Customs holds second auction in Dammam to sell air conditioners that violate Saudi specifications

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The General Customs Authority plans to hold a public auction tomorrow evening, Wednesday, 12 Ramadan 1435 AH, corresponding to July 9, 2014 AD, to sell various new air conditioners (split and window types), under the export duty regime, due to their non-compliance with the new Saudi standard specifications, and for their re-export within 30 days of the sale date.

The General Customs Authority has designated the Abandoned Goods Yard at King Abdulaziz Port in Dammam as the venue for the auction, and required prospective buyers to attend the auction site while complying with several conditions, including that the buyer must promptly clear the air conditioners through customs after winning the bid.

The Customs Authority confirmed in its terms and conditions that individuals with valid residency permits may participate in the public auction. It also required payment of the full amount in cash or by certified check made out to the Director General of Customs, along with a brokerage fee of (2.5%) in addition to the sale price. It is also important that the winning bidder re-export the units within 30 days of the sale date.

The Ministry of Commerce and Industry had previously banned a large number of air conditioners from circulation in the local market due to their failure to comply with the specifications approved by the Saudi Standards, Metrology, and Quality Organization, particularly regarding their high energy consumption.

The Customs Authority previously held its first auction of non-compliant air conditioners at Jeddah Islamic Port on the 27th of Sha’ban, corresponding to June 25.

These efforts are part of the National Energy Efficiency Program, which is being developed by technical teams comprising more than 120 specialists, in addition to a number of part-time participants representing more than 20 relevant entities, with the aim of developing and implementing subprograms designed to improve energy efficiency in the building, land transportation, and industrial sectors, which account for 92% of total energy consumption.