Transport entrepreneurs seek customs duty concessions on EV parts

Kathmandu, Aug 11: The Nepal National Federation of Transport Entrepreneurs has urged the government to provide customs duty concessions on parts imported for electric vehicles to promote environmentally friendly public transportation.

A delegation led by Federation Chair Punya Prasad (Saroj) Sitaula submitted an 11-point memorandum to Finance Minister Dr Swarnim Wagle on Monday, calling for immediate measures to address long-standing issues facing the transport sector.

The Federation said the sector currently has an investment of around Rs 13 billion and provides livelihoods to about four million families. It also urged the government to implement the recommendations of the probe commission led by former government secretary Dipak Subedi and ensure timely revision of the Motor Insurance Rate Directive, 2073, with necessary directions to the Nepal Insurance Authority.

The entrepreneurs proposed establishing an accident relief fund by levying an additional Re 1 per litre on petrol and diesel and Re 1 per unit on electricity used by electric vehicles. They also proposed contributing one percent of insurance premiums and additional government funding to the fund.

The Federation called for stricter provisions on vehicle imports, removal of the 72-hour facility granted to Indian freight and passenger vehicles, amendment of the Company Act and implementation of a uniform tax system.

It also sought the establishment of a strong transport authority to regulate and develop the sector effectively and urged the government to reconsider the operating hours of tippers in the Kathmandu Valley.

Receiving the memorandum, Finance Minister Wagle assured the delegation that the government would address the genuine concerns of the transport sector. He said the ministry would study the demands and take necessary measures accordingly.