This paper analyzes the technology planning priorities of the government of Nepal. The analysis covers the last fifty years of the country’s planned economy at one part and examines the organizational setting for technology diffusion on the other part. An overview of national plan documents determines the planning priorities and initiatives for technology diffusion in Nepal. An examination of the organizational setting in the country identifies the congruence between the planning priorities and organizational setting in the enduring process of technology diffusion. An analysis of the response of opinion leaders from selected organizations involved in technology works/projects supplements to the analysis and conclusion of the study. This study concludes with identification of unplanned organizational setting as a structural immunity to technology diffusion in the planned economy of Nepal.