Dubai Enhances Regulations on Petroleum Trading in the Emirate

Dubai has unveiled extensive new regulations aimed at regulating the trading of petroleum products, creating a more stringent framework for the import, storage, transportation, and sale of these commodities across the emirate. This initiative follows Executive Council Resolution No. 85 of 2025, issued by Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Crown Prince of Dubai.

This comprehensive resolution represents one of the most significant updates to the petroleum sector in recent years, with the objectives of enhancing economic stability while prioritizing environmental protection. It is applicable to all enterprises operating in Dubai, including those in free zones and special development areas, unless explicitly exempted by federal directives.

The Dubai Supreme Council of Energy has been given the primary responsibility for overseeing this sector. The Council’s duties now involve establishing competition standards, approving technical specifications, issuing necessary permits, and ensuring adherence to health, safety, and environmental regulations. Furthermore, it will determine suitable locations for fuel stations, set standards for transport vehicles and storage units, and identify regions where petroleum trading is prohibited.

Authorization will now be compulsory for any entity engaged in petroleum trading. Companies must provide confirmed documentation verifying the origin of petroleum materials before acquiring or renewing permits. Detailed guidelines have also been implemented regarding the transportation of petroleum, the establishment of fuel stations, and the importation of materials into the emirate.

Licensed companies are required to register with the Ministry of Energy and Infrastructure, and they may only trade from sanctioned sources. They must prominently display pricing, adhere to stringent safety protocols, maintain records of all petroleum sources for a minimum of five years, and report any incidents within 24 hours.

The new regulations introduce a tiered penalty system, imposing fines that could reach AED 1 million. Repeat offenders will see their fines doubled. In severe instances, authorities may halt operations, revoke permits, or cancel commercial licenses. Additionally, the Council possesses the authority to confiscate and dispose of non-compliant materials and vehicles.

Entities deemed responsible for damages must settle all repair costs, and should the Council need to intervene, a 25 percent administrative fee will be applied. Both government and non-government bodies have been directed to entirely support the implementation of these regulations, demonstrating a unified strategy to enhance oversight within the petroleum sector.

The enforcement of this resolution is anticipated to transform the petroleum trading landscape within Dubai, prioritizing transparency, accountability, and safety throughout the supply chain.