TGA Launches Regulatory Sandbox for 5 Innovative Business Models
The Transport General Authority has launched the "Regulatory Sandbox," a groundbreaking initiative designed to offer a flexible space for companies to test new transport models. The Sandbox accommodates five distinct business models, including Micro-mobility (app-based e-scooters and e-bikes), App-based car re-rentals, App-based on-demand buses, Parcel Lockers, and Autonomous Vehicles, along with other innovative models. This initiative creates a collaborative environment that encourages companies to unveil their inventive solutions to the market.
The authority clarifies that the program is geared towards sustaining the transport sector, amplifying its role in realizing the Kingdom's Vision 2030. It aims to streamline the introduction of new products, align with customer requirements, elevate efficiency and competitiveness, and enhance the overall quality of services delivered.
TGA has underscored that the Regulatory Sandbox plays a pivotal role in realizing the national strategy for transport and logistics services. This encompasses strengthening the Kingdom's standing as a global logistics hub, enhancing the efficiency of public entities, fostering successful investments, and cultivating robust partnerships with the private sector.
Additionally, TGA affirms that the program empowers companies to explore novel transport business models, offering them a platform to collaborate with regulatory authorities in shaping regulations. Furthermore, it facilitates the testing of these business models in a live environment, enabling companies to unearth innovative solutions and develop an understanding of regulations and rules.
Furthermore, TGA highlighted that the program is tailored for both established transport companies and startups seeking approval to operate within a regulated framework, as well as regulatory authorities and other concerned stakeholders.
Specifically outlining the conditions for application, TGA mandates participants to operate within the realm of transport services, align with specific business models, and deliver added value to customers with social and economic benefits in accordance with the Kingdom's Vision 2030. Additionally, applicants are required to submit a customer protection plan, possess an intellectual property certificate, and commit to adherence to all prevailing regulations in the Kingdom.