Subject: Business Environment in Nepal
The natural environment includes all living and non-living things occurring naturally on Earth or some region thereof. It is an environment that includes the interaction of all living species. Climate, weather, and natural resources that affect human survival and economic activity.Our environment is constantly changing. Pollution of air, water, and soil require millions of years to recoup. Motor vehicle and Industry exhaust are the number one pollutants. Land degradation and deforestation appear to influence a far greater proportion of the population and have the worst phenomenon for economic growth and individuals’ livelihoods. Forest loss has contributed to soil erosion, floods, and stagnant agricultural output.A major threat factor to the local environment is the growing Nepalese population. Global warming result to rising temperatures of the oceans and the earth’ surface causing melting of polar ice caps, an increase in sea levels and also unnatural patterns of precipitation such as flash floods, excessive snow or desertification.Acid rain occurs due to the presence of certain pollutants in the atmosphere. Nepal’s economic and social development is being influenced by its inadequate energy supply. The country does not have its own reserves of coal, gas or oil. The hydropower resources must be used in an environmentally sound manner. The energy generated should benefit small and micro businesses while enhancing the standard of living and the health of local people. In comparison with other countries, Nepal has a high energy consumption in relation to its gross domestic product (GDP). It does not yet have a strategy for efficient and sustainable energy use for either the electricity sector or biomass is its main primary energy. The energy sector is shown as Nepal’s key sector with respect to the realization development goals as formulated and future inclusive economic growth in government policy documents. Besides quantitative targets for electricity production, transmission and distribution the Government states its commitment to sector reforms and the promotion of private sector involvement. Decentralized electricity generation and biogas installations thereby enhance rural living condition and contribute to a more sustainable use of biomass. Rising energy costs and dominating energy scarcity increase attention to the efficient use of energy. Reasonable potentials for energy efficiency measures have been determined in industry and households as well as public infrastructure.
All creatures, living and inanimate, found naturally on Earth or a specific portion of it, are considered to be a part of the natural environment. It is a setting where all living things interact with one another. Climate, weather, and natural resources that impact economic activity and human existence. Our surroundings are ever-changing. There can be no denial. But as our environment changes, so does the requirement to become more conscious of the issues it raises. People need to be aware of the environmental issues our planet is facing due to a tremendous influx of warming, natural disasters, cooling periods, various forms of weather patterns, and much more.
The insufficient energy supply in Nepal is having an impact on its economic and social development. The nation lacks its own coal, gas, or oil deposits. Although water is the country's most important source of energy, fewer than 1% of the potential 83,000 megawatts of hydropower are currently under control. More than 70% of energy usage in the United States comes from firewood. Its use is ineffective, though, and endangers the nation's forests. The indoor air pollution caused by open hearths in homes also poses a health risk. About 30% of the population lacks access to mains electricity, which is often only available in urban areas (CBS 2011).
Environmentally responsible practices must be followed when using hydropower resources. Small and microbusinesses should profit from the energy produced, which should also raise the standard of life and improve the health of the community. By feeding into the national grid, it should safeguard forests while also generating fresh income for the area. The population is only around 70% electrified, with roughly 63% of people living in rural regions (CBS 2011), making biomass by far the most common primary energy source. The average yearly per capita power usage in Nepal is 161 kWh (CBS2013), which is among the lowest in South Asia. Despite having a considerable hydroelectric potential, Nepal is currently experiencing a severe and protracted difficulty with its electricity supply. A non-cost-covering tariff regime inhibits efficient electricity use, and the framework conditions and incentives for private investments in power plants are insufficient.
Nepal's energy usage is higher than that of other nations relative to its gross domestic product (GDP). For the electrical sector or biomass, which is its main primary energy source, it does not yet have a strategy for effective and sustainable energy usage. The importance of the electricity supply increases during the dry season when it is switched off for many hours each day, having an adverse effect on businesses and households. The advantages of using energy more efficiently from an ecological and financial standpoint are mostly unknown to the business sector, private homes, the governmental sector, and the public at large. Lighting, products, energy-efficient home appliances, and industrial processes are not subject to any criteria.
According to official policy documents, Nepal's energy industry is crucial to the achievement of set development goals and to future inclusive economic growth. The government also declares its commitment to sector reforms and the promotion of private sector involvement, in addition to quantitative targets for electricity production, transmission, and distribution. Extension of rural electrification and a commitment to energy efficiency are given additional weight. The lack of adequate electricity supply in Nepal remains a major barrier to the social and economic development of the nation despite repeated efforts by the government and assistance from development partners.
Deferred infrastructure investment in the electricity sector has resulted in planned power outages that can last up to 16 hours per day during the dry season. Commercial and industrial organizations increasingly use pricey diesel generators as it is anticipated that the issue would get worse in the future. The rise in total exports due to the import of petroleum products is a factor in Nepal's trade balance imbalance. With the support of the Development Partners, the spread of renewable energy in rural regions has been successfully fostered during the past ten years. Decentralized energy production and biogas installations improve rural living conditions and help make biomass use more environmentally friendly. Energy efficiency is becoming more important as a result of rising energy costs and prevailing energy constraint. It has been concluded that both public infrastructure and business and homes have reasonable potential for energy efficiency solutions.
References
CBS, 2011 Nepal Living Standards Survey 2010/11, Statistical Report Volume 1, Central Bureau of Statistics, National Planning Commission Secretariat, Government of Nepal.
CBS, 2013 Nepal in Figures 2013 Central Bureau of Statistics, National Planning Commission Secretariat, Government of Nepal
WECS 2014, Energy Data Sheet, Water, and Energy Commission Secretariat (WECS), Government of Nepal, June 2014.
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