In not cleaning the environment, a dilapidated hangar in central Kathmandu, the rusting shells of about a dozen electric trolley buses lie forgotten, coated in dust, bird droppings, and surrounded by trash. These decaying vehicles are the remnants of a visionary attempt, launched half a century ago, to transition Kathmandu’s public transport system to electricity, cleaning the environment. One of the buses bears a faded message: “Keep me alive.”
That message is finally resonating. Last year, over 70% of all four-wheeled passenger vehicles – mostly cars and minibuses – brought into Nepal were electric, placing the country among global leaders in EV adoption. Between July 2023 and 2024, Nepal imported more than 13,000 electric vehicles, a dramatic jump from around 250 just a few years earlier in 2020-21.
The government has outlined ambitious plans for expanding EV use, targeting that by 2030, 90% of all private vehicle sales and 60% of all public four-wheeled passenger vehicles sold will be electric. The rise of EVs has sparked optimism about reducing Kathmandu’s severe air pollution, which frequently ranks the capital among the world’s most polluted cities. Levels of fine particulate matter often exceed World Health Organization (WHO) limits by 10 to 20 times.
Pollution has had a severe impact on public health in Nepal, causing nearly 19% of deaths in 2021, according to State of Global Air research. Meeting WHO air quality standards could add an average of 2.6 years to the lives of Kathmandu residents.
Much of the Kathmandu Valley is regularly enveloped in heavy smog from sources like brick kilns, road dust, construction debris, garbage and crop burning, and the emissions from the city’s 1.75 million vehicles—80% of which are two-wheelers.
“Transport is responsible for about a quarter of the fine particulate pollution in the valley,” says David Sislen, the World Bank’s country director for Nepal, Maldives, and Sri Lanka. “Widespread EV adoption is a critical step toward cleaner air and better public health.”
Nepal’s transition to EVs is even more impactful thanks to its electricity supply, which is almost entirely generated by clean hydropower and has been stable since the end of regular power outages in 2018. The appeal of EVs is evident at a showroom for BYD, a Chinese electric car manufacturer, where Binaya Parajuli is collecting his new vehicle.
“These days, EVs make the most sense. Petrol is pricey and its cost changes all the time. Electricity is much cheaper and reliable now,” Parajuli says. “Plus, I like that I’m doing a bit for the environment.”
Parajuli also admits the sleek design of electric cars is part of the draw, noting how EVs have become status symbols. “They’re stylish—even if our roads aren’t,” he laughs, cutting a cake to mark the purchase.
Cost remains the biggest driver of interest in EVs, according to sales manager Loozah Maharjan. “Electric cars are taxed less than petrol ones, running them costs about a tenth as much, and banks offer attractive loan options,” he explains.
However, environmentalist Bhushan Tuladhar warns that unless diesel buses and trucks—the most polluting vehicles—are also electrified, the benefits will be limited and it will take time for cleaning.
“There are three main challenges: the high upfront cost of electric buses, insufficient charging infrastructure, and a disorganized public transport system,” he says.
Still, change is underway. Tuladhar, a board member of Sajha Yatayat, a public transport cooperative, helped bring in 40 electric buses from China, which now operate in Kathmandu. These run alongside hundreds of electric three-wheelers that have been in the city since the 1990s.
