Kathmandu, May 21:

Last July, the government decided to phase out over 15-year-old vehicles plying in the Kathmandu valley. Different quarters lauded the government decision then.

One year on, entrepreneurs are saying that the government allow the owners of the old vehicles in good condition to ply them outside the Kathmandu valley.

In its budget speech last year, the government also announced that it will provide to the owners of the old vehicles registered over 15 years ago a 33 per cent waiver in import tax if they want to bring in new vehicles.

Buddha Bir Lama, chief officer at the Transport Management Office Bagmati (TMOB), said, “To enjoy the tax subsidy, the owner of the old vehicle should be ready to keep his vehicle off the road even if the vehicle is in good condition.” The Ministry of Finance should have held consultations before making the decision to phase out the old vehicles.

Milan Shrestha, executive director of the Mero Motors Private Ltd, said, “Nepal does not manufacture or assemble any type of vehicles. Well-maintained old vehicles should be allowed to operate.” Transportation will be accessible for all outside the valley, too, if the government provides subsidy to the owners and allows them to operate their old vehicles outside the valley.

According to the TMOB, the number of vehicles plying the valley roads has increased from 1,76,415 in 2001/02 to 3,17,502 in 2006/07. Altogether 176 old vehicles — 79 public buses and minibuses, 43 taxis and 54 private vehicles — have been registered at the TMOB for the phase-out.

Mem Bahadur Waiba, president of the Yatayat Lekhapadi Manch, said, “It is alright to ban vehicles that have fallen into disuse. But the vehicles that are in good condition should be allowed to operate.” The ban on old vehicles will hit the economy hard as new vehicles will have to be imported in place of the older ones, he said.

Krishna Prasad Adhikary, general secretary of the Federation of Nepalese National Transport Entrepreneurs, says, “The government should come up with a policy on the operation of vehicles.”

“The owner should be allowed to operate his vehicle for at least 20 years so that he gets a good return on his investment.”