Challenges loom as Nepal embraces electric vehicles

Prime obstacles related to infrastructure, costs and management

KATHMANDU, DECEMBER 26: The use of electric vehicles (EVs) in Nepal is growing rapidly. Public transport options like electric buses and microbuses are becoming a common sight on the roads. However, while EVs are gaining popularity and large numbers are being imported every year, several challenges remain—such as a lack of charging stations, absence of standard charging protocols, high taxes, and issues with battery management.

Despite the government’s policy to promote EVs, transport operators say there hasn’t been enough focus on whether Nepal’s roads are ready for them.

Sanukaji Prajapati, Chairperson of Samakhusi Yatayat Pvt. Ltd., pointed out that while the government's intention to encourage EVs is positive, poor infrastructure and management are major obstacles. “Policies alone aren’t enough. First, the quality of our roads needs to be improved,” he said.

Prajapati criticized the current approach to EV adoption, calling it impractical. “Unlike diesel vehicles, EVs are not as convenient. While passengers appreciate EVs, drivers and operators face many issues. Nepal’s road conditions make EVs neither safe nor reliable,” he explained.

“Importing EVs isn’t enough; we also need charging infrastructure. Drivers are struggling because there aren’t enough charging stations. It takes 90 minutes to charge a vehicle up to 75%, and drivers often have to wait in line until midnight. The same drivers then have to start work early the next morning. How is this sustainable?” he questioned.

The rapid increase in EV numbers has worsened the problem of inadequate charging facilities. Operators report that it takes far longer to charge an EV than to refuel a diesel vehicle, which takes just five minutes. Additionally, setting up charging infrastructure is expensive, with high costs for installing transformers.

“Business operators are under immense pressure. The government must set up more charging stations across the country. Without this, the issues will only worsen,” Prajapati warned. He also stressed the need to improve roads to accommodate EVs, cautioning that many operators might leave the market if these problems persist.

Currently, Samakhusi Yatayat has replaced 95 diesel vehicles with just 20 electric microbuses under the government’s policies. However, Prajapati noted that EVs are unsuitable for Kathmandu’s urban roads and long-distance travel, especially on rough terrain. He highlighted specific issues such as rear-wheel slippage, which make operators dissatisfied with the switch.

Cost is another major concern. EVs are significantly more expensive than diesel vehicles. While diesel vehicles previously cost NPR 1.3–1.4 million, EVs now cost around NPR 5.1 million. Operators also face higher interest rates, expensive spare parts, and greater maintenance costs—such as faster tire wear compared to diesel vehicles.

In other countries, rental vehicles are often managed by the government, but in Nepal, private operators bear all the costs. This financial burden has made it difficult to lower EV fares. Prajapati also criticized the government for rejecting proposals to convert existing diesel vehicles into EVs by replacing their engines with batteries, which could help save foreign currency and promote local innovation.

Prajapati suggested that instead of fully replacing vehicles, they could be upgraded for around NPR 500,000–700,000, making them more practical for use. Currently, Samakhusi Yatayat’s EV fleet operates in northern Kathmandu areas, including Baniyatar, Bhatkeko Pul, Manamaiju, Jhor, Tokha, Basundhara, and Mhepi.

Another concern is that EVs are not disability-friendly. Prajapati stressed the need to address this issue, but he noted that Nepal’s roads themselves are a major barrier to implementing such improvements.

Similar complaints are shared by most transport operators. They emphasize that EVs are not only expensive to purchase but also costly to maintain, with frequent expenses for fuel, repairs, and spare parts. While private EV owners can charge their vehicles at home, public EV operators face additional challenges, as the Nepal Electricity Authority has set separate tariffs for charging stations, increasing their costs further.