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From fuel to electric: sustainable EV conversion permitted in Nepal

Sustainable conversion from traditional vehicles to EV permitted in Nepal

Sustainable conversion from traditional vehicles to EV permitted in Nepal

2022-04-07

Meromotor Expert

Electric Vehicle

The Nepal Government has granted permission for fuel-based vehicles to be converted into electric vehicles (EV). Namaraj Ghimire, supervisor of the department of transformation, informed that the law has approved for the conversion into EV for up to three years. The Vehicle and Transport Act, 2049 has amended some previous points in the Automobile and Transportation Act, 2049, which was a provision that would not allow the form of automobile to change. However, now, that has been set to allow fuel-based vehicles to be replaced into electric, with a general overhaul for immediate use.  As per the notice published by the Ministry of Physical Infrastructure and Transport in the gazette, using the right to the Automobile and Transportation Administration Act of 2049, paragraph 39 (2) of the same law, will not apply for three years, to 'the right to environmental or energy efficient modification’.

As of recent, the practice of ‘retrofitting’ vehicles on the global market is already in vogue. It plays a big role in increasing environmental or energy consumption for vehicles and creating zero carbon emissions. 'Retrofitting' on the rights to automobiles, is to add new technologies or facilities to the old system. Vehicles registered as a fuel ride, can now be converted to electric, and it will also receive a three-year tax exemption i.e., the tax will be applied as per electric vehicles’s rate. In an effort to increase electricity consumption and encourage environmentally friendly mobility, the current fiscal year's budget reduced import duties on electric vehicles from 40% to 10%.

Experts say large amounts of overseas imports could be saved if the old fuel vehicles here are converted to electricity rather than importing new ones. All the electrical equipment needed by the vehicle's powertrain is newly installed by removing the old engine in the vehicle when the fuel vehicle is converted to electricity. This makes the old vehicle’s structure as it is whereas the inner system will be replaced and connected with a battery of different capabilities. The engineer has estimated the cost of basic conversion between Rs. 7 million to Rs 12 million in terms of the battery, motor and controller's selection.

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