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Abu Dhabi regulates freight transport sector

Abu Dhabi - The new regulation, which aims at boosting the level of safety for freight transportation, is a quantum leap for freight licensing compared to procedures and regulations that have been adopted in the past.

Abu Dhabi's Department of Transport has directed more than 3,500 freight transportation/logistics firms to submit name of their transport manager or in charge of drivers and provide details on their existing fleet for securing a no objection certificate or NOC.
The new regulation, which aims at boosting the level of safety for freight transportation, is a quantum leap for freight licensing compared to procedures and regulations that have been adopted in the past.
The DOT, in collaboration with the Abu Dhabi Department of Economic Development, has developed and implemented new requirements for the NOC for road transport commercial licenses, which went into implementation phase on October 20.
In the first phase, the department is seeking information on key people to open communication lines for an effective enforcement so that they can be informed of new guidelines, rules and directions in future, said Ali Fahad Al Nuaimi, director of commercial relations at the Department of Economic Development in Abu Dhabi. The development is part of Abu Dhabi Freight Master Plan, which comprises 56-recommendations across nine themes. Freight division's five-year plan focuses on 13 priority actions, said Ahmed Al Hammadi, the director of freight transportation, at the Department of Transport.
The new trade registration procedures that have come into effect for land freight transportation will be applicable on all operators of all sizes as well as on anyone wishing to obtain a trade license for freight transportation. It will help create an effective freight governance framework which will target minimum standards for a logistics firm to operate. The minimum standard would encourage fairer operating environment; improved industry image which will lead to greater investments.
The new regulation would lead to a level playing field for the logistics industry, who complains of competition from firms in unorganised sector, said Jonathan James, sector head freight policies at department of transport.
Such regulations would encourage more investments into the logistics sector, he said. "We are keen to bolster land freight transportation sector and move it forwards. By joining forces with the DED and Abu Dhabi Police, we aim to ensure a smooth transition into a more active, safer and better freight transportation sector that will benefit all stakeholders."
Brent Melvin, general manager supply chain division, at Massar Solutions, a government owned Logistics Company in Abu Dhabi, supported the initiative to regulate the transport operators.
He said it would improve safety in a sector that is criticized for shabby trucks and poor driver behavior. "This is the first step towards more stringent controls that will improve the transport sector by making organizations and their staff accountable for vehicle quality and driver capability, "he said.
"It is good to see the DOT taking lead on what should be a Federal requirement for all registered transport operators. It is vital that the transport industry moves toward a more regulated and controlled environment in an effort to bring all transporters to a higher standard of safety and quality for all road users," Melvin said.
On seeking information on key persons, he said the DOT is following a United Nations approach in having transport managers registered as the accountable within an organization. "This puts a tremendous responsibility on the individual to be accountable for his operating fleet when the additional requirements referred to become effective. This will limit the risks a transporter is willing to take if the enforcement is consistent," he said.
The DoT provides online applications for no-objective certificates for companies by registering in the website: www.freight2003.ae.
In future, the DoT plans to request further information from freight operators in Abu Dhabi. This information includes details of truck maintenance, driver management system and register archiving. Operators can get information by logging onto website or visiting business centre at DED.
To date the department has had no requirements for road freight operators relating to commercial licenses.
He said applications for NOCs for these commercial license types are approved automatically.
- haseeb@khaleejtimes.com

• Abu Dhabi