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New sting operation tackles illegal diesel trade; fines several violators

A new sting operation, as part of the ongoing joint inspection campaign organised by a committee of various Dubai government entities, has fined several companies and agents involved in illegal trade of diesel in the United Arab Emirates (UAE).

The campaign was announced at the beginning of the year, following a meeting held by the concerned authorities Emirates Authority for Standardisation & Metrology (ESMA), Dubai Civil Defence, Dubai Department of Economic Development (DED), Dubai Municipality, Roads & Transport Authority (RTA), Dubai Police and Emirates National Oil Company (ENOC). The committee decided to take joint measures regarding the activation of the UAE Federal Cabinet decision no. 37 of 2013 that requires traders and agents working in this sector to fully commit to the UAEs laws and legislations in effect.

Since the creation of the committee, four sting operations have been undertaken resulting in unravelling the illegal activities of several companies involving diesel that does not comply with the industry standards and specifications. Other violations include trading without obtaining necessary permits from concerned authorities in the emirate, or non-abidance with the trading activities prescribed by the trade license.

Through this campaign, Dubai Government entities are taking strong actions against violators, with fines being imposed when any irregularities are found, including non-conformance to the specifications and standards set by ESMA and other associated safety and environmental preservation and storage standards. The sting operations will continue until all companies active in this vital sector adhere to the related laws and regulations.

Saif Al Falasi, ENOCs Group Chief Executive Officer, said: We thank all government entities and stakeholders for their invaluable support in achieving the campaign goals, which supports the UAEs efforts towards achieving the Green Economy for Green Development initiative launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.

As the first country in the region to approve the standards of diesel, it is imperative that we take strict measures to ensure compliance with the highest levels of safety, quality and commitment to environmental standards. Undoubtedly, close cooperation between ENOC and the different government entities will help regulate the oil derivatives market and limit illicit activities that have negative implications on the countrys economy, the environment and public health, Al Falasi added.

Al Falasi also took the opportunity to express his deepest appreciation to the support received from Nader Al Fardan, Director, and Ahmed Al Majid, Marketing & Business Development Manager, both of Industrial Products Marketing; who have taken the lead from ENOCs side to ensure the success of this campaign.

Ahmad Bahrozyan, Chief Executive Officer of Licensing Agency at RTA, said: The daily vehicle inspection campaigns by RTA constitute a very important part of its efforts towards controlling and issuing violations against illegal activities. The team is present at eight vital locations across Dubai, in addition to the dedicated land plot at Al Hubab area for vehicle impoundment. RTA strives to cooperate with all government entities, each according to its respective jurisdiction, by taking part in similar inspection campaigns. The joint committee hopes to control the irregularities and contraventions in the diesel trading sector, which fully supports the UAE cabinet decision to use the new, low-sulphur diesel.

Alia Al Harmoudi, Director of the Environment Department at Dubai Municipality, pointed out that the campaign has been successful due to the concerted efforts of the participating entities, including Dubai Municipality, as they bear the responsibility of inspecting and controlling industrial and service facilities within the boundaries of Dubai. Such measures enable the concerned authorities to verify compliance levels with the adopted environmental laws and legislations issued with the aim of protecting the multiple environmental elements - namely, air, water and soil.

Dubai Municipalitys environmental inspection and control team actively contributed to the campaign by checking how much fuel trading facilities satisfy the adopted environmental standards that require all facilities to obtain an environmental permit for fuel storage. All fuel types are classified under the category of hazardous merchandise that has to be managed in line with strict environmental terms and limitations which clearly state that storage must not have any negative effect on the environment, public health and social welfare, added Al Harmoudi, who also noted that all offenses were fined during the campaign and violators are now being checked to check if they have taken the necessary corrective measures according to a specific timeline.

For his part, Zaid Alqufaidi, Managing Director of ENOC Marketing, said: Several serious violations were recorded during the joint inspection campaign, and Dubai government entities played a key role in controlling these violations and imposing the due penalties against offenders according to their jurisdictions. This initiative would not have been so successful without the concerted efforts and advanced levels of coordination among all the involved entities. The continuity and persistence of such campaigns have definitely limited the irregularities both in numbers and quality.

In July 2014, ENOC became the regions first company to sell low-sulphur, eco-friendly diesel via its network of commercial and retail stations where employees have made diligent efforts to raise customers awareness about the importance of using the new diesel type.

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