The recent removal of Kulman Ghising a few months before his tenure heading the National Electricity Authority (NEA) ended made headlines. Hitendra Dev Shakya, whose previous tenure ended amid similar behind-the-scenes politics that <a href="https://en.setopati.com/political/157021">never saw a final court verdict</a>, was put back in charge.&nbsp;
For many, Ghising was the architect of the end of 18-hour-a-day power cuts till a decade ago. His abrupt removal sparked outrage across the public sphere, and the political spectrum.
Leadership at the NEA has never been just about performance, it has long been entangled in political proximity, not merit. The agency is more than a power utility, it is more about control of budgets, contracts, and narratives.
As long as the lights stay on, many Nepalis will willingly overlook the messy compromises that greases the system. Appointments, removals, court cases, and backroom political bargain are the norm. Sometimes like with Ghising, a figure emerges as a public hero, sometimes, they do not.
A decade after routine load-shedding ended, political leaders still scramble to claim credit, over what should fundamentally be just the day-to-day work. The sector is mired in controversies, from metering disputes to ad hoc political committees, tariff issues, to negotiating cross border power trade.&nbsp;
Even basic statistics like electrification rates are held hostage to executive narratives with no clear standards and compliance on what counts as real access. Nepal's power sector seems to be running without a referee.
There are three agencies involved: the <a href="https://moewri.gov.np/">Ministry of Energy</a>, the NEA, and the little-known <a href="https://erc.gov.np/">Electricity Regulatory Commission (ERC),</a> each with a distinct mandate, at least on paper.
In a well-regulated market, issues like metering disputes and executive appointments would barely register outside the industry. In Nepal, such decisions often spill into political crises and can shake the fate of governments. Yet, the ERC is rarely seen or heard, even when these issues strike at the heart of its regulatory mandate.
Blurred roles have left Nepal’s power sector in a state of chronic overlap. The ministry often interferes with operations, drawn by the quiet influence that comes with the turf: contracts, budgets, and visibility.&nbsp;
NEA straddles the line between implementer and influencer, while the regulator still seems hesitant to assert its space.
Created in 2019 after years of industry bargaining, the regulator’s job is to establish rules, resolve disputes, and bring predictability and fairness back to the system. And this critical role remains a blind spot in Nepal’s energy debate and power struggles.
Disputes that should fall under regulatory inquiry and consultation, from the Time-of-Day (ToD) meter disputes and industrial payment defaults, to the NEA’s role in cross border power trade negotiations have instead become political flashpoints.
Despite the politics, if a regulator cannot assert itself in matters squarely within its mandate like pricing, contracts, disputes, compliance, what exactly is it regulating?&nbsp;
We did not create this new regulator just to be another spectator. But that, for now, is all it seems determined to be.
The regulatory mess runs deeper into the way Nepal prices its electricity. By many measures, Nepal’s electricity sector has made real progress. The country now exports surplus power to India while still relying on imports during peak demand. In 2023/24, Nepal became a net electricity exporter for the first time, selling as much power as &nbsp;two and half months of domestic demand.&nbsp;
Every hydropower <a href="https://nea.org.np/admin/assets/uploads/PPA_Rates.pdf">project under 100 megawatts is paid the same flat rate</a>: Rs8.40 per kilowatt-hour in the dry season, Rs4.80 in the wet season. Hard or easy, near or remote, the price stays flat.&nbsp;
Whether a project is built right along the accessible roads of Trisuli corridor or in the remote gorges of the Karnali that demand new roads and transmission lines to &nbsp;generation sites, it is the same price.
The Chamelia Hydropower Project cost <a href="https://www.adb.org/sites/default/files/project-documents/41025-012-nep-tacr.pdf">NPR 56 crore per megawatt to build</a>. Chilime came in at about Rs140 million. In a functioning system, a regulator would benchmark these costs, scrutinise financial models, and adjust tariffs to reflect real-world differences. &nbsp;&nbsp;
To give the ERC some benefit of doubt: it is a young institution<s>.</s> But institutions do not mature by aging; they need to step up and take positions, enforce rules, intervene, and speak up when it’s easier to stay silent, whether the pressure comes from a utility boss or a political heavyweight, celebrity or not.&nbsp;
Nepal’s energy industry cannot afford a regulator that hides every time the stakes get high. That responsibility weighs even heavier today. Ram Prasad Dhital, the current Chair of the ERC, was not an outsider parachuted into the role. He served as one of the Commission’s founding cohort and has seen it through its formative years.&nbsp;
His second term cannot be for keeping the seat warm. But will the ERC act, or will it continue to choose the safer path of silence? As the ERC evolves, the challenge is not just about leadership. It must resist the prevailing tendency to solely rely on short-term contracts and familiar recycled bureaucratic networks.&nbsp;
Building a credible regulatory institution requires stability and technical depth, a professional core of energy experts, economists, engineers, financial analysts, and legal specialists who can audit costs, arbitrate disputes, and navigate the rapidly evolving regulatory terrains.&nbsp;
Tariffs must reflect real costs and real geographies. Export pricing must adapt to dynamic domestic and regional markets. Disputes must be settled through credible regulatory mechanisms rather than through endless political committees.
The real question now is not just what the ERC was created to do, but whether it has the will, the knowledge, and the courage to do it. &nbsp;And the longer it forgets that and drifts further to become another spectator, the deeper the price the industry will pay.
Bibek Raj Kandel works at the intersection of energy, climate, and political economy.&nbsp;

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Nepal’s Power Struggles

By sacking the person that many Nepalis credit for ending<a href="https://nepalitimes.com/news/power-cuts-are-back-in-nepal"> prolonged daily power cuts</a>, the coalition led by <a href="https://nepalitimes.com/news/nepal-government-changes-again">Prime Minister KP Oli </a>has added fuel to the fire as anti-government forces plan protests in the coming weeks. A Cabinet meeting on Monday decided to replace the Executive Director of the Nepal Electricity Authority (NEA)<a href="https://nepalitimes.com/editorial/transformer-man"> Kulman Ghising</a> with Hitendra Dev Shakya. There is a sense of deja vu since both men led <a href="https://archive.nepalitimes.com/news.php?id=9409">the NEA</a> in previous stints. &nbsp;Ghising had been NEA chief in 2016 and again in 2021, when he had replaced Shakya. Ghising is backed by Pushpa Kamal Dahal of the Maoist Centre, which is now in the opposition, and Shakya is regarded as being close to Oli’s UML. Relations between Ghising and Energy Minister Dipak Khadka have been strained for the past year after the NEA cut off <a href="https://nepalitimes.com/news/nepal-electricity-demand-soars">electricity supply</a> to industries for failing to pay dues dating back to 2016. At the time, factories were provided uninterrupted power from dedicated lines, while the rest of the country suffered power cuts sometimes lasting 18 hours a day.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250326070312_593aa13f73deedb75404e18be27a97c718c3486d67ba3bdcc6a9c7aa0405a4d7.jpg" data-media-id="editor_5" data-image-id="20250326070312_593aa13f73deedb75404e18be27a97c718c3486d67ba3bdcc6a9c7aa0405a4d7" data-rendition-name="original" width="1204" height="390" loading="lazy" alt="NEA"> </figure>  Industrialists cried foul and appealed to Minister Khadka and Prime Minister Oli, contesting the NEA’s overdue bill. Khadka, who is from the Nepali Congress (NC), is himself a <a href="https://nepalitimes.com/multimedia/missing-pieces-of-the-hydropower-jigsaw">hydropower </a>entrepreneur and his appointment as energy Minister was seen as conflict of interest. <a href="https://nepalitimes.com/latest/kulman-ghising-to-stay-on?fb_comment_id=3199622240152768_3199919450123047">Ghising is largely credited </a>for having ‘ended loadshedding’ because he redirected electricity from industry to households -- even though imports from India and increase in installed capacity worked in his favour. Following Ghising’s dismissal, there were protests at Kathmandu’s Mandala intersection on Tuesday with demonstrators holding placards that read: ‘Kulman Ghising: Architect of a Bright Nepal’. Even members of the coalition government opposed Ghising’s sacking. Information Minister and government spokesperson Prithvi Subba Gurung on Monday said pointedly that he had no knowledge of Ghising’s removal. Read also: <a href="https://nepalitimes.com/here-now/kulman-ghising-s-tenure-at-nea-in-doubt">Kulman Ghising’s tenure at NEA in doubt</a>, Ramesh Kumar Energy Minister Khadka has sought clarification several times from Ghising, accusing him of ‘insubordination’, and his main gripe was that the NEA chief worked ‘arbitrarily’ on back-pay tariffs from industrialists and making <a href="https://nepalitimes.com/news/nepal-india-power-play">energy agreements with India</a> on his own.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250325100352_3b03eec43ea6d58b854939cb3bccdec627c381d03abc58f3aba333b2c577add2.jpg" data-media-id="editor_10" data-image-id="20250325100352_3b03eec43ea6d58b854939cb3bccdec627c381d03abc58f3aba333b2c577add2" data-rendition-name="original" width="1347" height="923" loading="lazy" alt="Sacking of NEA chief exposes cronyism"> </figure>  He did not like Ghising going off to India to talk about <a href="https://nepalitimes.com/news/blueprint-for-nepal-india-electricity-trade">power trade</a>, and questioned his authority to make deals bypassing the ministry. The minister even gave Ghising a performance ‘report card’ in which he was given zero out of 100. Speaking in Parliament on Sunday, Khadka warned that Nepalis would <a href="https://archive.nepalitimes.com/article/nation/power-cuts-nepal-here-to-stay,1701">once more have to suffer load shedding </a>because of Ghising. “We are in a situation where households may soon face power cuts. So Kulman isn’t really the hero bringer of light,” said Khadka, in remarks that were lampooned on <a href="https://nepalitimes.com/news/the-social-media-contagion">social media </a>and newspaper cartoons.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250325100356_8b8eceb3a1d39f694ba38aba750ada91e648ca0a8451b2071169951d1833f732.jpg" data-media-id="editor_14" data-image-id="20250325100356_8b8eceb3a1d39f694ba38aba750ada91e648ca0a8451b2071169951d1833f732" data-rendition-name="original" width="600" height="514" loading="lazy" alt="Cartoon in Kantipur by Abin Shrestha"> <figcaption>Cartoon in Kantipur by Abin Shrestha.</figcaption> </figure>   <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250325100356_dc19b92815359a91c6daa23d28f89a017af9aca6d97491a276e7d5d19d6fd9b0.jpg" data-media-id="editor_15" data-image-id="20250325100356_dc19b92815359a91c6daa23d28f89a017af9aca6d97491a276e7d5d19d6fd9b0" data-rendition-name="original" width="514" height="600" loading="lazy" alt="Front page of Naya Patrika "> <figcaption>Front page of Naya Patrika newspaper on Monday morning with coverage sympathetic to Kulman Ghising.</figcaption> </figure>  <a href="https://nepalitimes.com/news/nepal-suffers-another-winter-drought">A prolonged winter drought </a>and below-normal precipitation in March means <a href="https://nepalitimes.com/here-now/geopolitics-of-nepal-s-rivers">Nepal’s rivers </a>are running low, reducing the installed capacity of the mainly run-of-river <a href="https://nepalitimes.com/here-now/nepal-s-1st-hydroelectric-plant-is-a-museum-piece">hydropower plants</a> by one-third. In addition some of the bigger plants like the 456MW Tama Kosi were damaged in <a href="https://nepalitimes.com/editorial/when-it-rains-it-pours-ksqprbu3">last September’s floods</a>. The <a href="https://nepalitimes.com/news/spring-returns-to-nepal-s-mountaineering">spring season</a> shortfall coincided with India announcing it could not export electricity to Nepal during peak hours because of its own domestic demand. Ghising and Khadka appeared to be negotiating separately with India on increasing<a href="https://nepalitimes.com/news/balance-of-power"> power export to Nepal</a>, and often seemed to work at cross purposes. Read also: <a href="https://nepalitimes.com/from-the-nepali-press/more-than-half-of-nepal-s-electricity-imported-from-india">More than half of Nepal’s electricity imported from India</a> The NEA under Ghising had been making up for the power deficit by cutting electricity to industries to maintain household supply. This month, industrial corridors in <a href="https://nepalitimes.com/here-now/the-tarai-s-shrinking-forests">the Tarai </a>have been suffering power cuts from 6pm to 6am, forcing them to use diesel generators. These cuts have added to the <a href="https://nepalitimes.com/news/pokhara-s-tourism-woes">woes of powerful businesses</a> which NEA had been pursuing to pay their back dues. Industrialists had been putting pressure on the government to rein in Ghising. Two industries did play part of the sums they owed to NEA last week, just before Ghising got the sack. &nbsp; Ghising had wide support in<a href="https://nepalitimes.com/here-now/nepalis-not-so-unhappy"> Nepal’s public sphere</a>, with some speculating that he may have political ambitions. Which could be another reason that the UML and NC are wary of him, since he could be a Maoist candidate in the next elections. Ghising has said he will contest his dismissal in court.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250325100356_1ab203b400602f8780bbffd35970df35f927d2c66fc3c68be67f443f7dcd327b.jpg" data-media-id="editor_26" data-image-id="20250325100356_1ab203b400602f8780bbffd35970df35f927d2c66fc3c68be67f443f7dcd327b" data-rendition-name="original" width="1600" height="1069" loading="lazy" alt="Sacking of NEA chief exposes cronyism"> </figure>  It was during Ghising’s 2016 stint that he solved, seemingly overnight, debilitating power cuts. No doubt, he had some luck in timing, but being an electrical engineer himself also invested in upgrading transmission and distribution. “Some things were in place when Kulman Ghising came in, but what he did first was to free up 400MW from the dedicated line to <a href="https://archive.nepalitimes.com/news.php?id=9511">industrialists,</a>” recalls energy expert Kumar Pandey. Ghising also benefited from the completion of the 140km transmission line from Dhalkebar to Muzaffarpur in India, which meant Indian exports could make up for the shortfall, allowing NEA to end power cuts to households. Read also: <a href="https://nepalitimes.com/here-now/how-they-kept-nepal-in-the-dark-ages">How they kept Nepal in the dark ages</a> “He also arranged power cables to reroute energy distribution within the country, which was huge,” says Pandey. All of these actions freed up to 700MW in the evening, which Ghising was able to redistribute to the public. Ghising is also credited with effective negotiations with India to increase the export of 1000MW of <a href="https://nepalitimes.com/here-now/nepal-s-precious-electricity-going-waste">Nepal’s surplus electricity</a> in the monsoon – despite India refusing to buy power from plants with Chinese investment or contractors. Electricity exports allowed NEA to go from being a loss-making entity to earning a profit of Rs11.36 billion over Rs53.18 billion in sales. “Bad infrastructure was causing localised power cuts. A transformer in Kohalpur would burn up and wouldn’t be fixed for a month, and we had no spares,” Ghising told a <a href="https://www.youtube.com/watch?v=Xy-yWmi4wCc">YouTube interview</a> two days before his removal. “<a href="https://archive.nepalitimes.com/news.php?id=11138">Loadshedding </a>was also causing more loadshedding because consumption would soar when electricity was restored.” Ultimately, his dismissal reeks of politics, the business interest cronies and clashing egos. The only silver lining seems to be that Ghising’s replacement Hitendra Dev Shakya is also a grid development and power sector expert, and knows the sector well.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250325100356_836599bd3bcdb4d3d8f91d3f74dabe3c2976eb359690920377b7385904946ca7.jpg" data-media-id="editor_32" data-image-id="20250325100356_836599bd3bcdb4d3d8f91d3f74dabe3c2976eb359690920377b7385904946ca7" data-rendition-name="original" width="1419" height="946" loading="lazy" alt="Sacking of NEA chief exposes cronyism"> </figure>  Asking Ghising to ‘explain why he shouldn’t be removed from his position for insubordination’ essentially proved that this was a power play, and the NEA chief had to be removed because he was a ‘Maoist man’. However, the removal of a popular technocrat from the NEA could further anger Nepalis who are already disillusioned with established political parties and their cronyism. &nbsp;One barometer of public frustration is the <a href="https://nepalitimes.com/news/the-ghost-of-monarchy-returns-to-haunt-nepal">growing support on the streets even for pro-monarchist forces</a> led by the RPP and RPP-N who are planning further nationwide rallies next month.

Vishad Raj Onta

Sacking of NEA chief exposes cronyism

Nepal is known internationally for its successful community forestry programme, and the country has doubled its forest cover to over 45% in the last 25 years.&nbsp; But the opposite is true for densely populated urban centres like Kathmandu Valley which have turned into concrete jungles, with no remaining open spaces. Air pollution is increasing to hazardous levels, and the urban heat bubble means the temperature in the city is 2°C-3°C higher than in the outskirts. But there is a solution with a proven track record from similar densely populated cities in Japan — the ‘Miyawaki Method’ of growing local varieties of trees in any small patch of land in the city and turning them into compact forests. Named after Japanese botanist Akira Miyawaki in the early 1970s, carefully selected native trees and plants grow in tiny plots of land, or even in household backyards. They regenerate degraded urban soil, and help restore some greenery and biodiversity back to sterile city centres. The group Lily Leaves has planted Miyawaki forests in six sites across Kathmandu, and is on a mission to green all the river corridors in the Valley. So far, it has planted more than 17,000 trees belonging to nearly 40 species in patches of land along the Bishnumati and Swayambhu, and is eyeing the UN Park area along the Bagmati. “It is extremely important to connect with nature and greenery in cities,” says Lily Katuwal of Lily Leaves. "Besides restoring nature, these forests also clean air pollution and reduce summer temperatures.” Unlike traditional reforestation where trees of the same species are planted in bulk at a distance of 3-4m, Miyawaki prioritises native varieties best suited to Kathmandu Valley’s microclimate. The saplings are packed densely together, spaced only 60cm apart. After they start growing, native grass and undergrowth also thrive. The most recent plantation was along the banks of the Bagmati in Sanepa where, in addition to camphor and jacaranda which are grown in the area, native species such as kabro (Ficus lacor), kanike (Forget-me-not), parijat (Night-flowering Jasmine or Coral Jasmine), chanp (Plumeria), harro (Ink Nut) and barro (Bahera) were planted. A new site in Kirtipur is being readied for the next plantation. Miyawaki has been carried out elsewhere in various parts of Nepal, primarily in Dhanusha which has seen forest regrowth that has brought back insect, bird, reptile and amphibian life.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120428_e70c196852945760d082fc73ee18ea6883d13c16186893c00c10fd0a0ea12105.jpg" data-media-id="editor_0" data-image-id="20260402120428_e70c196852945760d082fc73ee18ea6883d13c16186893c00c10fd0a0ea12105" data-rendition-name="original" width="1201" height="1600" loading="lazy" alt="Planting seeds for a greener Kathmandu"> </figure>  EMPOWERING WOMEN Lily Leaves employs just 17 women, six of whom have hearing disabilities. Many have been neglected or abandoned by their in-laws for various reasons. They have a livelihood and learn new skills so they can also find jobs elsewhere.&nbsp; “We trained them in plantation and other skills including tailoring, as well as jewelry, bag and reusable pad making,” says Katuwal. “They are now experts in planting trees.”&nbsp; Lily Leaves gets support from Pipal Tree International in the UK and Nepal, and hopes that the idea of compact urban forest spreads. This is especially important in areas like Taudaha, which is an important stopover for migratory birds. Once noted for its aquatic and avian biodiversity, Taudaha has become lined with concrete and has turned into a loud picnic spot. Urban expansion has encroached upon what used to be the floodplain of the Dhobi Khola, Bishnumati, Bagmati and Manohara rivers. The open spaces along the river corridors are being turned into green belts haphazardly. For many wards, the concept of green space is to have cement pavements and ornamental hard-to-maintain potted plants instead of allowing urban forests to grow back naturally. “Apartment buildings and housing colonies that are being constructed can include green spaces that can increase the real estate and rent value of property,” Katuwal says. “Engineers designing the buildings can suggest such changes so that we remain connected with nature.” Although Lily Leaves needs to have permission from local ward and municipal councils before implementing any program, it continues to face challenges in ensuring smooth coordination.&nbsp; In one such plantation along the Bishnumati River corridor, for example, a heavy earthmover uprooted young trees that were just beginning to thrive. Despite this setback, Katuwal’s team returned to replant them. The land mafia often covets the last remaining open spaces in Kathmandu, deploying local strongmen to try to take them over. &nbsp;They tear down fences, uproot saplings and loot tools. There is a lack of awareness about the importance of greening the city. But now that the former mayor of Kathmandu Balendra Shah is prime minister, national awareness could translate into more urban forests not just in Kathmandu but also in overcrowded urban centres across Nepal. Says Lily Katuwal: “We just plant the seed in people’s minds. Once people in the neighbourhood see that restoring nature lifts their quality of life and increases land prices, there is support. That is when the power of a good example spreads, and communities build on the idea.” &nbsp;

Planting seeds for a greener Kathmandu

It is only April, and Himalayan expeditions are already making rotations to acclimatise on Annapurna and Dhaulagiri, and will soon be making summit pushes.&nbsp; On Mt Everest, Icefall Doctors are fixing ropes and ladders into the Western Cwm as international climbers arrive at Base Camp. Spring 2026 is going to be the busiest and most crowded so far in the Nepal Himalaya. The main reason is that China has closed expeditions from the north side for eight-thousanders Everest and Cho Oyu, and also Xixapangma.&nbsp; The closure is informal, from what one can make out. The Chinese have not put out any official statement, but there are no permits either. The reason seemingly was the ‘Rising Dragon’ firework display last September by pyrotechnic artist Cai Guo-Qiang near Xigatse.&nbsp; Working with outdoor wear company Arc’teryx, Guo-Qiang set off an impressive sequence of orange and white fireworks that wound up a mountain. The spectacular display was criticised for damaging the fragile ecology of the Tibetan Plateau. But this cannot be the only reason the north side is closed. Experienced Everest blogger Alan Arnette anticipates that about 125 climbers will shift to the Nepal side of the mountains, and expects there to be up to 900 summits this spring — up from the highest spring number so far of 876 climbers on top in 2019.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082.jpg" data-media-id="editor_0" data-image-id="20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="mountaineering"> <figcaption>Photo: KARMA TENZING</figcaption> </figure>  The early Base Camp arrivals are having problems with their first rotations because of heavy snow this season. Unlike previous springs, this year has seen back-to-back blizzards at high altitudes since February. The increased snow load on the slopes have increased avalanche danger right across the mountains.&nbsp; There has been an increase in numbers on Everest despite the West Asia war, flight disruptions, LPG shortage and new regulations. The permit fee has gone up for the first time since 2015 from $11,000 to $15,000 this year.&nbsp; The Tourism Bill passed by Nepal’s Upper House last year would have required climbers to have first summitted a 7,000m peak in Nepal before attempting Everest. However, the Department of Tourism has confirmed that there are no new experience requirements this season. Some want this rule changed to include 7,000m peaks anywhere in the world. That could be one reason people are rushing to climb Everest before the Nepal government changes its mind and enforces the new regulations on prior experience on Everest. “It’s probably going to encourage a lot of people that simply are not ready to go,” reckons Alan Arnette. “Once again, we may see a lot of inexperienced people on the mountain trying to get in before the rule comes into place, if it does.”&nbsp; Arnette has always been sceptical of Everest regulations, and points out many instances where rules have been announced but not implemented over the ten years that he has been tracking them. For example, a helicopter ban to Everest Base Camp was announced last year, but rescinded. A rule requiring climbers to bring down waste was never seriously enforced. Since there is so much money involved for the government and for the operators, any any rule that would reduce revenue is never fully implemented. This year there is another ‘High-Altitude Trash Quota’ rule requiring climbers and guides operating above Camp 2 to collect and bring down at least 2kg of waste from the higher camps.&nbsp; The Nepal government has tried to diversify peaks on offer by reducing the royalty on climbs, but the draw of Everest, Annapurna and other eight-thousanders seems to be too great. Even when the permit fees for some remote peaks like Kangri Shar, Himlung and Api, were reduced to $400, there are few takers.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d.jpg" data-media-id="editor_1" data-image-id="20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d" data-rendition-name="original" width="1500" height="1125" loading="lazy" alt="Photo Damien Francois"> <figcaption>Photo: DAMIEN FRANCOIS</figcaption> </figure>  TIME LAPSE Clients and expedition operators have been trying to shorten the time needed to complete an Everest expedition from the city of origin to the top and back. Since Nepal has no rules about spending a certain number of days in acclimatisation, this has allowed some expedition organisers to use new technology.&nbsp; Austrian operator Lukas Furtenbach last May led a group of four British ex-military clients to the summit within a week of leaving London. This climb was scrutinised because the group had practiced breathing xenon gas, a substance that increases the count of red blood cells and is banned in competitive sports. The climbers had also trained for months at home in hypoxic tents, and used supplemental oxygen during the actual climb.&nbsp; The success of that expedition prompted an investigation by Nepal’s Ministry of Culture, Tourism, and Civil Aviation, but there was nothing it could do because the team had taken the xenon in Germany two weeks before their trip. But even if they had administered the gas in Nepal, it would technically not be illegal. Furtenbach is firmly in favour of speed, and of using the gas. “The only reason why we are working with xenon is to make climbing safer, to protect climbers from high altitude sickness,” he says, arguing that the less time climbers spend on the mountains, the less their exposure is to disasters, sickness, and they also generate less trash.&nbsp; His firm, Furtenbach Adventure, offers a three-week Everest South Flash expedition, at a cost of €100,000, using custom oxygen systems. Other expeditions take up to two months.&nbsp; A young American duo of Ryan Mitchell and Justin Sockett got to Everest Base Camp five days ago. They are preparing for an oxygen-free summit attempt.&nbsp; ‘ Being around these mountains for one day has already brought me so much joy. Every time I come back to the Khumbu I feel more familiar and connected,’ posted Mitchell. He and Sockett have since summitted Lobuche East (6,119m) as they continue to acclimatise and wait for the Khumbu Icefall route to be fixed.&nbsp; There are other sans-O2 trips planned this climbing season in Nepal. Norwegian Kristin Harila, the fastest in the world to climb all 14 8,000ers (in 92 days), is attempting the Nuptse, Lhotse, and Everest three-peak climb without supplemental oxygen. American Tyler Andrews and Ecuadorian Karl Egloff are continuing their race to break records in Everest. While Andrews is attempting the Fastest Known Time from Base Camp to the top without oxygen, Egloff is taking it a step further and going for a round trip: from Base Camp to the summit and back in record time.&nbsp; Both Egloff and Andrews had attempted these climbs in 2025 spring, but abandoned around 7,000m due to bad weather.&nbsp; Kami Rita Sherpa wants to extend his all-time record of total Everest summits to 32, while Kenton Cool from England is chasing 20, a non-Nepali record.&nbsp; The first summits of the season will be in late April, or early May depending on weather. Besides Everest, there are a lot of interesting climbs on lesser known peaks.&nbsp; The Japanese trio of Masayuki Takenaka, Tatsuro Sugimoto, and Ryota Nomura, for example, are attempting the unclimbed Jarkya Himal (6,473m) near Manaslu. &nbsp;&nbsp; <h2>Fake rescues</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6.jpg" data-media-id="editor_2" data-image-id="20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6" data-rendition-name="original" width="800" height="519" loading="lazy" alt="Fake rescues"> </figure>  This year’s spring climbing season has coincided with Nepal’s new government taking action against alleged perpetrators in fake rescues and insurance fraud. The Central Investigation Bureau (CIB) has already arrested more than a dozen trekking agency executives, hospital managers and helicopter company executives for medevac insurance fraud. Climbers are known to fabricate medical emergencies, get flown down from as high as Camp II on Everest, and then submit false insurance claims.&nbsp; Sometimes one flight is made to look like many using fake invoices. Trekking companies are also involved in fake rescues of hikers who just get tired of walking.&nbsp; Too many fake claims could lead to insurer’s losing confidence in the industry, and increased premiums, leading to delayed responses in real accidents.&nbsp; As a result of the scandal, there is now more scrutiny from the government about rescues. Already, helicopter operators have to wait for permission before carrying out rescues while their application is vetted.&nbsp; The worry is that this could cause unnecessary delays when time is of the essence in mountain rescue. Already, medevacs are delayed because of the bureaucracy needing permits to fly to sensitive regions bordering China. Last year, a climber died on Himlung because helicopter rescue took too long while operators ran from door to door in Kathmandu to obtain necessary permits. <h2>Mingma David Sherpa, MP</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25.jpg" data-media-id="editor_3" data-image-id="20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25" data-rendition-name="original" width="960" height="958" loading="lazy" alt="Mingma David Sherpa"> </figure>  Meet Mingma David Sherpa, Nepal’s first mountaineer to be nominated to Parliament. Sherpa is a self-made professional climber from Rolwaling, who rose up from an expedition porter to a record-breaking mountaineer and expedition organiser. As an insider, he is now in a position to streamline laws related to Nepal’s trekking and mountaineering sector. He is co-owner of EliteExped with Nims Purja, and in 2021 the two were part of a team of Nepali climbers to be the first to make it to the top of K2 in winter, the second highest mountain in the world in Pakistan.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54.png" data-media-id="editor_4" data-image-id="20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54" data-rendition-name="original" width="2082" height="1396" loading="lazy" alt="Mingama David Sherpa"> </figure>  Mingma David was also on Purja’s Project Possible to climb all the 14 eight-thousanders in six months, shattering the previous record of seven years. He was featured in Purja’s documentary 14 Peaks: Nothing is Impossible.&nbsp; At age 30 he became the youngest climber to reach the top of all 14 eight-thousanders for which he was awarded the Piolet d’Or. Mingma David has taken part in dozens of successful rescues of fellow climber, including the highest ever long-line rescue on Dhaulagiri and saving the life of fellow-climber from 8,600m on Everest. <h2>April Fool</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4.jpg" data-media-id="editor_5" data-image-id="20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4" data-rendition-name="original" width="1365" height="1820" loading="lazy" alt="Furtenback Adventures"> </figure>  The Austrian expedition outfitting company Furtenbach Adventures spoofed the anticipated crowds on an April First post on social media this week, showing ‘a fully galvanized, weather-resistant steel staircase, complete with a sturdy handrail’ to make the Hillary Step bottleneck on Mt Everest less dangerous.

Nepal Himalaya Spring 2026

As a direct fallout of the Israel-American war on Iran, Nepal on Monday nearly doubled the price of aviation fuel in a move that is going to impact during the spring peak tourism season. The steep price hike of jet fuel appears to have been made to cushion the impact on the general public. The price of petrol, diesel and cooking gas were also hiked for the third time in a month on Thursday.&nbsp; Aviation turbine fuel (ATF) will now cost $2,237/ton up from $1,207. The cost of ATF in Kathmandu was <a href="https://nepalitimes.com/news/sky-high-fuel-price-hits-nepal-s-tourism-airlines" target="_blank">already one of the highest among Asian airports</a>, and this price hike will affect mostly long-haul flights to Istanbul, Seoul and Narita for airlines that need to refuel in Kathmandu.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260404130420_4ae075d1e871fc5608cf242d6e309005d30cfdb6e6d0ecfb45ca7388a851c6aa.png" data-media-id="editor_1" data-image-id="20260404130420_4ae075d1e871fc5608cf242d6e309005d30cfdb6e6d0ecfb45ca7388a851c6aa" data-rendition-name="original" width="1784" height="1294" loading="lazy" alt="aviation turbine fuel prices"> </figure>  Domestic airlines, which paid Rs127 per litre, will now have to pay Rs251 for their turboprop planes. “We have no recourse but to pass this on to passengers as a fuel surcharge,” said one executive of a domestic airline in Nepal. As it is, Nepal Oil Corporation levied a hefty tax on petrol and ATF in order to subsidise diesel and cooking gas. Many analysts were expecting a fuel price hike, but the near-doubling of the price of ATF means the new Nepal government is trying to protect ordinary citizens from raising the price of diesel and LPG even more than it has so far. Aviation fuel in Nepal is trucked in on tankers from Indian refineries and its price is highest in Kathmandu, and less in Bhairawa and Pokhara — transportation costs being higher depending on distance. But even in Bhairawa, ATF prices have doubled for the only international airline that serves it, Thai AirAsia.&nbsp; Most airlines flying Kathmandu from nearer airports in India, the Gulf and Southeast Asia will be less impacted because they can fly in on full tanks and need minimum refuelling in Kathmandu. But carriers like <a href="https://nepalitimes.com/banner/high-cost-lays-aviation-low-in-nepal" target="_blank">Turkish Airlines</a>, Cathay Pacific, Korean Air, &nbsp;and Nepal Airlines which fly wide body aircraft on long-distance routes will be hit hardest.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026040305040_a40db74375ebe0c28e7c35477bc262df9ae392a84e7bfa4033996181d69e0209.jpg" data-media-id="editor_3" data-image-id="2026040305040_a40db74375ebe0c28e7c35477bc262df9ae392a84e7bfa4033996181d69e0209" data-rendition-name="original" width="1032" height="689" loading="lazy" alt="sky high prices"> </figure>  However, ATF costs have also been raised in regional airports like Hong Kong, India and Singapore. Aviation fuel at New Delhi airport has risen to $1,698/ton. Korean Air is adopting emergency measures to reduce expenses to make up for rising fuel costs. South Korea gets nearly all its fuel from the Gulf, and the blocking of the Strait of Hormuz has been especially damaging for the country. Fuel makes up more than a third of the operating cost of airlines, and even a small increase in ATF prices can make a big difference. Crude oil prices have increased 50% since the West Asia war began on 28 February, and global ATF prices have doubled.&nbsp; Airlines in Asia, including Nepal, face a double shock. The first is the higher fuel cost, and the second is that fewer people are travelling. Nepal’s tourism arrivals fell in March compared to February. India has added up to 20% fuel surcharge on domestic flights, and has reduced flights by 12%. Chinese airlines have also been affected, with China Eastern preparing for a significant impact of the Gulf war. It has added fuel surcharges to new tickets, as have Cathay Pacific, Thai International and Air Asia. Vietnam has drastically cut the number of domestic flights, and the Philippines will ration ATF. Australia imports 90% of its ATF mainly from China which has stopped export to ensure domestic supply to its own airlines. Carriers like Qantas have curtailed flights, changing aircraft type on long-haul routes, and a fuel surcharge of up to 20% have been added to tickets. Most Asian airlines are adding fuel charges only to new tickets, and the increase will not affect the price of pre-sold tickets issued for April and May.

Fuel price shock hits Nepal aviation

The war in West Asia has exposed the fragility of the economic architecture Nepal has built on over two generations. If the conflict continues, growth across developing Asia will slow and prices will rise. For Nepal, this will be felt through higher living costs, weaker economic activity, and growing uncertainty for the millions of families who depend on remittances.&nbsp; Nepal now needs to structurally transform from exporting labour to investing in domestic job creation. &nbsp; The country's current path toward a knowledge economy has a blind spot. A <a href="https://iids.org.np/wp-content/uploads/2025/02/unleashing.pdf" target="_blank">report</a> by the Institute for Integrated Development Studies (IIDS) in Kathmandu shows that IT export companies alone generated 7,228 jobs and income for 66,509 freelancers.&nbsp; We are building digital labour export, not an economy that accumulates institutional knowledge. The Nepali Upwork developer and a migrant construction worker in the Gulf are engaged in the same economic activity, but with different tools. Nepal’s reliance on a <a href="https://data.worldbank.org/indicator/BX.TRF.PWKR.DT.GD.ZS?locations=NP" target="_blank">remittance-driven economy,</a> means the country has failed to create enough <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">quality jobs</a> at home. For millions of young people, leaving the country is not a choice but a necessity to survive and support families back home. <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">Remittances</a> have no doubt helped reduce poverty. Thirty years ago, 55% of Nepal’s population lived on less than $2.15 a day, now it is 20% after the absolute poverty line was revised upwards. This progress has come at a cost — &nbsp;an economy that depends more on exporting workers than creating opportunities at home. This development reflects a deeper political failure to create meaningful jobs within the country. Since the democratic transition in 1991, Nepal’s leadership has largely recycled the same faces, with limited progress on job creation or industrial growth.&nbsp; Nepal cannot build a <a href="https://nipore.org/accelerating-nepals-startups/" target="_blank">knowledge economy</a> while its most ambitious people are outbound to Doha and Tokyo. We are also not just losing ‘labour’. We are losing the entrepreneurial risk tolerance of our youth.&nbsp; If the most ambitious 25-year-olds are abroad, who is left to support innovation and entrepreneurship? The same people who are working tirelessly abroad, are our biggest asset for development. Their work ethic and the know-how inurban renewal could well fit into the new RSP government’s mandate of 7% annual growth.&nbsp; The <a href="https://english.biznessnews.com/posts/-nepal%E2%80%99s-it-exports-cross-1-billion-" target="_blank">$1B milestone</a> of IT exports is a celebratory moment for Nepal. However, that cannot lead to a pathway to a $100 billion economy without innovation ecosystems that go beyond individual labour export. Companies like SecurityPal and industry associations such as NASIT have made significant efforts in building such an environment, recently championed by private sector leaders as a &nbsp;<a href="https://www.securitypalhq.com/blog/silicon-peaks" target="_blank">Silicon Peaks</a> model that emphasises a home growth tech cluster. The need to accelerate this transition is even more urgent with the escalating conflict in West Asia. &nbsp;The recent International Labour Organisation (ILO) <a href="https://www.ilo.org/sites/default/files/2026-03/Nepal%20LDC%20Graduation%20Employment%20Impacts%20Report.pdf" target="_blank">report</a> shows that LDC graduation is expected to adversely impact manufacturing with losses of $1 billion by 2030.&nbsp; If manufacturing takes such a large hit from losing trade preferences, then Nepal’s services and IT sectors need to structurally transform and shift from exporting individual talent to building firms. &nbsp; A generation’s frustration has finally forced a shift in Nepal’s political structure, handing the new government a clear mandate to fix failures. But the question still persists: what prevents Nepal from achieving sustained, productivity-driven growth? &nbsp;&nbsp; RSP is in the right place at the right time to put Nepal's economy on a firm footing. At the heart of Nepal’s economic underperformance lies a major development binding constraint: low returns to investment on projects.&nbsp; The government invests like a high-growth economy, with gross capital formation at around <a href="https://data.worldbank.org/indicator/NE.GDI.FTOT.ZS?locations=NP" target="_blank">25–30 percent of GDP</a>. Yet economic growth remains modest. The problem is not how much the country invests, but how little it gets in return. One way to see this is by looking at how much investment is required to generate growth.&nbsp; Nepal needs large amounts of capital to produce relatively small gains in output (graph, below). For instance, in 2024, the ICOR was 8.29, this suggests that Nepal had to invest more than 8 units of capital to produce a one unit of additional economic output.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811.jpg" data-media-id="editor_9" data-image-id="20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811" data-rendition-name="original" width="1827" height="925" loading="lazy" alt="Economy graph"> <figcaption>Source: Author's calculation based on a Growth Diagnostic simulation</figcaption> </figure>  This reflects a deeper issue in how investment is allocated and executed. Capital is often locked in low-productivity sectors or diluted by delays, inefficiencies, and policy uncertainty.&nbsp; As a result, even high levels of investment fail to translate into sustained growth. Until investment shifts toward productive, firm-building activities, higher spending alone will not deliver results. &nbsp; To reverse this, the government must focus on raising the returns to investment by enabling firms to grow and compete. This requires a shift from managing scarcity to creating an environment where capital can generate consistent and predictable returns. A central priority should be given to attracting and retaining both domestic and foreign private investment. Investors do not just respond to direct incentives, but also to policy stability in the country. Nepal’s economy cannot sustain high growth if its human capital continues to leave the country.&nbsp; The goal should not simply be to create jobs, but to build companies that scale, innovate, and compete beyond Nepal. This requires supporting sectors with strong productivity potential and ensuring that firms can expand without being constrained by infrastructure gaps or regulatory friction. Finally, the state must improve the quality of its own investment. Public spending should focus on lowering the cost of doing business through reliable electricity, efficient logistics, and digital infrastructure.&nbsp; The GenZ movement took two days to bring change. The economic transformation of Nepal might take a generation. The RSP can accelerate this transition, but only if it focuses on building a better investment climate for business and not just feeding the global labour pool. Kailash Raj Pandey is an MPA/ID and MBA candidate at Harvard Kennedy School and MIT Sloan School of Management and a fellow at MIT Kuo Sharper Center for Innovation and Prosperity.&nbsp; Siddhartha Raymajhí is a policy researcher based in Kathmandu.

hitendra-dev-shakya

Nepal’s Power Struggles

Sacking of NEA chief exposes cronyism

Planting seeds for a greener Kathmandu

Nepal Himalaya Spring 2026

Fuel price shock hits Nepal aviation

Creating a firm future for Nepal