Page 101 - SALIK PR REPORT SEPTEMBER 2024

9/4/24, 11:21 AM Dubai: 2 New Salik Gates To Be Solar-Powered, Cut Traffic Congestion Across Key Roads
ESG (environmental, social, and governance) goals and our commitment to green energy,
where we have plans to make all Salik gates solar powered over the next few years,” he

added.

Is there a plan to increase Salik fee?

Al Haddad said“any adjustments to the tariffs are a decision for the RTA and are subject to
approval by the Executive Council of Dubai.

The new gates will operate similarly to the existing gates, whereby the Salik tag will

automatically be charged the Dh4 fee when passing through one of the gates. Meanwhile, Al
Safa South gate will be linked with the existing Al Safa North gate, which means vehicles

passing through both the North and South gates within one hour in the same direction will
only be charged once, similar to Al Mamzar North and South.”

Will there be additional toll gates in Dubai?

Al Haddad categorically answered“there is no fixed schedule for new toll gates” (aside from
those opening in November).

He noted“the introduction of a new toll gate primarily rests on traffic and congestion levels”

and depends on the outcomes of technical and traffic studies.

“The goal is to make transportation in Dubai more efficient and enhance traffic flow across the

road networks. The expansion of tolling systems – whether through adding gates, adjusting

toll fees, or implementing dynamic pricing relies on the results of transport strategy
assessments reviewed and updated by the RTA. However, any changes to toll rates would
require a green light from Dubai's Executive Council,” he clarified.

How will Salik finance the two new gates and what are the associated costs?

Al Haddad said agreement has been reached with RTA on a repayment plan for the total

valuation amount for the two new gates over a period of six years starting from the end of
November 2024.

The annual instalment will be Dh455.7 million, to be paid in two equal instalments of Dh227.9

million each, every six months, which will be provided from the company's own financial
resources.

Al Haddad revealed the total construction cost for both Salik gates is around Dh65

million.“Since these gates are RTA assets, they will reimburse us for construction on a cost +
10 per cent basis,” he added.

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