Dubai has tightened up regulations relating to the trading, manufacture, supply, storage and transport of petroleum products, in line with global best practices
The resolution was issued by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence, in his capacity as Chairman of The Executive Council of Dubai, in a bid to curb illegal trading, mitigate environmental impact, and safeguard lives, property, and public safety.
Provisions of the resolution apply to all entities engaged in these activities across Dubai, except for companies exempted by a UAE Cabinet decision.
The Dubai Supreme Council of Energy is now responsible for overseeing petroleum trading activities in the emirate. Its duties include setting rules on competition and market concentration, approving technical standards and procedures for trading, storage, transport, sale, and use of petroleum, and ensuring compliance with health, safety, and environmental requirements.
The Council also issues, renews, and amends permits, determines the number and locations of fuel stations, approves standards for transport vehicles, storage facilities, and household gas cylinders, and identifies areas within the emirate where the trading of petroleum products is prohibited, in coordination with the relevant authorities.
The resolution prohibits any person from engaging in petroleum trading activities in the emirate without authorisation from the licensing authority. Such activities may only be carried out after the source of the petroleum materials has been verified and documentation confirming acquisition from a Council-approved company has been submitted.
According to the resolution, violations of petroleum trading rules incur fines up to a maximum of one million dirhams.
The Supreme Council of Energy has the power to cancel permits, temporarily close facilities for up to six months, revoke commercial licences, and seize, destroy, or re-export petroleum materials and vehicles that do not comply with the rules.
