Dubai’s toll gate operator, Salik, has announced plans to install two additional toll gates to enhance traffic flow and alleviate congestion on key routes within the emirate.
In a statement released on Friday, the company disclosed that the new gates will be strategically located at Business Bay Crossing on Al Khail Road and Al Safa South on Sheikh Zayed Road, between Al Meydan Street and Umm Al Sheif Street. The selection of these sites is based on comprehensive traffic movement studies conducted by the Roads and Transport Authority (RTA).
The primary objective of these new toll gates is to effectively manage traffic distribution and reduce congestion by diverting some traffic to alternative routes with greater capacity. This move aims to facilitate smoother and more efficient travel for all motorists in Dubai. The operations of the new toll gates are scheduled to commence in November 2024, increasing Salik’s total number of toll gates in Dubai from eight to ten.
Similar to the Al Mamzar North and South gates, Al Safa South will be linked with the existing Al Safa gate (“Al Safa North”). Commuters passing through both gates within one hour in the same direction will be charged only once.
“The addition of new toll gates in two increasingly busy locations marks the latest milestone in the growth plan that we set out at the time of Salik’s initial public offering,”
Ibrahim Sultan Al Haddad, CEO of Salik
Per the concession agreement with RTA, Salik will oversee essential civil works for constructing, operating, and maintaining the toll gates, holding the exclusive right to operate them until June 2071. The RTA anticipates that the Business Bay Crossing gate will improve traffic congestion by 12-15% on Al Khail Road, decrease traffic volume by 10-16% on Al Rabat Street, and redirect traffic to Al Maktoum and Al Garhoud bridges and Ras Al Khor Street. Similarly, Al Safa South is expected to reduce right-turn traffic volume from Sheikh Zayed Road to Meydan Street by 15% and optimize traffic flow on Financial Centre, First Al Khail, and Al Asayel streets.
Salik anticipates an increase in annual revenue-generating trips with the launch of the new gates. Further details on the required upfront valuation, funding mix, and the impact on the balance sheet, as well as guidance on generated revenues and EBITDA, will be communicated to the market after the completion of detailed traffic studies and agreement with the RTA.