Bagmati Province Recommends Increase in Vehicle Fares; Minimum Fare in Kathmandu Valley to Reach NPR 23.93

Following the recommendation of the Bagmati Province government, the minimum vehicle fare in Kathmandu Valley is set to increase by 25.96 percent, raising it to NPR 23.93. The Provincial Ministry of Transport has proposed a 12.39 percent fare hike for petrol-fueled taxis and a 26.79 percent increase for cargo vehicles. The fare for electric vehicles will remain unchanged at the rate set on 1st Baisakh 2079 (mid-April 2022), and preparations are underway to publish the fare adjustments in the provincial gazette.

As of 27 Chaitra in Kathmandu, plans are moving forward to raise vehicle fares within Bagmati Province. At a fare determination and adjustment recommendation committee meeting chaired by Labour, Employment, and Transport Minister Jayram Thapa, a 25.96 percent increase was suggested for the minimum fare in Kathmandu Valley. Currently, the minimum fare for distances between 0-5 kilometers is NPR 19, which will increase to NPR 23.93.

According to Pravin Shrestha, Chief of the Transport Division under the provincial Ministry of Transport, the fare hike recommendation is in place. Chief Minister Indrabahadur Baniya, who is currently in Kathmandu, is reviewing the proposal, with his private secretary Bhakta Bhandari confirming that preparations for approval are ongoing. Bhuvan Nyaupane, Deputy Secretary of the Ministry of Internal Affairs and Law, stated that the fare approval process is underway, with plans to publish it in the provincial gazette through the Chief Minister’s office. The last fare adjustment in Kathmandu was implemented on 7 Bhadra 2080 (August 2023).

Under the new recommendations, petrol-fueled taxis in Bagmati Province will see a 12.39 percent fare increase. For public passenger vehicles outside Kathmandu Valley, a 17.35 percent hike is proposed, while cargo vehicles will have a 26.79 percent fare increase. Electric vehicles operating within the province will maintain the fare rates established on 1 Baisakh 2079. Due to a significant rise in fuel prices, transport service providers have been exerting continuous pressure for fare adjustments. In response, the central government also recently raised long-distance transport fares this week.