6th February 2025, Kathmandu
The Nepalese government has set a two-month deadline to finalize guidelines for converting old petrol and diesel-powered vehicles into electric vehicles (EVs).
Nepal EV Conversion Policy
This decision follows nearly three years of ongoing discussions on the matter, although previous efforts failed to set clear criteria. Now, the government is focused on resolving the issue within the next two months.
Long Awaited Move to Reduce Fuel Dependency
The concept of transforming older vehicles into electric ones has been under consideration since the formation of a committee by former Chief Secretary Baikuntha Aryal three years ago. Despite positive signals from the government, no clear standards have been established. The Ministry of Finance recently emphasized the importance of setting these standards in its new Public Expenditure Efficiency Guidelines 2081, highlighting that the process should be completed within two months.
Government’s Vision for Sustainable Transport
According to the guidelines, vehicles up to 20 years old may be eligible for conversion into electric vehicles. However, the decision will depend on a detailed assessment of the technical feasibility of converting each vehicle. The government plans to focus on vehicles that are no longer operable due to age and condition, determining whether converting them into electric vehicles is cost-effective and sustainable.
Clear Criteria for Conversion
The Ministry of Finance has provided a framework for the conversion process, stating that only vehicles deemed technically feasible will be converted. If a vehicle is found to be unsuitable for conversion, authorities will require its registration to be canceled, and the vehicle will be either auctioned or scrapped. The cancellation of registration must occur within four months of the new standards being implemented.
Electric Vehicle Conversion to Be Encouraged
The Ministry of Finance has signaled its support for the conversion initiative, stating that it will grant permission for the transformation of eligible vehicles. This move aligns with the government’s long-term goals to reduce fuel dependency, promote sustainability, and reduce environmental pollution.
Addressing Public Concerns
Despite the long delay, the government’s decision to expedite the process signals a commitment to addressing both environmental and economic concerns. This initiative is expected to help mitigate the growing challenges of fossil fuel dependency contribute to cleaner air and reduce greenhouse gas emissions.
With a definitive plan now in motion, the government aims to create a sustainable future through the promotion of electric vehicles, which will also help reduce the import burden of petroleum products.
For more: Nepal EV Conversion Policy
