In a significant development for Nepal’s hospitality sector, the umbrella organization for hotel entrepreneurs, the Hotel Association Nepal (HAN), has called for the provision of electricity benefits akin to those offered to industrial sectors.
Led by HAN President Binayak Shah, a delegation met with the Minister for Energy, Water Resources, and Irrigation, Deepak Khadka, today to formally request that the hotel industry be granted the same electricity subsidies as other productive industries. The association proposed that hotels be provided with policy support to install electric stoves and be included in the Time of Day (TOD) metering system to encourage energy-efficient practices.
During the meeting, HAN representatives also stressed the need for the government to create policies that would classify hotels, lodges, and resorts as industries under the Industrial Enterprises Act, of 2056. This classification would allow them to benefit from the same electricity rate reductions given to other manufacturing sectors. Furthermore, they urged that hotels listed under the Tourism Act, of 2035, be granted similar privileges, given their significant role in tourism and the broader economy.
Energy Minister Khadka acknowledged the crucial role the private sector plays in strengthening the national economy. He emphasized that the government has implemented policies to support the private sector’s growth. Minister Khadka also recognized the hotel sector’s substantial contribution to employment generation in Nepal, assuring that the government is committed to supporting the industry’s development.
The meeting underscored the need for a collaborative effort between the government and the private sector to enhance the sustainability and growth of Nepal’s hospitality industry, which continues to be a key contributor to the nation’s economy.