The Industrial Enterprises Act, 2076 (2019-2020) establishes a comprehensive legal framework for the establishment, registration, operation, regulation and promotion of industrial enterprises. Its principal objectives are to create an investment-friendly and competitive industrial environment, increase the production of industrial goods and services and employment opportunities, maximise the use of available national resources, promote import substitution and exports, and ensure simpler, predictable and effective industrial administration. The Act classifies enterprises according to their size and activities, regulates their registration and licensing, and establishes the Industrial and Investment Promotion Board and a one-stop service mechanism to facilitate investment and industrial administration. It also requires industries to address adverse environmental impacts, including through environmental impact assessment, initial environmental examination or environmental management measures where applicable. The Act further promotes industrial development through tax and customs incentives, investment facilities, access to land and infrastructure, support for micro, cottage and small enterprises, women entrepreneurs, start-ups, export-oriented enterprises and nationally prioritised industries. Its sectoral scope is particularly broad and expressly covers manufacturing, energy, mining, infrastructure, tourism, information and communication technology, services, and agriculture- and forest-based industries, including food production and processing, livestock and poultry, dairy processing, fisheries and aquaculture, seeds, vegetables, medicinal plants, forestry and agroforestry. The Act also addresses industrial pollution control, waste processing and reuse, energy efficiency, intellectual property, industrial investment funds, corporate social responsibility, industrial zones and special economic areas, while providing enforcement, penalties and appeal mechanisms. It expressly repeals the Industrial Enterprises Act, 2073, while preserving actions already taken under the repealed legislation.
Nepal · 2019-01-01