Dubai has introduced a comprehensive law to regulate its contracting sector, aiming to bolster legal frameworks and align with global standards.
Law No. (7), issued by Sheikh Mohammed bin Rashid Al Maktoum, vice-president and prime minister of the United Arab Emirates (UAE), is set to enhance oversight, transparency, and accountability within the industry.
The legislation establishes a unified regulatory framework, crucial for contractor classification and adherence to Dubai’s building codes and planning regulations.
It stipulates penalties for noncompliance, including fines and potential suspension or downgrading of contractor classification.
The law supports the emirate’s vision for sustainable development and industry advancement, in line with international best practices.
A pivotal element of the law is the formation of the ‘Contracting Activities Regulation and Development Committee’, chaired by a Dubai Municipality representative.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe committee will oversee contracting activities, supervise the law’s implementation, and propose sector-specific policies and legislation. It will also resolve regulatory disputes and adopt a code of ethics for the sector.
The law’s jurisdiction extends to all contractors in Dubai, including those in special development and free zones, with certain exemptions.
Dubai Municipality is responsible for creating an integrated electronic system for contractor registration, linked to the ‘Invest in Dubai’ platform, and for issuing professional competency certificates.
Existing contractors in Dubai must regularise their status within one year, with a possible extension. The law will take effect six months after publication in the Official Gazette, superseding any conflicting legislation.
In April this year, UAE-based developer Azizi Developments unveiled a master-planned community in Dubai. The $20.4bn Azizi Milan project is designed to be a zero-carbon community.
