Cabinet Approves Reforms for Railway Services, Truck Fleet Modernisation, and Key Infrastructure Projects

Amman: The Cabinet has advanced a series of strategic initiatives designed to modernize Jordan's transport and infrastructure sectors. Central to these initiatives is the approval of justifications for a draft amendment to the 2026 Railway Services Licensing Regulations. This move is part of broader efforts to update the sector's regulatory framework and boost operational efficiency in line with both regional and international standards.

According to Jordan News Agency, the proposed amendments are intended to facilitate the progressive expansion of Jordan's national railway network. They also aim to fortify its integration within the broader transport system. The amendments focus on improving the licensing system by balancing investment attraction with robust oversight, enhancing operational readiness, and ensuring public safety. Measures included in the draft are designed to promote sustainability, regulate professional licensing, and strengthen governance and monitoring mechanisms. Additionally, the amendments seek to enhance data management and compliance among operators. These changes are expected to create a more favorable investment environment and increase transport efficiency in accordance with global best practices.

In parallel, the Cabinet has approved regulatory measures to expedite the modernization of the truck fleet. These measures involve reducing the maximum import age for trucks to five years and decommissioning or re-exporting trucks older than 20 years. Financial and operational incentives, such as a full exemption from the 16% general sales tax and waiving of registration and licensing fees, have been introduced. The exemption period has been extended to two years, providing operators with greater flexibility to upgrade their fleets. The government plans to modernize over 8,300 trucks within two years, aiming to improve efficiency, reduce maintenance and operating costs, and enhance the reliability of goods transport. This initiative is also expected to stimulate investment, support sector digitalization, and improve income opportunities for operators while phasing out inefficient vehicles.

As part of ongoing efforts to improve public services, the Cabinet has approved a $37 million tender for the rehabilitation and operation of the Abu Zighan desalination plant in Deir Alla. Additionally, two tenders for a wastewater network project in southwest Amman, valued at over JD16 million, have been approved. The Abu Zighan project aims to desalinate water from 15 wells to produce up to 12 million cubic meters annually, thereby improving water supply in the Deir Alla district. Funded by the European Investment Bank, this project is part of a broader $65 million package of water infrastructure initiatives. The wastewater project in the Naur municipality involves constructing approximately 35 kilometers of networks to enhance sanitation services. Combined, these projects are expected to benefit around 400,000 residents.

In terms of labor market regulation, the Cabinet has approved the draft Labour Inspectors Bylaw for 2026, which aims to modernize inspection procedures, enhance efficiency, and align oversight practices with international standards. The bylaw seeks to unify inspection frameworks, minimize overlapping visits, and support the development of a unified electronic inspection platform. It also aims to facilitate the transition to a formal economy and strengthen compliance with labor and occupational safety standards.

Additionally, the Cabinet has greenlit the 2026 Administrative Organisation Bylaw for the Ministry of Youth, which is intended to modernize the ministry's structure and improve its capacity to address youth-related issues. This bylaw includes the establishment of new units, such as one for the King Hussein bin Abdullah II Award for Voluntary Work, a Youth, Peace and Security Unit aligned with UN Security Council Resolution 2250, and a National Guidance Unit.

The Cabinet has also approved justifications for a draft Reward and Savings Fund Bylaw for employees of Al Balqa Applied University for 2026. This bylaw is aimed at enhancing financial governance, improving resource allocation, supporting long-term financial planning, and reducing future budgetary pressures.