KATHMANDU: The government is drafting guidelines on electric vehicle (EV) imports to ensure the import of quality vehicles and smooth availability of after-sales service.
The demand for EVs has grown rapidly in recent years. Many two-wheeler and four-wheeler EV brands have entered the market since 2018. However, only a few have managed to establish a lasting presence. The Department of Transport Management (DoTM) is enforcing a new standard amid rising incidents of companies importing a limited number of vehicles, selling them quickly and then exiting the market. This has left many consumers without access to proper servicing or spare parts.
According to an official of the department, a dedicated committee is working on new guidelines that aim to provide better service and higher-quality vehicles to consumers while ensuring consumer protection.
“The trend of anyone importing any type of vehicle into Nepal, especially EVs, is growing lately,” the official told MeroAuto. “This needs to be regulated. Only those who meet specific standards and conditions should be allowed to import vehicles. We are currently drafting guidelines for that purpose.”
The new guidelines will focus on three key areas: development of infrastructure, quality of vehicles and after-sales service.
Under the proposed rules, importers will be required to build essential infrastructure such as service centers and charging stations. They must also employ trained technical staff to provide proper maintenance and support. Likewise, only vehicles that meet international safety and performance standards will be permitted for import.
Companies also must offer a clear after-sales service commitment, including timely repairs and easy access to spare parts.
The DoTM official said although Nepal has embraced an open market economy, market regulation is necessary to prevent the country from becoming a dumping ground for substandard vehicles.
The draft guidelines will also be circulated among stakeholders-including importers and financial institutions-for feedback.
Banks and automobile dealers have long been pushing for strict import standards. With financial institutions making huge investments in EV loans, the low resale value of these models poses a risk to their investments. The poor resale value makes it difficult to recover outstanding loan amount for banks and financial institutions in the event of default.