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Thursday, August 14, 2025

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Thu, Aug 14, 2025
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National

Prime Minister’s Office asks Gandaki government to suspend ride-hailing regulation

Move comes as transport strike causes nationwide disruption, but concerns grow over possible return of syndicate control. Prime Minister’s Office asks Gandaki government to suspend ride-hailing regulation
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Deepak Pariyar
Published at : June 3, 2025
Updated at : June 3, 2025 19:06
Pokhara

The Office of the Prime Minister and Council of Ministers on Tuesday formally requested the Gandaki provincial government to temporarily suspend the implementation of its newly introduced ride-hailing regulation, as transport strikes triggered by the policy continue to disrupt daily life across the country.

The letter sent to the Office of the Chief Minister of Gandaki Province cited ongoing difficulties faced by the public due to the indefinite halt in public transport services called by transport entrepreneurs’ associations.

The Prime Minister’s Office urged provincial authorities to suspend enforcement of the regulation as per a ministerial-level decision aimed at restoring normalcy.

“In view of the ongoing public transport strike and the hardship it has caused to citizens, the government has decided to request provincial governments, including Gandaki, to hold off on implementing the ride-hailing provisions for the time being,” the letter reads.

The move follows a strike launched by the National Federation of Nepal Transport Entrepreneurs, which has crippled mobility in various parts of the country including key cities such as Kathmandu, Pokhara, Bhairahawa, and Bharatpur.

The strike was called in protest against the Gandaki Province’s “Ride-hailing regulation 2025,” which regulates app-based ride services and permits privately registered vehicles to operate commercially under certain safeguards.

While the Gandaki provincial government stated that the regulation aims to enhance commuter safety, ensure proper taxation, and bring digital transport services under legal oversight, transport entrepreneurs claimed the policy contradicts the federal Motor Vehicle and Transport Management Act. They particularly oppose provisions allowing private vehicles to carry paying passengers, which they argue violates Section 8(2) of the Act.

Transport policy experts and critics argue that the long-standing syndicate culture, which the rise of ride-hailing apps had begun to disrupt, could re-emerge under the guise of regulatory clarity.

“Instead of protecting entrenched interests, the government should be working to modernise and liberalise the transport sector,” said a transportation governance expert based in Pokhara. “This reversal risks undoing years of progress.”

Meanwhile, the public continues to bear the brunt of the conflict. Over the past several days, commuters, including the elderly, patients, students, and tourists, have been left stranded, with ride-hailing services charging significantly higher fares due to the absence of public transport options.

As of Tuesday evening, Gandaki provincial officials were engaged in internal discussions and are expected to make their announcement following a Cabinet meeting of the provincial government.


Deepak Pariyar

Deepak Pariyar is the Kaski correspondent for Kantipur Publications.


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