Gandaki Province Sets Official Fares for Ride-Sharing, Making Nepal’s First Fully Regulated Market

Gandaki Province has officially moved ride-sharing from a gray zone into a regulated transport market, setting fare rates for two-wheelers and four-wheelers after approving its new ride-sharing regulations. The decision makes Gandaki the first province in Nepal to provide legal recognition, structured pricing, and formal management rules for ride-sharing services.

The move was finalized in a recent cabinet meeting in Pokhara and follows the province’s broader effort to bring app-based transport under a legal framework. Officials say the regulation is designed to balance consumer protection, transport order, and service growth while giving ride-sharing companies clear operating rules.

What the new rules change

Under the regulation, ride-sharing operators must register as a company or institution, pay taxes, and secure permits from the Transport Management Office. Vehicles must also be listed through an approved online system and carry proper insurance for passengers, third parties, and the vehicle itself.

The framework also requires official vehicle markings, regular inspections, and government-approved fare collection. Service providers can charge only the fare fixed by the government, which turns pricing into a standardized public rule rather than a platform-by-platform decision.

Why this matters for Nepal’s transport sector

Gandaki’s decision is significant because it gives ride-sharing a legal identity in a province that has already become a national test case for transport reform. Previous reporting shows the province’s regulations were built to create safety standards, distance limits, and operational controls for app-based transport, including requirements tied to app design and rider protection.

The province’s approach also reflects the growing pressure on governments to define where ride-hailing fits between private vehicle use and commercial transport. By fixing fares and formalizing permits, Gandaki is effectively creating a model that other provinces may now look to replicate.

Key operating rules in the framework

The regulations are not just about pricing. They also impose practical limits on the service itself, including route restrictions, vehicle age caps, and safety obligations for companies and drivers.

Two-wheelers are limited to shorter trips, while four-wheelers can operate over longer distances under designated rules. The regulation also requires visible identifiers such as RS for ride sharing and SD for self drive, along with app-level safety features and passenger protections.

What comes next

With fares now fixed, the focus shifts to enforcement and industry response. Traditional transport operators have previously protested similar moves, but Gandaki’s government appears determined to keep the rules in force as it positions the province as Nepal’s most advanced jurisdiction for ride-sharing regulation.

For passengers, the immediate impact should be clearer pricing and a more predictable booking experience. For operators, the new system brings compliance costs, but also legal certainty that ride-sharing in Gandaki can finally run as a recognized business rather than an informal workaround.