Stakeholders demand scrap of high taxes on e-vehicles

KATHMANDU: Stakeholders have demanded a scrap of the provision of ‘high’ taxes on electric vehicles as stated in budget for the fiscal year 2020/021.

Issuing a joint statement, Nepal Forum of Environmental Journalists (NFEEJ), Clean Energy Nepal (CEN) and Electric Vehicle Association of Nepal (EVAN) accused the government of trying to discourage electric vehicles and promote mineral fuels by introducing this provision.

The provision is not rational in the context when the government could make the best use of electricity and generate revenues by promoting electric vehicles, they said.

According to the provision, customs duty on the import of electric vehicles now stands at 40 percent against 10 percent of the previous provision, while excise duty is 40 to 80 per cent, value added tax at 13 per cent and 5 per cent road toll.

Budget seems to be aspired to discourage use of electricity and encourage petroleum products in the context that huge amounts of country’s total exports are spent on the import of petrol and diesel, read the statement.

“We urge the government to respect rights of people to live in a clean environment by removing taxes on electric vehicles,” they said.

The provision is against the government’s policies and programs, 15th plan and Energy Ministry’s white paper and Prime Minister’s commitments, according to the statement.

The statement is signed by NEFEJ Chairperson Kosmos Bishwokarma, CEN Chairperson Bhushan Tuladhar and EVAN Chairperson Umesh Raj Shrestha. RSS