If a auto or plate is stolen, the license plate can also flash an alert that it's ended up in the wrong hands.
"This feature will help us study road behavior of a driver, track the vehicle's movement as well as helping the driver to conduct seamless transaction with different authorities", says government licensing director Sultan Al Marzouqi.
Drivers in Dubai may soon be using digital number plates under new plans.More news: Donald Trump to consult allies as United States considers Syria response
At the Future Cities 2018 show, al-Marzouqi informed the Khaleej Times the smart plates can also flash the word "stolen" if the vehicle is reported as missing.
The BBC also mentioned that the desert climate of Dubai along with the scorching heat and sand might pose multiple challenges to the technology.
The small digital panel can also update with a message if necessary to alert or warn other drivers about changing conditions.
While it is not clear whether or not the smart plates in Dubai will be exploited, license plate databases have always been a surveillance tool used by law enforcement in the United States, including by Immigrations and Customs Enforcement.More news: Pompeo: US airstrikes in February killed 'a couple hundred Russians'
It is not clear how much the plates will cost, with Sultan Abdullah saying that the final cost of the project will only be known after the trial ends in November. "All this information will be connected to the central command system of the RTA".
Dubai wants to be a leader in emerging technologies particularly related to transport.
Dubai has big plans to expand the use of technology in transport, and hopes for self-driving vehicles to account for a quarter of journeys by 2030.
The city is also planning high-speed Hyperloop pods to open by 2020 that would transport passengers to the UAE's capital Abu Dhabi in just 12 minutes, a distance of over 120km.More news: Weather turning ugly as blizzard conditions approach