Regulatory Arrangements for the Saudi Red Sea Authority

First

Secondly

  • The authority enjoys legal personality and financial and administrative independence, and is organizationally linked to the Minister. Its main headquarters is located in the city of Riyadh. It has the right to establish branches or offices within the Kingdom as needed.

Thirdly

  • The Authority aims to regulate maritime activities and enable the practice of marine activities within the geographical scope, ensuring optimal and sustainable use of these resources and contributing to enhancing their efficiency. The Authority may undertake all necessary actions to achieve its objectives, including the following:

  • 1- Establishing policies, strategies, plans, and programs necessary to enable the practice of marine activities, organizing maritime activities, and working towards their development and sustainability, while raising any matters that require completion of procedures in this regard, without prejudice to the competencies assigned to other entities.

  • 2- Issuing the necessary licenses and permits to regulate maritime activities within the geographical scope, according to the requirements and conditions set by the Council, provided that this does not affect the completion of the requirements and conditions approved by any other relevant entity.

  • 3- Enabling the practice of maritime activities and marine activities, in coordination with the relevant authorities.

  • 4- Monitoring the requirements, conditions, and procedures of the relevant entities related to enabling the practice of maritime activities and marine activities, and proposing what it deems necessary.

  • 5- Reviewing the competencies and tasks of the entities that carry out work within the geographical scope, and proposing any amendments it sees fit, in coordination with those entities.

  • 6- Proposing what it deems appropriate regarding the unregulated competencies and tasks of entities within the geographical scope - if any - while ensuring that this does not affect aspects related to the environment and natural resources, and the requirements of maritime security and safety, and raising any necessary matters.

  • 7- Establishing a mechanism - in coordination with the relevant authorities - to ensure the protection of the marine environment in areas where maritime activities and marine activities are practiced, which should include defining the Authority's role in monitoring its implementation, and what urgent actions need to be taken in case of violations.

  • 8- Delegating some of its tasks to a government entity, in agreement with the delegated entity, and assigning some of its tasks to the private sector, according to the controls approved by the Council.

  • 9- Encouraging the practice of maritime activities and marine activities, and taking necessary actions to enable those interested in practicing them.

  • 10- Taking necessary actions to encourage and attract investment in maritime activities and marine activities, in coordination with the relevant authorities.

  • 11- Providing administrative, technical, and consulting support to investors in maritime activities and marine activities, including small and medium enterprises, in cooperation with the relevant authorities.

  • 12- Working on marketing maritime activities and marine activities to attract targeted practitioners of those activities.

  • 14- Identifying current and future needs necessary to prepare the infrastructure for maritime activities and marine activities within the geographical scope, and coordinating with the relevant entities to take necessary actions in this regard.

  • 14- Benefiting from international practices in this field to develop marine activities, and taking necessary actions regarding that.

  • 15- Cooperating and exchanging experiences with regional and international bodies and organizations, within the limits of the Authority's competencies.

  • 16- Holding and organizing forums, conferences, maritime forums, and exhibitions inside and outside the Kingdom and participating in them, in accordance with the relevant regulatory provisions.

Fourthly

  • The Authority shall have a Board of Directors chaired by the Minister and composed of the following members:

  • 1- Minister of Sports                                                   Member

  • 2- Minister of Culture                                                   Member

  • 3- A representative from the Ministry of Interior (General Directorate of Border Guard)    Member

  • 4- A representative from the Ministry of Environment, Water, and Agriculture                       Member

  • 5- A representative from the Ministry of Municipal and Rural Affairs and Housing          Member

  • 6- A representative from the Ministry of Tourism                                        Member

  • 7- A representative from the Saudi Ports Authority                                 Member

  • 8- A representative from the Transport General Authority                                    Member

  • 9- A representative from the Saudi Tourism Authority                              Member

  • 10- A representative from the Public Investment Fund                        Member

  • 11- The Secretary of Jeddah Governorate                                              Member

  • 12- The CEO of NEOM Company                                   Member

  • 13- The CEO of the Red Sea Development Company               Member

  • 14- Specialists and experts numbering no less than (three) members and no more than (five) members in fields related to the Authority's work, nominated by the Minister, and their appointment shall be issued by an order from the President of the Council of Ministers, with a membership term of three years, renewable once.

  • The rank of representatives from government entities must not be less than (fifteenth) or its equivalent.

Fifthly

  • The Council is responsible for overseeing the affairs of the Authority and managing its matters, and it makes all necessary decisions to achieve its objectives within the limits set by the arrangements. It has, in particular, the following powers:

  • 1- Approving the policies, strategies, plans, and programs necessary for navigational activities and marine activities, taking into account the competencies of other entities.

  • 2- Approving the pathways for conducting navigational activities and marine activities, taking into account the competencies of other entities.

  • 3- Approving the requirements and conditions related to the licenses and permits issued by the Authority.

  • 4- Approving the controls for assigning some of the Authority's tasks to government entities, provided that the assignment of any task to another government entity is with the approval of that entity.

  • 5- Approving the controls for assigning some of the Authority's tasks to the private sector.

  • 6- Approving the financial and administrative regulations that govern the Authority and other necessary internal and technical regulations to manage its affairs, provided that the approval of the administrative regulations is in agreement with the Ministry of Human Resources and Social Development, and that the approval of the financial regulations and the provisions with financial implications in the administrative regulations is in agreement with the Ministry of Finance.

  • 7- Approving the organizational structure of the Authority.

  • 8- Approving the annual operational plans.

  • 9- Determining the financial compensation for the services and works provided by the Authority related to its objectives and competencies, in agreement with the Ministry of Finance and the Non-Oil Revenues Development Center.

  • 10- Proposing draft laws related to the Authority's objectives and competencies, and proposing amendments to those in effect; in preparation for submitting them to complete the legal procedures regarding them.

  • 11- Appointing one or more external auditors and an internal financial controller.

  • 12- Approving the Authority's annual budget project, its final account, the auditor's report, and the annual report; in preparation for submitting them according to the established legal procedures.

  • 13- Reviewing the periodic reports submitted regarding the progress of work in the Authority.

  • 14- Approving the conclusion of agreements, protocols, and contracts, according to the established legal procedures.

  • 15- Approving the acceptance of gifts, donations, grants, bequests, and endowments in accordance with the regulations governing that.

  • 16- Approving the opening of branches or offices for the Authority within the Kingdom.

  • The Council may form permanent or temporary committees from its members or others, assigning them tasks it deems appropriate, specifying in the formation decision of each committee its chairperson, members, and competencies, and may seek assistance from those it deems necessary to perform some of the tasks assigned to it.

  • The Council may delegate some of its competencies to its chairperson or to any of its members or employees of the Authority, as required by the workflow.

Sixthly

  • 1- The Council meetings are held at the headquarters of the Authority, and may be held elsewhere by a decision of the President.

  • 2- The Council holds its meetings periodically (four) times a year, and the President may call for a meeting whenever necessary, or if requested by at least (one-third) of its members. The invitation to the meeting is sent by the President - in writing - at least (seven) days prior to the meeting date, and must include the agenda.

  • 3- A Council meeting is valid if attended by the majority of the members - at least - including the President or his delegate in case of his absence, and decisions are made by a majority of the votes of those present. In the event of a tie, the side that the President of the meeting voted for prevails.

  • 4- The deliberations and decisions of the Council are recorded in minutes signed by the President of the meeting and the attending members.

  • 5- The Council may hold its meetings and vote on its decisions remotely; using technological means.

  • 6- The Council may invite anyone it deems appropriate to attend its meetings to provide information, opinions, clarifications, or similar, without having the right to vote.

Seventh

  • The Authority shall have an Executive President - appointed by the President - who shall be appointed and dismissed by a Decision from the Council. The Decision shall specify his salary and other financial benefits, and he shall be responsible for managing the affairs of the Authority. His responsibilities shall be limited to the arrangements and what the Council approves, and he shall undertake the following competencies:

  • 1- Proposing policies, strategies, plans, and programs necessary for navigational activities and marine activities, taking into account the competencies of other entities, in preparation for submission to the Council.

  • 2- Proposing pathways for conducting navigational activities and marine activities, taking into account the competencies of other entities, in preparation for submission to the Council.

  • 3- Proposing controls for assigning some of the Authority's tasks to the private sector, in preparation for submission to the Council.

  • 4- Supervising the workflow in the Authority, in accordance with the approved laws, regulations, plans, and programs.

  • 5- Supervising the preparation of financial and administrative regulations and internal regulations to manage the affairs of the Authority; in preparation for submission to the Council.

  • 6- Proposing the organizational structure of the Authority, in preparation for submission to the Council.

  • 7- Supervising the preparation of the Authority's annual report and draft budget and final accounts; in preparation for submission to the Council.

  • 8- Preparing reports related to the implementation of the Authority's plans and programs, and presenting them to the Council.

  • 9- Signing agreements, protocols, and contracts after the Council's approval, and in accordance with the applicable legal procedures.

  • 10- Representing the Authority before the Judiciary, and before government entities, institutions, and other relevant bodies, as well as other entities inside and outside the Kingdom, and he may delegate others to do so.

  • 11- Disbursing from the Authority's budget, and taking all financial procedures in accordance with the laws and regulations approved by the Council, within the limits of the powers delegated to him by the Council.

  • 12- Contracting for the execution of works, services, and others, in accordance with the laws and powers delegated to him by the Council.

  • 13- Issuing the necessary decisions to implement the provisions contained in the arrangements and regulations issued thereunder, according to the powers granted to him.

  • 14- Appointing the Authority's personnel in accordance with the regulations governing that, and supervising their performance.

  • 15- Any other competencies assigned to him by the Council.

  • The Executive President may delegate some of his competencies to whomever he sees fit among the Authority's personnel.

Eighth

  • The administrative regulations of the authority specify all provisions governing its administrative affairs, including provisions regulating the status of its personnel, and matters related to the management of its affairs.

Ninth

  • The Authority shall establish an electronic platform that connects all entities represented in the membership of the Council; for the purpose of coordinating between them to facilitate the procedures for issuing licenses and permits in accordance with the provisions of these arrangements, and the Council may add any other relevant entities it deems appropriate to connect them to that platform.

Tenth

  • 1- The resources of the Authority consist of the following:

    • A- What is allocated to it in the state’s general Budget.

    • B- The financial compensation it receives for the services and works it provides.

    • C- What the Council accepts in terms of gifts, donations, grants, bequests, and the proceeds of endowments.

    • D- Any other resource approved by the Council that does not violate the regulations and instructions.

  • 2- All revenues of the Authority shall be deposited in the current account of the Ministry of Finance at the Saudi Central Bank.

  • 3- The Authority shall open an account for itself at the Saudi Central Bank, and it may open other accounts at any of the banks licensed to operate in the Kingdom, and withdrawals from these accounts shall be made in accordance with the Authority's Budget.

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