Kathmandu, July 11, 2025
In a strategic push to promote clean energy and reduce reliance on fossil fuels, Finance Minister Bishnu Poudel has reaffirmed the government’s commitment to a stable tax policy for electric vehicles (EVs). Speaking at an interaction program organized by the Nepal Forum of Economic Journalists (NAFIJ), which also included an award distribution ceremony, Minister Poudel emphasized that the current fiscal budget aims to stimulate electricity consumption by encouraging the adoption of EVs.
Highlighting the government's broader vision for energy transition, the Finance Minister said, "We have adopted a consistent tax policy to support the growth of electric mobility, which directly contributes to boosting national electricity usage and reducing carbon emissions."
Poudel further stated that the fiscal budget is not just about allocations, but also about execution. He underlined his dual responsibility as Finance Minister - not only to present the budget but to ensure its effective implementation.
Addressing concerns related to the “take-and-pay” power purchase model, which had earlier caused confusion among stakeholders, Minister Poudel assured that the issue has been clarified. He noted that key stakeholders, including banks, financial institutions, and energy producers, are now satisfied with the government’s position and the sector is gradually stabilizing.
As Nepal aims to become a net energy exporter and reduce its dependence on imported fuels, policies supporting electric mobility and renewable energy development remain critical. The current fiscal strategy appears to align with these long-term environmental and economic goals.
