Government to Scrap Contracts of Defunct Development Projects

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Kathmandu. Contracts for long-neglected and stalled development projects under the Ministry of Energy, Water Resources and Irrigation, and the Ministry of Physical Infrastructure and Urban Development are set to be terminated.

Minister for Energy, Water Resources and Irrigation, Physical Infrastructure, Transport, and Urban Development, Kulman Ghising, has directed the secretaries of all three ministries and the heads of departments to immediately prepare and submit a list of such defunct projects.

While reviewing the activities of all three ministries, Minister Ghising said that projects would not be left stranded just by looking at the faces of contractors who fail to work.

“Since large ongoing infrastructure projects are not being completed within the stipulated time and quality, on the one hand, the country is bearing huge economic losses, while on the other hand, citizens are being deprived of the benefits from those projects — a very unfortunate situation. From now on, decisions will not be based on personal favoritism. Identify and evaluate such projects and immediately submit a list,” Minister Ghising directed.

“Work cannot move forward without decisions. Therefore, we will make decisions and move ahead. Contracts of defunct projects must be terminated, new contract processes should be initiated, and no project should be left stranded,” he added.

Under irrigation, the national pride project — the Sunkoshi–Marin Multipurpose Project — has been left stranded, along with more than three road projects that have exceeded their deadlines and over one hundred bridge construction projects under physical infrastructure.

“Let’s complete the Parliament Building within this month of mid-December to mid-January 2026 at any cost.”

Minister for Energy, Water Resources and Irrigation, Physical Infrastructure, and Urban Development, Kulman Ghising, has said that the Federal Parliament Building, currently under construction in the Singha Durbar complex, must be completed within the upcoming month of mid-December to mid-January 2026 at any cost.

On Thursday, Minister Ghising held discussions with Urban Development Ministry Secretary Gopal Sigdel, officials from the Special Building Construction Project and Coordination Office, project consultants, and contractors regarding the building’s construction. He directed them to complete the remaining works so that the building would be finished before Mid January.

“After the great damage caused to the Parliament Building in Baneshwor during the People’s movement, there is currently no Parliament Building. Therefore, its construction is a highly sensitive project. There should be no further delays under any pretext. All parties must take this seriously, be fully mobilized, and complete it ahead of schedule.”

The contract agreement for the construction of the Parliament Building was signed in September/October 2019 with the target of completion within three years. The deadline, which has been extended for the fifth time, is set to expire this coming December/January. The project has achieved 86 percent physical progress.

Works still remaining include the installation of additional trusses for false ceilings in the National Assembly and House of Representatives halls, as well as in the multipurpose hall on the first floor of both buildings; installation of the main LT panel, sub-LT panels, and main electrical works; completion of all sanitary works; electrical and fire-fighting systems; HVAC testing and operation; and other related tasks.

“Immediate action will be taken if any irregularities are found”

Minister for Energy, Water Resources and Irrigation, Physical Infrastructure, and Urban Development, Kulman Ghising, has directed all agencies under his office to prevent irregularities. He warned that if any irregularities are detected, those involved will face immediate action.

“In the past, there have been allegations that the budget was misused for personal gain. The main agenda of the People’s movement was to control corruption. If corruption is not controlled, it will create great disappointment. Identify the loopholes that allow irregularities and close them. If even a single rupee is found to have been misused, those involved will not be spared,” he said.