Dubai sets new rules to regulate petroleum trading

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Dubai has introduced new regulations related to the trading of petroleum products across the emirate.

The decision comes under Executive Council resolution no. 85 of 2025 issued by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister, and Minister of Defence.

The resolution aims to strengthen economic and environmental security by regulating the import, manufacture, storage, transport, sale and supply of petroleum products, and by cracking down on illegal trading.

It applies to all entities operating in Dubai, including free zones and special development zones, except those exempted by federal decision.

Under the resolution, the Dubai Supreme Council of Energy will oversee the sector, set competition rules, approve technical standards, and ensure compliance with health, safety and environmental requirements.

The Council will also issue and renew permits, determine where fuel stations can be built, set standards for transport vehicles and storage facilities, and designate areas where petroleum trading is prohibited.

No company may engage in petroleum trading without authorisation, and all permits must be backed by verified documentation showing the source of the petroleum materials.

The rules outline permit types and validity periods, as well as procedures for transporting petroleum, establishing fuel stations, and importing materials.

Licensed entities must register with the Ministry of Energy and Infrastructure, trade only from approved sources, display prices clearly, follow strict safety standards, and report incidents within 24 hours. Records of petroleum sources must be kept for at least five years.

Violations carry escalating fines of up to AED 1 million, with repeat offences incurring double penalties.

The Council may suspend operations, cancel permits, revoke commercial licences, or seize and dispose of non-compliant materials and vehicles.

Offenders must also repair any damage at their own expense, with a 25 per cent administrative fee added if the Council must intervene.

The resolution also requires full cooperation from all government and non-government entities to support enforcement efforts.

 

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