The article focuses on management of national heritage areas in Nepal. The article introduces the concept of heritage as both a tool and a process to effectively manage Nepal's natural and cultural heritage in a wise and sustainable way. The article's first section talks about the meaning and significance of heritage with some practical examples and its benefits to society. The second part describes the National Heritage Conservation Programme, its philosophical elements, and an explanation of its innovative approach. The third section deals with the function of the NHC Register and seventeen cultural and natural heritage sites of national significance. The fourth section describes a twelve-step process of national heritage conservation. The fifth section deals with a specific area of national heritage significance, the Panauti Area. (Rajeev Ranjan Singh 2007-02-27)