Tax exemption in Electric Vehicles, transport entrepreneurs excited

Kathmandu / June 13: The investors are encouraged with the abolition of excise duty and provision of tax concession on the electric vehicles in the budget of FY 2021/22.

Transport entrepreneurs are optimistic that the provision of grant in addition to exemption of excise duty will result in the increased number of public and private electric vehicles.

Bhesha Bahadur Thap, Chairman of Sundar Yatayat Private Limited, lauded the government move saying the government has provided an ample of facilities for the electric vehicle. He said that they are waiting for its proper implementation.

“There is concession in tax, the price of car may reduce to Rs. 1.8 million that would otherwise cost Rs. 2.6 million, construction of charging stations has been begun, so number of electric vehicles might be increased in the coming years,” Thapa said.

Thapa added that Sundar Yatayat will establish an EV assemble plant in the area of 10 bigha of land in Sainamaina, Rupandehi district. The Sundar Yatayat is preparing to purchase 25 electric public vehicles from China.

Electric buses worth Rs. 250 million had been standstill

The Prime Minister had inaugurated 5 electric buses in 2018. Those buses could not come into operation as they were found below standard compared to the agreement made while procuring them. It was supplied by BYD Cimex with the grant of Asian Development Bank at Rs. 250 million. Although the buses were said to have been imported from China, it was revealed that they were in fact made in India.

Fuel saving and environment friendly

The government policy has been shifting to encourage electric vehicle to save fuel and environment. The government is also planning to purchase electric vehicle. The government is partnering with Sajha Yatayat to supply more electric vehicles.

The government of Bagmati Province, Kathmandu Municipality, Lalitpur Municipality are planning to run electric vehicle.

Chairman Thapa said that electric vehicle is comfortable for passenger, and payment can be made through electronic medium as they are equipped with modern facility.