New transportation app regulations: Emergency button and fare waiver

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The Public Transport Authority in Saudi Arabia has issued new executive regulations for ride-hailing services, including a package of key decisions aimed at enhancing safety and quality in this vital sector. This step comes in response to the significant expansion of the ride-sharing market in the Kingdom and is part of efforts to regulate the relationship between service providers and users.

Context of development in the Saudi transport sector

The issuance of this regulation comes at a time when the Kingdom's transport and logistics sector is witnessing significant leaps forward, in line with the objectives of Vision 2030, which focuses on improving quality of life and leveraging digital transformation. Reliance on transportation applications has become an integral part of daily life for citizens and residents, necessitating more precise regulatory frameworks to ensure the sector's sustainability and protect the rights of all stakeholders, especially given the increasing number of users and companies operating in this field.

Passenger rights: No fare in these cases

In a move aimed at protecting consumer rights, the new regulations explicitly prohibit collecting fares from passengers in specific situations, most notably vehicle breakdowns during the journey or the driver's refusal to complete the trip for unjustified reasons. The authority also established a clear pricing mechanism requiring prior approval to ensure transparency and fairness in costs, while emphasizing the protection of passenger data and prohibiting its use for marketing purposes without explicit consent.

Emergency button and link with the Ministry of Interior

To enhance security and safety, the authority has mandated that transportation applications include an "emergency icon" within their apps, directly linked to the Ministry of Interior's security operations center. This advanced technical measure aims to ensure rapid response to emergencies and provide a safe transportation environment for both passengers and drivers, even after the journey has ended.

Strict requirements for vehicles and drivers

The regulations set out precise technical and operational standards, including:

Vehicle age: The operational life of the vehicle should not exceed 8 years from the year of manufacture.
Fleet size: Establishments are required to have a minimum fleet of no less than 10 vehicles.
Service for people with disabilities: Allocate at least two vehicles from the fleet to be equipped to serve people with mobility disabilities and the elderly.
Drivers are required to obtain an annual "professional driver's license," have a clean criminal record, and pass competency tests. The regulations also completely prohibit smoking inside vehicles and require drivers to wear a uniform.

Expected impact of the regulation

These regulations are expected to help eliminate unregulated practices from the market and enhance user confidence in ride-hailing services. They will also foster healthy competition among companies to provide the best services, positively impacting the experience of tourists, residents, and citizens, and strengthening the attractiveness of the transportation sector as a regulated and safe investment environment.

The authority warned those who violate these regulations of deterrent penalties, including financial fines and cancellation of licenses in case of non-compliance, stressing the need for a valid operating card for every vehicle operating in the activity.