PM Shah: Nepal not ready for full electric transition yet
Shah said that if households across the country immediately began using electric stoves and induction cookers, the current electricity distribution system would come under severe strain.
KATHMANDU: Prime Minister Balendra Shah has said Nepal is not yet in a position to fully transition to an electric-powered economy, warning that the country’s existing power infrastructure would be unable to handle a sudden nationwide shift to electric cooking.
Speaking on the issue, Shah said that if households across the country immediately began using electric stoves and induction cookers, the current electricity distribution system would come under severe strain.
“Nepal is not in a position to move instantly into the electric era. If everyone starts cooking with electric stoves and induction cookers right away, the transformers and substations currently in operation would be overwhelmed. Our existing capacity cannot support such a transition,” he said.
The Prime Minister noted that substantial investment is required to upgrade the electricity network, including transformers, substations and transmission lines, before the country can fully embrace electrification.
He added that the government’s decision to impose a 5 percent Value Added Tax (VAT) on electricity is aimed at generating funds for these infrastructure improvements.
“This is not a large amount. Transformers across the country need to be upgraded, and transmission lines require greater capacity. Only then can we move toward a fully electric future. The revenue collected through VAT will be invested in these upgrades,” Shah said.
