Nepal Government Reintroduces Bills to Split CAAN and Create ASAN

The Nepalese government has reintroduced two bills in parliament to divide the Civil Aviation Authority of Nepal (CAAN) into two separate bodies.

One bill proposes that CAAN will remain as the regulatory authority, while the other bill will establish the Air Services Authority of Nepal (ASAN) to handle aviation services. Minister for Tourism and Civil Aviation, Badri Pandey, introduced the bills on Sunday.

If passed, the bills will separate the roles of regulation and service provision in the aviation sector. A similar bill was previously introduced in 2020 and passed by the National Assembly in 2021, but it became inactive after the House of Representatives’ term ended in 2022.