KATHMANDU: Transport operators across Nepal have been protesting nationwide by halting transportation services for two days in opposition to the Gandaki Province’s newly issued Ride-Sharing Regulation 2082 (2025). The regulation allows private red-plated vehicles to operate as public transport, which traditional operators see as a threat to their livelihood.

Despite a six-point agreement reached with the government during talks on Monday, the transport entrepreneurs have yet to call off their strike. As a result, millions of passengers have been stranded, facing severe difficulties in commuting. The ongoing deadlock highlights the tension between modern ride-sharing initiatives and established transport businesses.

Here’s a clear breakdown of what’s included in the Gandaki Province Ride-Sharing (Regulation and Management) 2082 (2025).

Legal Basis and Official Publication

The Ride-Sharing Regulation 2082 was issued by the Ministry of Physical Infrastructure Development and Transport of Gandaki Province and officially published in the Gandaki Province Gazette on Jestha 1, 2082 (May 15, 2025).

It is grounded in the province’s constitutional authority over transportation management and follows a directive order from Nepal’s Supreme Court mandating clarity and legal standards for ride-sharing services.

Inclusion of Red-Plated Vehicles for Public Transport

A landmark provision of this regulation is allowing vehicles with red number plates (traditionally private vehicles) to carry passengers for ride-sharing services. Previously, only black-plated vehicles were permitted for public transport. This move expands legal participation in ride-sharing to a broader group, including popular app-based services.

Vehicle Eligibility Criteria

• Two-wheelers: Must have at least 95 cc engine capacity or 1.5 kW electric motor and be less than 10 years old.
• Four-wheelers: Must have at least 790 cc engine capacity or 20 kW power and be less than 15 years old.

All vehicles must carry visible codes:

• “RS” to indicate Ride Sharing
• “SD” for Self-Drive

Mandatory Registration and Digital Operations

• All ride-sharing vehicles must be registered through a government-approved online system.
• Services must operate exclusively through digital platforms (apps) that manage driver and vehicle records, enforce fare structures, and implement technical restrictions such as limiting service distance.
• The apps must feature safety tools and provide a 24/7 complaint handling center.

Insurance and Safety Requirements

• Ride-sharing vehicles must have insurance coverage protecting passengers, third parties, and the vehicle itself.
• Operators are responsible for passenger safety, which includes providing helmets for two-wheeler passengers and ensuring compliance with safety standards.
• Vehicles must undergo regular inspections and prominently display official markings.

Service Distance and Zone Limitations

• Ride-sharing trips are limited to a maximum of 20 kilometers.
• Two-wheelers cannot carry passengers beyond 20 km.
• The regulation requires apps to restrict ride bookings exceeding this distance.
• Specific zones and routes will be designated for all ride-sharing vehicles.

Fare, Fees, and Commissions

• Drivers are only allowed to charge the official fare set by the government.
• Public vehicles registering under this system benefit from certain fee exemptions.
• Service providers may charge a maximum 12% commission per transaction and must deposit 1% of every transaction into the provincial government’s treasury.

Working Hours and Social Security

• Drivers must not work more than 12 hours per day, ensuring driver safety and service quality.
• All ride-sharing workers must be enrolled in Nepal’s Social Security Fund, a responsibility borne by the service providers.

Regulatory Oversight and Monitoring

• A monitoring and evaluation committee, led by the ministry secretary, will oversee the implementation and compliance of the regulation.
• Responsibilities include vehicle inspections, license management, consumer complaint resolution, and coordination with law enforcement.

Exemptions from Regulation

The rules do not apply to minibuses, city buses, large buses, or trucks, focusing the regulation on smaller vehicles operating ride-sharing services.

Constitutional and Legal Context

• Critics argue this provincial regulation conflicts with federal laws. However, the Gandaki government justifies it based on:
  • The Concurrent Powers List in Nepal’s Constitution allowing provinces to regulate transport jointly with the federal government.
  • The absence of a new federal Transport Act, even after 10 years since the constitution came into effect.
  • The Supreme Court’s directive for provinces to enact clear ride-sharing regulations ensuring safety and order.

Conclusion

The Gandaki Province Ride-Sharing Regulation 2082 is a pioneering attempt to formalize and modernize Nepal’s rapidly growing app-based transport sector. It establishes detailed technical, operational, and safety standards for ride-sharing, opening the market to private red-plate vehicles while aiming to protect passengers and drivers.

Despite its progressive approach and legal backing, the regulation has faced strong protests from traditional transport operators who argue it undermines existing federal laws and threatens their businesses.