Private operators accused of exploiting shortage of parking spaces in Dubai

Dubai: Motorists in Dubai are complaining that private parking operators are taking advantage of a shortage in parking spaces in several areas of the city.

Residents claim that the fees charged by parking operators have quadrupled in the past few years.

Private parking operators charge between Dh5 and Dh25 per hour depending on the area. The monthly fee ranges between Dh500 and Dh2,000.

However, what upsets most people is that the operators charge the same fee for five minutes as they charge for an hour.

“There should be some regulations governing these private parking lots. They operate arbitrarily and take advantage of a lack of choice people have. The other day I parked my car in one of Bur Dubai’s private parking areas. I returned after 65 minutes, but they charged me the two-hour fee of Dh40,” Ahmad Shareef, a resident of Bur Dubai, said.

These parking lots have mushroomed across the city, mostly in busy areas like Bur Dubai and Deira, where the charges are as high as Dh25 per hour.

“These parking lots are occupying prime land in busy areas. They are mostly full as demand is really high. As a result, charges keep increasing. I pay Dh2,000 per month for a service that used to cost Dh500 three years ago, even then I don’t get a fixed space,” Mohammad Jamal, businessman in Deira, said.

The demand for parking spaces in central business districts has gone back to the peak levels of 2006-07, but public parking spaces have not kept pace, bringing private players into the picture.

Reacting to the complaints, Yawar Khan, manager of a private parking company that operates several plots, said the charges are “perfectly justifiable”.

“We pay a fortune to acquire land in prime locations and offer a critical service to the people,” he added.

The Roads and Transport Authority (RTA) is responsible for regulating private parking lots in Dubai, under the local order number (2) of year 2004.

According to RTA, private parking lots are following the rules and are within their rights to charge whatever they want.

Maitha Bin Udai, executive director of Traffic and Roads Agency at RTA, said: “This matter falls under the open market policy in line with the principle of supply and demand. It is considered a legitimate right for the owners to set their pricing based on demand. Besides, RTA is providing on-street and off-street public parking areas with competitive prices which confirms the authority’s keenness in providing the best service.”

She added that RTA operates several multi-level parking buildings in central business districts at affordable prices.

RTA offers around 112,000 parking slots across the city in 69 parking zones.