Railway Law and its Executive Regulation

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  • Decision No.: (692)

  • Date: 1445/8/17 AH

  • The Council of Ministers

  • After reviewing in its session chaired by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, the two correspondences received from the Royal Court No. 74576 dated 28/11/1443 AH, and No. 79040 dated 18/12/1443 AH, including the letter of His Excellency the Minister of Transport and Logistic Services, Chairman of the Board of Directors of the Transport General Authority No. 5052 dated 17/11/1441 AH, regarding the draft Railway Lines Law.

  • After reviewing the aforementioned draft law.

  • After reviewing theRailway Transport Lawissued by Royal Decree No. (M/33) dated 24/5/1433 AH.

  • After reviewing the server process No. (782) dated 6/4/1443 AH, and memoranda No. (1177) dated 22/12/1441 AH, No. (1605) dated 19/7/1443 AH, No. (1601) dated 26/5/1444 AH, No. (3056) dated 13/10/1444 AH, No. (3930) dated 23/12/1444 AH, No. (747) dated 2/3/1445 AH, No. (1286) dated 16/4/1445 AH, and No. (2576) dated 17/7/1445 AH, prepared by the Bureau of Experts at the Council of Ministers.

  • After reviewing the recommendation of the Council of Economic and Development Affairs No. (1-7/45/T) dated 29/5/1445 AH.

  • After considering the Shura Council decision No. (279/43) dated 22/11/1443 AH.

  • After reviewing the recommendation of the General Committee of the Council of Ministers No. (8071) dated 27/7/1445 AH.

  • It is decided as follows:

    • First: Approval of the Railway Lines Law, in the attached form.

    • Second: The law - referred to in item (First) of this decision - shall, upon its entry into force, replace theRailway Transport Lawissued by Royal Decree No. (M/33) dated 24/5/1433 AH, and all provisions that conflict with it shall be repealed.

    • A draft Royal Decree to that effect has been prepared, its text is attached hereto.

    • Third: The Ministry of Transport and Logistic Services shall, in accordance with the legal procedures, develop the strategies, policies, and plans necessary to develop the railway sector, and supervise their implementation, in a manner that achieves integration with other transport sectors in the Kingdom, in coordination with the Transport General Authority.

    • Fourth: The Transport General Authority, in light of the provisions of the law - referred to in item (First) of this decision - and in light of the transfer of supervisory, regulatory, and oversight competencies over the postal sector from the Ministry of Communications and Information Technology to the Ministry of Transport and Logistic Services, and after the issuance of the two draft laws: (Road Land Transport Law, and the Regulation of the General Authority for Roads), shall consider the appropriateness of amending its organization or preparing a new regulation accordingly, and shall submit this for the necessary completion thereof.

    • Fifth: The Transport General Authority shall exercise its powers stipulated in Article (8) of the law - referred to in item (First) of this decision - in agreement with the Ministry of Finance and the Non-Oil Revenues Development Center, until the issuance and enforcement of the (Regulation on the Practice of Public Authorities and Institutions and Equivalent Entities Imposing Fees for Services and Works Provided).

  • Salman bin Abdulaziz Al Saud

  • No.: M/159

  • Date: 1445/8/22 AH

  • By the grace of Allah Almighty

  • We, Salman bin Abdulaziz Al Saud

  • King of the Kingdom of Saudi Arabia

  • Based onArticle (Seventy) of the Basic Law of Governanceissued by Royal Order No. (A/90) dated 27/8/1412 AH.

  • Based onArticle (Twenty) of the Council of Ministers Lawissued by Royal Order No. (A/13) dated 3/3/1412 AH.

  • Based onArticle (Eighteen) of the Shura Council Lawissued by Royal Order No. (A/91) dated 27/8/1412 AH.

  • After reviewing the Shura Council decision No. (279/43) dated 22/11/1443 AH.

  • After reviewing the Council of Ministers decision No. (692) dated 17/8/1445 AH.

  • We decree the following:

    • First: Approval of the Railway Lines Law, in the attached form.

    • Second: The law - referred to in item (First) of this Royal Decree - shall, upon its entry into force, replace theRailway Transport Lawissued by Royal Decree No. (M/33) dated 24/5/1433 AH, and all provisions that conflict with it shall be repealed.

    • Third: It is incumbent upon His Highness the Prime Minister, the Ministers, and the heads of the concerned independent bodies - each within his jurisdiction - to implement this Royal Decree.

  • Salman bin Abdulaziz Al Saud

Definitions

Article 1

In this Law, the following words and phrases shall have the meanings assigned thereto, unless the context requires otherwise:
Kingdom: Kingdom of Saudi Arabia.
Ministry: Ministry of Transport and Logistic Services.
Authority: Transport General Authority.
Board: Board of Directors of the Authority.
President: President of the Authority.
Law: Railway Law.
Statute: Statute of the Authority.
Regulations: Implementing Regulations of this Law.
Person: A natural or legal person.
Railways: A transportation network that uses parallel or single rails made from iron, rubber, or concrete, or any other guided system specified in the Regulations, designed for trains, locomotives, railway cars, and mobile equipment to move thereon.
Train: A means of transporting passengers and freight on railways within or between cities, or from the Kingdom to another country or vice versa.
Locomotive: A power-operated vehicle designed for hauling train railway cars which is deemed part of the train.
Railway Car: A vehicle designated for transporting passengers or freight, or for maintenance or other purposes, on railways.
Infrastructure: All installations, facilities, systems, and programs necessary for the safe operation of railways, including the lands allocated for railways or their facilities, railway protection zones, tunnels, bridges, power supply lines, and the equipment and construction works that support or are associated with railways or their components; however, this shall not include trains, locomotives, and railway cars.
Infrastructure Manager: A legal person licensed to manage infrastructure and provide related services, whether or not such person is the owner thereof.
Infrastructure Owner: An owner of infrastructure or part thereof.
Network: The railway system, including railways and the systems, fixtures, equipment, and lands used to operate and guide trains on such railways, and excluding stations, train depots, and maintenance facilities.
Railway Services: Services related to the operation and maintenance of the network and any facilities thereof, passenger and freight transportation services, and infrastructure management services as well as the maintenance of trains, locomotives, and railway cars.
Activity: Any activity related to the provision of railway services.
Operator: A legal person licensed to provide any railway service.
Passenger: A person who has boarded or is about to board a train, or who has obtained a train boarding pass and is waiting for the train at the station.
Station: A place designated for the boarding and alighting of passengers from trains, or for handling containers and goods as well as organizing train stops and guiding the movement of trains.
Facilities: Railway or network facilities, including any station, train depot, maintenance facility for mobile or non-mobile equipment, railway maintenance facility, train power supply station, shunting yard, train and railway car terminals, freight loading and unloading platforms, or any other asset intended for the operation of the network or trains.
Railway Assets: Networks, stations, vehicles, and maintenance facilities for railways and vehicles.
Maintenance Facilities: Any real estate or movable property designated for the maintenance and inspection of trains, locomotives, or railway cars as well as all related equipment and the like, even if used for multiple purposes.
Train depot: Any place, other than a station, designated for parking trains.
Network Use Agreement: An agreement between an infrastructure manager and another legal person who is authorized, pursuant to such agreement, to use specific network infrastructure, including train routes, power sources, stations, terminals, train depots, or maintenance facilities designated for the operation of passenger and freight transportation services, whether such use is for a fee or free of charge.
Station Use Agreement: An agreement between two operators who are licensed to provide any passenger transportation service or freight transportation service, or both services, or any other service licensed by the Authority, pursuant to which the first operator allows the second operator to use the station operated thereby for the purpose of providing specific services, whether for a fee or free of charge.
Use Agreement: A network use agreement or station use agreement.
Usage Fee: A fee charged pursuant to a use agreement.
Concessionaire: A legal person who is entrusted by law to construct railways or provide railway services.
License: A license issued by the Authority to a legal person, authorizing such person to provide any railway service, operate any network or facility, or engage in any activity thereof.
Licensee: A legal person who holds a license.
Freight Transportation Services: Services related to transporting goods by trains and railway cars within or between cities or from the Kingdom to another country or vice versa, including the operation of stations, train depots, and maintenance facilities as well as the maintenance of freight trains or any service related thereto.
Passenger Transportation Services: Services related to transporting passengers by trains within or between cities or from the Kingdom to another country and vice versa, including the operation of stations, train depots, and maintenance facilities as well as the maintenance of passenger trains or any service related thereto.
Safety Certificate: A document issued by the Authority certifying that an infrastructure manager or an operator has satisfied the safety requirements.
Station Operator: A licensed legal person entrusted by an infrastructure manager to manage a station.
Dominance: The ability to, directly or indirectly, affect the actions or decisions of another person, whether individually or jointly with an affiliate, by owning a dominant percentage of the voting rights in a company or the right to appoint all or some of the administrative staff. The Regulations shall specify the percentage of ownership or the administrative staff subject to this definition.
Affiliate: A person who is directly or indirectly controlled by another person.
Incident: An unexpected event which could lead to an accident on railways or in any railway facility or infrastructure.
Accident: An event or series of events on railways or in infrastructure that occur due to an intentional or unintentional act, omission, or negligence by any person, which result in the injury or death of individuals, damage to property or the environment, or the disruption of services.
Public Utilities: Water, sewerage, stormwater drainage, electricity, telephone, and public road services.

Regulations
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Railway prohibition

Article 2

1. For the purpose of the application of this Law, any area on which railways are constructed and the areas on either side thereof shall be deemed a railway protection zone. The Board shall, in coordination with the relevant agencies, determine the zone in accordance with the operation needs, safety requirements, and technical requirements of railways.
2. The competent agencies in charge of public utilities or their networks shall, when seeking to construct or extend lines or networks across railway protection zones or in intersection therewith, coordinate with the infrastructure manager to obtain his prior approval. If said manager fails to grant his approval or to respond, the Authority may direct him, as it deems appropriate, to reach an agreement pursuant to the conditions determined by the Authority.
3. Agencies seeking to construct or extend service lines, public utility networks, or oil and gas pipelines across railways or railway protection zones shall adhere to the technical rules and conditions as well as the safety requirements prescribed by the infrastructure manager upon approval thereof by the Authority.

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Article 3

The ownership of railway infrastructure may be transferred to any private or public entity in accordance with relevant laws.

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Licensing of railway services and activities, and oversight of their performance

Article 5

1. An infrastructure manager, or any affiliate thereof who is not financially and administratively independent therefrom, may not obtain a license to be an operator of passenger or freight transportation services, unless said manager is the concessionaire or the Board decides otherwise. The Regulations shall specify the conditions for determining the financial and administrative independence of an affiliate.
2. The Authority shall decide on any license application submitted thereto within sixty days from the date of completion of the application. The Regulations shall specify the licensing terms.
3. The Authority may refuse to issue a license if it deems that an increase in the number of operators of railway services or part thereof may lead to the non-provision of such services or to the poor provision thereof.
4. The Authority may suspend the issuance of new licenses for engaging in any of the activities subject to this Law or it may merge such activities, as it deems fit.

Regulations
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