JEDDAH — Foreign companies are competing for contracts to operate fuel stations on expressways that lead to the Two Holy Mosques, Makkah daily reported. These companies have presented their offers to the Ministry of Municipality and Rural Affairs and the Saudi Arabian General Investment Authority (SAGIA). The ministry has set strict standards to assess eligible companies. Operating companies will be subject to a one-year evaluation period, after which they may be granted a permanent three-year license to operate fuel stations. Monitoring committees will conduct periodic field visits to these stations to evaluate the standard of operations. The ministry has allowed foreign investors into this sector after they obtain the required license from SAGIA. Sources in the committee for evaluating expressways fuel stations said new legislation has also allowed foreign investors to build hotels and furnished apartments to provide high standards of accommodation to pilgrims and Umrah visitors. The sources added the ministry would not allow new companies to operate more than one fuel station unless they receive positive first-year evaluations. SAGIA has received requests for operating fuel stations and the ministry, in cooperation with the authority, is entrusted to issue licenses to foreign investors in the Kingdom, the sources said. Saeed Aseeri, director of a tourism investment group, is against allowing foreign investors free access to such opportunities. He believed such investments should be in the form of conglomerates between foreign and local investors. Aseeri, also a member of the tourism committee at the Jeddah Chamber of Commerce and Industry (JCCI), asked the Ministry of Municipal and Rural Affairs to reconsider its decision unless there is no local interest in operating such businesses. He believed foreign companies do not necessarily have the required qualifications and quality to offer high-level services. “The Saudi chambers, of which some are in a deep sleep, should set up conglomerates to invest in and manage local fuel stations,” he said. Different government bodies have submitted various reports on the condition of fuel stations on expressways, pointing to the lack of cleanliness and inferior services offered. The Makkah governorate has set up a committee to monitor the legality, hygiene, and environmental consideration of such fuel stations and granted owners a certain period of time to comply with the rules. New regulations by the Ministry of Municipal and Rural Affairs have prevented owners from selling or subletting their licenses to others.
