Nepal Suspends Registration of All New Public Vehicles Nationwide

The Department of Transport Management has imposed a nationwide ban on the registration of all new public vehicles, citing rising traffic congestion, increasing air pollution, and growing pressure on road infrastructure.

The decision, which remains in effect until further notice, applies to all types of public transport vehicles, including electric vehicles. The department clarified that no new registrations will be processed until a new directive is issued.

According to a circular issued on Jestha 7 by Director Mani Ram Bhusal, the instruction has been sent to the ministries of Physical Infrastructure, Labour and Transport Management across all seven provinces, as well as to all local government units nationwide.

The department stated that the move was necessary due to several pressing challenges, including the lack of scientific management of public transportation, worsening air quality, increasing vehicle density leading to severe traffic congestion, and difficulties in public mobility. It also noted the rising cost of fuel as a contributing factor affecting the operation of public transport services.

The decision has been taken under Section 24(3) of the Vehicle and Transport Management Act, 2049, which empowers the department to restrict vehicle registration in the public interest. The law allows authorities to halt registration if issues such as environmental pollution, road capacity constraints, or transportation difficulties threaten public welfare.

Acting on this legal provision, the department has instructed provincial ministries and local transport offices to immediately halt all new public vehicle registration processes as part of efforts to improve scientific management of the country’s transport system in line with government policy.