Nepal road project remains unfinished 10 years after deadline

A 13-kilometer section of the Mid-Hill Pushpalal Highway headquarters in Baglung, Nepal, has been in limbo for ten years, with work still incomplete despite a two-year deadline set a decade ago. The project, intended to blacktop the road, has seen its contract terminated and authorities are now initiating the process for a new tender.

The original contract was awarded to Bharat/Siddhisai JV in January 2017, with a completion date set for two years later. However, the contractor failed to meet the deadline, even after receiving five extensions. Consequently, the contract was terminated on January 1, and efforts are underway to recover payments made to the contractor.

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Based on a study of the work completed by the previous contractor and the additional infrastructure that needs to be included in the new contract, we have proposed around Rs 250 million to the Ministry of Finance for funding.

Ujjwal Sharma, information officer at the Mid-Hill Pushpalal Highway Project Office in Parbat, stated that the process for awarding a new contract has begun. The project office has submitted documents to the Ministry of Finance, via the National Planning Commission, for the evaluation of the new contract, cost estimates, and funding confirmation. The estimated cost for the remaining work is approximately Rs 250 million.

Meanwhile, the road section has significantly deteriorated. Travelers face muddy conditions during the monsoon and dusty air in dry seasons. Some completed infrastructure has also been damaged due to neglect. Sharma expressed optimism that the new tender would be invited soon and the project could be completed within four months of the new contract's commencement. The previous contractor had already received Rs 340.3 million out of the Rs 436.5 million contract value.

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We are preparing to invite a new tender soon. It will probably be completed within four months.