Municipal Council approves spring camps for restaurants and SMEs

• 100 dinars non-refundable license fee and 200 dinars insurance fee for associations, government agencies, and similar entities, with SMEs able to rent land for camps at 500 dinars per 1,000 square meters and occupy up to 5% of the total licensed area.

• Energy generator licensing will incur a fee of 1,000 dinars per month, and commercial and entertainment activities are permitted within the licensed area.

• The council approved the Ministry of Foreign Affairs’request to transfer responsibility for the NATO Regional Center and the Istanbul Initiative building to the ministry.

In its main session, the Municipal Council, chaired by Abdullah Al-Mahri, approved the list of spring camps, which includes 23 categories. The decision allows the establishment of camps for individuals, cooperatives, civil clubs, and public benefit associations, according to Al Rai newspaper.

Additionally, it directly supports small and medium-sized enterprises (SMEs), as well as institutions and companies specializing in ‘restaurants and cafes,’ by permitting them to set up camps to sell their products. However, the allocation of space for these businesses will be limited to a maximum of ten percent within any given site.

Council member Fahad Al-Abduljader stated in a speech during the session that the regulation opens a new opportunity for SMEs, addresses previous legislative gaps, and will help organize operations within a proper framework. He emphasized that “the regulation will allow them to benefit from the spring camping season and generate economic returns once implemented. Any entrepreneur can apply for a space to sell their products on the land.”

Al-Abduljader noted that the new regulation consists of 23 articles and permits the establishment of camps for individuals, cooperatives, private clubs, public benefit associations, private sector companies, energy-related companies, government agencies, and institutions. It also allows the creation of a central market for cooperatives.

Key amendments

One of the key amendments adopted by the municipality in the draft regulation of spring camps was the revision of licensing fees for associations, government agencies, and similar entities. This includes a non-refundable license fee of 100 dinars and an insurance fee of 200 dinars.

The new regulation also introduces a provision for SMEs to rent land for camps, with a rental license fee of 500 dinars per 1,000 square meters. Campers will be allowed to occupy up to 5% of the total licensed area, including commercial and entertainment activities. Additionally, energy generator licensing will incur a fee of 1,000 dinars per month.

Key decisions

The council approved the objection of Dr. Abdullatif Al Mishari, Minister of State for Municipal Affairs and Minister of State for Housing Affairs, to the council’s decision regarding the municipality’s request (project sector) to allocate the site for the Desert Adventure Area project in the northern Al-Matlaa area. The council was unable to obtain enough votes from members to use Article 25.

The council kept the discussion of the Kuwait Municipality budget on its agenda for the next session. It also approved the Ministry of Foreign Affairs’ request to transfer the responsibility for the North Atlantic Treaty Organization (NATO) Regional Center building and the Istanbul Initiative for Cooperation in the West Musharraf Diplomatic Area from the General Secretariat of the Council of Ministers to the Ministry of Foreign Affairs.

The council approved the Public Authority for Roads & Transportation’s request to allocate surface parking lots in the Al-Siddiq area, Block 2, as well as the Ministry of Electricity, Water, and Renewable Energy’s request to reserve part of the main conversion station in the Al-Salam area, Plot 2, for an administrative building project for the Capacite Department. However, the proposal by member Fahad Al-Abd al-Qader regarding the delivery of land for houses in the Khaitan area, Block 5, was preserved.

The council also approved the proposal by municipal council member Eng. Munira Al-Amir to establish mechanisms and regulations for the implementation and licensing of solar energy production units in government institutions, as well as for individuals and the private sector.

Al-Amir revealed that the initial regulations for the project will soon be adopted and presented to the municipal council as a solid foundation for implementation. She explained that the proposal aims to legalize and encourage both the private sector and individuals to produce electricity from solar energy, facilitating the activation of Decree 57/2022 through Clause 11, which approves the purchase of energy from third parties according to current procedures.

She emphasized the need for a clear and legal mechanism through which individuals and the private sector can establish solar energy production units.

Al-Amir noted that the proposal seeks to establish a legal framework for the relevant institutions, namely the Ministry of Electricity, Water and Renewable Energy, and Kuwait Municipality, through a jointly prepared list, thus activating the Amiri Decree on a solid regulatory basis.

She also stated that encouraging government institutions to utilize their surfaces for solar energy production would allow the state to harness electricity-producing energy for other development projects.

Al-Amir hoped that “the proposal will contribute to encouraging institutions to adopt renewable energy solutions, and that Kuwait will become a role model by benefiting from clean energy to achieve sustainability.”

Objectives of the proposal:

• Introduce a new schedule in the regulation for new construction works, outlining the requirements and specifications for installing solar energy panels in both government and private buildings, with the expertise of specialized sectors, led by the Ministry of Electricity, Water, and Renewable Energy.
• Develop mechanisms to license locations or units for producing electrical energy from solar power for individuals and companies, in coordination with the Ministry of Electricity, Water, and Renewable Energy and other relevant authorities.
• Establish initial standards and controls for allocating spaces for such projects, ensuring they align with the preliminary data of the state’s general structural plan.