His Excellency Engineer Saleh bin Nasser Aljasser, Minister of Transport, sponsored the inauguration of a new program to develop the car rental industry and the launch of a Ta’jeer, a new rental portal in Riyadh, earlier this week, in the presence of their excellencies, dignitaries, heads of security and governmental entities and the private sector associations.
In his speech, His Excellency stressed on the transportation system’s ambition to develop all transportation activities as it is the economy’s backbone and a channel to transport goods and passengers for all purposes. His excellency stated that the system gives each activity its own importance aligned with its nature, size, direct and indirect impact, its need for infrastructure, and regulatory controls, to reach higher ranks compared to developed countries in the field of transport and logistics in line with the Kingdom's pioneering position in the international scene and to achieve its ambitious vision 2030.
HE Aljasser explained that the car rental industry is one of the vital and important industries, as it serves a large segment of the society, citizens, and residents. This sector also intersects with other industries like tourism, entertainment, and business in so many ways, so it must witness a leap in integrated solutions in all its sectors and operations starting with legislation and engineering procedures reaching technologies and capabilities.
His Excellency Aljasser added that technologies, solutions, and tools provided are the first option to ensure that the legislation reflects reality in light of an accelerated digital transformation and the transition of traditional markets to e-markets, in a manner consistent with the geographical expansion of our country.
Hence came the Ta’jeer portal which is not only seen as a service online portal - but rather a technical arm for the application of all regulations and is possible for investment and rights protection, and a tool for regulation and quality control.
The Minister affirmed that the car rental industry and its success in Saudization since the partnership launch with the Ministry of Human Resources and Social Development in the field of traditional leasing prompted the authority to support pioneers and business leaders in the field of electronic leasing through applications.
Also, the distinguished experience in the field of a sharing economy in vehicle orientation was a starting point to see a similar experience in the car rental sector.
From his side, HE the Chairman of the Public Transport Authority, Dr. Rumaih Bin Muhammad Alrumaih said that the authority is working on developing this sector and prioritizing it due to its direct impact on the traffic and tourism sectors and its growing size in recent years, as the number of vehicles operating in the car rental industry exceeds 300 thousand vehicles. In addition, the Saudization process resulted in positive impact, as more than 22 thousand Saudi males and females are working in the industry, and the authority also started issuing the regulations that organize the industry and define the rights and obligations of both parties of the lease contract. The regulations also clarify matters related to insurance and return-vehicle policies and specified market entry requirements, vehicle specifications, and leasing periods.
The authority has also classified the establishments according to their size and geographical spread, with the identification of a special category for luxury cars, and the authority announces today the launch of service measurement points to shift from organizational control to performance control and the rental portal serves as a +guarantor tool for all these activities, as it includes the vehicle’s system and technical examination and the validity of its insurance.
And to preserve the rights of all parties in the case of any dispute, Alrumaih explained that the authority worked, and through its partnership with Taqeem, to assess the damages resulting from non-traffic accidents of the rental vehicles through accredited assessment centers.
Alrumaih emphasized during the inauguration that leasing through applications creates high comparative advantages in spreading the service and making it self-sufficient, and not limiting them to specific hours, this is in addition to increasing the income of individuals and the ease of integrating the car rental service with the public transportation system.
In conclusion, His Excellency thanked the Ministry of Interior, the Ministry of Human Resources and Social Development and the Saudi Authority for Accredited valuers "Taqeem", and valued their partnership in developing this vital field. He also thanked the authority’s partners from the private sector, represented by the Council of Saudi Chambers and Elm, describing it as the technical arm of the company.