Nepal has added 5% VAT to residential electricity bills for homes that consume more than 50 units a month. The change comes from the FY 2083/84 budget and applies to the tax portion of the bill, while NEA’s tariff rates remain unchanged.
Households using 50 units or less stay exempt. For EV owners who charge mostly at home, the bill will rise slightly, but home charging still costs far less than running a petrol or diesel vehicle.
NEA uses a progressive slab system, so units are not billed at one flat rate once a higher band is reached. The added cost comes from the new VAT, not from a tariff hike.
Most homes in Nepal use 15A or 30A connections, which are generally enough for home EV charging.
Writes on vehicle pricing, taxation and the Nepali auto market from ongoing tracking of distributor price lists. Editorial policy.
