Global fuel markets are reeling from conflict in the Middle East, but Nepal has largely avoided the worst of the crisis. Motorists here are increasingly turning to electric vehicles (EVs), with high demand putting strain on dealerships.
Electric microbus driver Purushottam Adhikari said he was now shuttling more passengers along a 300-kilometre journey between his town in Chitwan district and the capital Kathmandu. “My profession is not affected by the conflict,” said the 48-year-old, who drives an 18-seater Chinese-made e-van daily. In fact, more people are choosing EVs.
The country of 30 million has an estimated 50,000 EVs, still a small fraction of its total 6.2 million motor vehicles but officials expect this figure to increase. The price of petrol in Nepal, which imports all of its gasoline, has nearly doubled since the war began in late February with US-Israeli strikes on Iran.
Transport fares have gone up, but Adhikari told AFP that his prices remain unchanged at 700 rupees ($4.60) for a one-way trip in his Joylong A6, which costs $8 for a full recharge. A full tank for a similar diesel vehicle would have cost more than $66.
An expanding network of charging stations along major highways has made long-distance electric travel increasingly viable. Susmita Bishowkarma, 20, said she prefers to travel in EVs because they are environmentally friendly, comfortable and comparatively cheap.
Nepal has imported over 13,500 EVs between mid-2024 and mid-2025 – double that of petrol vehicles and a sharp rise from just seven a decade ago. The government is seeking to replace some 10,000 damaged vehicles with EVs as part of its clean energy policy.
Concerns about the ongoing conflict in the Middle East are also influencing consumer behaviour. Shraban Bhattari recently bought a BYD Atto-2, saying it’s saving him daily fuel expenses. In April, the government approved a legal framework to allow people to convert their petrol and diesel vehicles into EVs.
EV dealers told AFP they were struggling to meet demand as the price of diesel has gone up and more people are coming to trade in fuel vehicles for EV vans. Schools and colleges are also exploring electric fleet purchases, signalling a shift beyond individual commuters. Energy expert Pokharel urged policymakers to build on the momentum by encouraging domestic EV manufacturing and assembly.