Jordanian by-law regulating ride-hailing companies released in Official Gazette


Published: 2018-05-02 18:35

Last Updated: 2018-05-03 11:18

Jordanian by-laws regulate ride-hailing apps. (arabiabusiness)
Jordanian by-laws  regulate ride-hailing apps. (arabiabusiness)

The latest issue of the Official Gazette published on Wednesday included amendments to the by-law that regulates “transportation services through the use of smartphone applications.”

The amendments are based on decision made by the council of ministers on April 22, and accordingly, the registration fees for companies have been raised from 50,000 to 100,000, to be paid to the Central Bank of Jordan.

Under the amended by-law, companies must provide a bank guarantee in the name and capacity of its manager amounting to JD 50,000 for up to 1000 cars and JD 100,000 if they have more than that number of cars.

Within a month of registration, companies must obtain insurance policies to include passengers, which cover a of minimum JD 20,000 per accident.

Furthermore, companies must install tracking devices and monitor the performance of their drivers, where managers are personally liable in the case of accidents.

The annual fees paid to the Land Transport Regulatory Commission amount to JD 100,000 for up to 3000 cars, where a JD 70 fee is incurred for every additional car.

Any car registered and licensed car in jordan, regardless of the type of its registration, is allowed to sign on to ride-hailing apps as long as it is newer than five years. Such cars can only be operated by the original driver or a first or second degree relative.

The amendments further stipulated that at least 25 percent of the cars operating in the company must be yellow taxis, which are exempt from being operated by only second degree relations and the additional taxes.