The decision authorised the Licensing Agency to prepare and approve technical and safety standards for operating vehicles, and monitor the compliance of operators with permits & franchise contracts. In the event of breaching stipulations, the applicable penalties shall apply as provided for in the decision," explained Al Marzooqi.

He added that in coordination with the licensing entities in the Emirate, companies had to seek RTA's approval; a prerequisite for the completion of the issuance, renewal and amendment of permits in case they are related to an activity mentioned in the decision.

"The number of transportation and car rental companies registered in Dubai is 12,000 and the number of vehicles registered for transportation and rental activities is 255,000," he confirmed.

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