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Draft Law Paves Way for Federal Railway Network

ABU DHABI - A country-wide railway system is a step closer after the Ministerial Council of Services approved a draft law for the establishment of a federal railway corporation. The fully owned government corporation will set up and run the rail system planned to meet the country’s growth and economic expansion.

The railway network will facilitate the transport of goods and passengers raise the trade traffic among the seven emirates. It will also help mitigate the traffic bottlenecks and cut down heavy vehicle traffic on highways.

As part of a longer term plan for a GCC train network, the rail system will provide efficient links with neighbouring countries,

The federal rail network, completely owned by the corporation, will form the baselines to meet the requirements to link up with the GCC states and the member countries of United Nations Economic and Social Commission for Western Asia.

According to the draft law, the railway corporation will own, rent, hire, purchase, sell and operate railway trains.

The corporation will also be responsible for making investments in passenger and freight transportation and all works related to the railway system.

The draft law stipulates that the corporation shall have an independent corporate identity and full legal cover to carry out its activities.

In a Federal National Council meeting in January this year, Khaleej Times reported that the Federal Railway Project tender would be floated in 2015. During the session, the Minister of Public Works Shaikh Hamdan bin Mubarak Al Nahyan said the project had been submitted after a council committee conducted a study on the project.

The National Transport Authority had, at that point, been responsible for drafting the laws necessary for implementing the project and planning the route.

Dubai’s Roads and Transport Authority has also conducted a comprehensive study, as reported in Khaleej Times in February, on the need for cargo rail lines.
 
 
 

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