The Roads and Transport Authority (RTA) reasserted that all Dubai based car rental firms must have their own parking spot or garage to park their cars and avoid using spots meant for public utilization.
The Director of Commercial Transport Activities at RTA’s Licensing Agency, Nasir Al Haj, told the Khaleej Times that vehicle rental companies should register at least ten cars, and also must share proof that they have sufficient space to park their cars. Those who do not follow the criteria, will risk losing their trading license.
Moreover, the RTA has announced other requirements that must be met to receive a car rental permit in Dubai. Nasir Al Haj said, “The company is required to provide a minimum of 10 cars during the initial year at the main office and three vehicles in each branch. In case an entity owns automobiles exceeding Dh600,000 in worth, the business shall have at least five vehicles.”
Small car rental firms operating in areas such as Bur Dubai, Deira or Karama will face an increment in expenses due to limited parking availability. Rental car giants such as Thrifty Rent a Car will enjoy lower costs of scale, as it owns a large volume of cars and is located at airports and malls, where parking is accessible.