Dubai Mandates Stricter Regulations for Petroleum Trade

Post by : Bianca Hayes

Dubai is implementing comprehensive regulations that reshape the petroleum trading landscape. Following the issuance of Executive Council Resolution No. 85 of 2025 by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the regulations introduce a more stringent framework for the import, storage, transport, and sale of petroleum products across the emirate.

This resolution is among the most significant sector updates in years, aiming to bolster economic stability while safeguarding the environment. It encompasses all businesses in Dubai, including those in free zones, with exemptions only by federal decree.

The Dubai Supreme Council of Energy is now tasked with overseeing the industry. Its responsibilities will include establishing competitive standards, approving technical specifications, issuing permits, and ensuring adherence to health, safety, and environmental regulations. Furthermore, the Council will determine suitable sites for fuel stations, set guidelines for transport vehicles, and outline areas that are off-limits for petroleum trading.

Authorization is now compulsory for all entities involved in petroleum trading. Companies will need to provide validated documentation showcasing the origin of petroleum products to acquire or renew their permits. Thorough procedures have also been established for the transportation of petroleum, the establishment of fuel stations, and the importing of products into the emirate.

Licensed entities must register with the Ministry of Energy and Infrastructure and can only trade from verified sources. They are required to display prices transparently, comply with safety measures, keep records of petroleum origins for a minimum of five years, and report any incidents within a 24-hour timeframe.

The resolution enacts a tiered penalty system, with fines reaching up to AED 1 million. Repeat offenders will face doubled penalties, and in severe instances, operations may be suspended, permits revoked, or commercial licenses withdrawn. The Council has the authority to confiscate and dispose of materials and vehicles that do not comply.

Those causing damage will be liable for repair costs, with an added 25% administrative fee if the Council must intervene. Both government and non-government entities are directed to fully support the enforcement of these regulations, demonstrating a consolidated effort to enhance regulatory oversight in the petroleum industry.

These new regulations are poised to revolutionize the trading of petroleum products in Dubai, fostering a culture of transparency, responsibility, and safety along the supply chain.

Nov. 28, 2025 10:58 a.m. 603

UAE News