31st August 2025, Kathmandu
The Department of Transport Management (DoTM) is standing its ground on the mandatory installation of embossed number plates in a move that has sparked widespread public outcry and protests.
Embossed Number Plates Nepal
Despite concerns over high fees and the lack of Nepali language on the plates, the government remains firm in its decision. However, with a looming deadline and slow installation progress, it may face significant financial penalties for failing to meet its contractual obligations.
Why the Public is Protesting
Following a recent notice by the DoTM, which mandated that all vehicles must have embossed plates to access essential services like tax payment and ownership transfer, a wave of protests has swept across the nation.
While the DoTM has clarified that it won’t immediately impose fines for non-compliance, the public and various organizations are raising their voices against two main issues: the exorbitant cost and the English-only format of the plates.
According to Director Shrikant Yadav, the fees are fixed by regulations and cannot be reduced without a legal amendment. The current fees are as follows:
- Rs. 2,500 for two-wheelers
- Rs. 2,900 for three-wheelers
- Rs. 3,200 for four-wheelers
- Rs. 3,600 for heavy vehicles
These costs are notably higher than those in neighboring countries like Bhutan and Bangladesh, where similar plates are installed at a much lower rate.
The department’s inflexibility on the language issue is also a point of contention, with Yadav stating that a court ruling has already approved the English-only format, leaving the department with no option but to comply.
The Technology Behind the Plates
The embossed number plates feature Radio-Frequency Identification (RFID) technology, a system that allows for the tracking of vehicle data without violating privacy.
This technology, which uses radio waves to capture and store data, was chosen over Global Positioning System (GPS), which was rejected in 2016 for potential privacy violations.
The use of RFID is intended to streamline vehicle management and enhance security, but it has not appeased the protestors who believe the technology adds to the cost without providing proportionate value.
Deadline Woes and Potential Penalties
The government is under immense pressure to print and install 2.5 million embossed plates by November 26, 2025. However, with only 1.2 million plates ordered and 800,000 printed so far, meeting this ambitious target seems highly unlikely.
The contract, signed in 2016 with Decatur–Tiger IT, a joint Bangladesh-U.S. company, stipulated the supply of 2.5 million plates, along with 10 RFID gates and 100 handheld devices, for a total of Rs. 387 million.
According to the agreement, if the government fails to meet the deadline, it will be liable to pay penalties to the contractor. The only way to avoid this financial hit is if both parties agree to extend the deadline.
The government’s current predicament highlights a significant implementation gap, as it struggles to deliver on a project that has been in the works for nearly a decade.
Nationwide Rollout to Speed Up Installation
To accelerate the installation process, the DoTM is preparing to order another 1.2 million plates and will begin rolling out the service through 21 provincial transport offices starting in mid-September (Ashoj 1).
This expansion aims to reduce the long queues at central offices and make the service more accessible to vehicle owners across the country.
To expedite the installation process and make the service more accessible across the country, the Department of Transport Management is preparing to roll out embossed plate services at 21 provincial offices.
The distribution will be spread out strategically, with Koshi Province receiving two offices, Madhes Province four, and Bagmati Province five. Gandaki and Sudurpaschim provinces will each have two offices, while Lumbini Province will have three.
Karnali Province will be served by a single office. Plates produced at the central factory will be distributed to these provincial locations to meet the rising demand for installation.
The department is also ensuring that the manpower responsible for installation is well-qualified. Workers must have at least an SLC/SEE pass and specialized training in computer and plate installation.
This measure is intended to maintain quality and efficiency throughout the rollout. The DoTM will directly pay these workers according to the government’s minimum wage rate, with plans to hire more if demand increases.
The government’s decision to move forward with the embossed number plate project, despite the backlash, shows its determination to modernize vehicle registration and management.
However, the path ahead is fraught with challenges, including public dissatisfaction, logistical hurdles, and the looming threat of financial penalties. The success of this initiative now hinges on whether the DoTM can overcome these obstacles and convince the public of the long-term benefits of this technology.
For more: Embossed Number Plates Nepal