The Riyadh Infrastructure Projects Center has launched a comprehensive review of the regulations governing the issuance of excavation work licenses and permits, by proposing new amendments to solicit the opinions of the concerned parties. The aim is to reorganize the implementation of infrastructure projects, reduce overlapping work at the same sites or conflicting schedules, and define the direct responsibilities of the implementing and consulting bodies.
This step comes within the framework of developing the system for supervising infrastructure projects , in line with the expansion of the center’s work and the multiplicity of activities that require obtaining licenses, as well as addressing the challenges related to the multiplicity of contractors and consulting offices involved in a single license, and raising the efficiency of the procedures for issuing and closing licenses.
The center explained that the proposed updates aim to enhance the protection of infrastructure assets, ensure that services provided to beneficiaries are not affected as a result of overlapping excavation work or the implementation of projects without prior coordination, and establish a clearer framework for distributing responsibilities among the parties involved in implementation.
Standardizing license classifications and defining responsibilities
The amendments included reorganizing the types of licenses, by including works related to detailed comprehensive plans within a unified classification under the name “planned licenses”, which ensures that projects included in those plans are dealt with according to a single regulatory framework.
The scope of “unplanned permits” was also expanded to include emergency works, service connection requests, handling reports, urgent interventions, as well as exploratory drilling works aimed at uncovering existing assets and avoiding damage to them during implementation.
In the context of regulating responsibilities, the regulations require applicants for a license to designate a main business outlet and a main consulting office, who assume direct responsibility to the center for the implementation of the project and the related consulting aspects, instead of dispersing responsibility among several parties involved in a single license.
The regulatory requirements extended to financial and administrative aspects, as the amendments stipulated the submission of a bank account registered in the name of the entity requesting the license with one of the local banks, with the non-acceptance of personal accounts of individuals. It also obligated entities affiliated with the private sector to attach a certificate that clarifies the size of the establishment.
Prohibiting spatial and temporal overlap of projects
Regarding the coordination of excavation work, the amendments put in place restrictions that prevent the granting of new licenses that conflict with other projects that were previously planned to be carried out at the same site, whether the conflict relates to the location or timing of the work.
The regulations specified mechanisms for dealing with conflicts, such that the scope of the project or its timetable must be modified, or prior approval must be obtained from the center before issuing the license, in order to ensure that the work does not overlap and affect the efficiency of implementation and the safety of existing assets.
The amendments exempted emergency cases from these procedures, as they allowed the issuance of urgent licenses immediately upon obtaining the approval of the entity supervising the asset, whenever the work aims to deal with existing risks or address service interruptions.
The center was also granted the authority to terminate or cancel license applications in specific cases, including non-payment of fees, exceeding the specified timeframes for procedures, or the inability of the business provider to approve the application. It also authorized the termination of applications before license issuance if deemed in the public interest, provided that a reasoned decision is issued allowing the concerned party the right to appeal.
New requirements for closing drilling licenses
The review included developing procedures related to closing licenses after the completion of projects, as it obligated the main contractor to submit the actual implementation plans, known as “As Built”, for projects that require their preparation, to document what was implemented on the ground and its conformity with the approved data.
The amendments assigned to the main consulting office the responsibility of reviewing closure requests and ensuring the accuracy of the information provided, including supervision reports and compliance with urban landscape requirements.
Conversely, the regulations require the center to explain the reasons for rejecting closure requests, while giving the implementing body a time opportunity to address the observations and complete the missing requirements.
The amendments confirmed that obtaining approval to close the license does not end the contractor's responsibility for the accuracy of the actual execution plans, as this responsibility remains in place throughout the warranty period, with his obligation to correct any errors that may appear later.
Applications from violators have been suspended.
The amendments introduced a new regulatory procedure called “suspending the acceptance of applications,” which targets violating consulting offices and contractors, by preventing them from applying for new licenses, without this resulting in the suspension of existing licenses and projects.
The licensed entities are also obligated to take the necessary measures to secure work sites immediately upon the departure of any project operator, and the responsibility for securing the site shall continue until it is handed over to an alternative operator, in accordance with the requirements approved in the code.
In dealing with requests that require exceptions to the general controls, the updates stipulated the formation of one or more committees specialized in considering “special licenses,” which shall decide on exception requests within a period not exceeding 10 working days.
The regulations strengthened governance rules within these committees by requiring their members to disclose in writing any potential conflict of interest and to refrain from participating in voting on decisions related to cases in which they have a connection or interest.
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