Locals obstruct construction of Upper Mailung Hydroelectricity Project


January 12, 2020

Rasuwa: The ongoing construction work of Upper Mailung Hydroelectricity Project at Uttargaya Rural Municipality-1, Rasuwa has been stopped due to the obstruction from the local residents. Putting forward a three-point demand, locals affected by the project have obstructed the construction of the project.

They have demanded appropriate compensation for the lands used by the project, action against the local representatives who allowed inconsiderate operation of excavators and employment of locals by dismissing the current contract.

Chheku Lama, a local of the rural municipality said despite multiple attempts to hold discussion with the project officials, it was not successful because of which the project had to be halted. “The land that was approved for the construction of road has not been in use, instead another location has been used for the roads,” he said, “This has directly affected 18 households.”

According to him, this situation has been created because the contractor of the project without getting permission from the land owners had run over dozers in people’s private property. The construction work was obstructed from Thursday. But when the locals found out that the project was still continuing with blasting for rock excavation, they have warned of padlocking the ward office on Sunday.

According to Lama, no vehicles will be allowed to operate in the project construction site. Road from the confluence of Trishuli River and Mailung River to Raharekharka is being constructed in the district. According to the project officials , a tunnel of 1,855 meters length is to be constructed for the hydro-power plant. Also a 1,000 meter penstock will be constructed for the project, the project officials informed.

Though the civil infrastructure is set to be completed within the Nepali year 2077, the construction of structures has not started yet. The project with the capacity of 14.3 MW will start generating electricity within a year after that. The generated electricity will be connected to the 3B hub which is being built by Nepal Electricity Authority.

The project will have to construct transmission line up to the hub. A 15-km long transmission line to 3B hub needs to be built by the project.

After the completion of the project, 79.67 million kilowatt-hour electricity will be produced annually. The project will have 25% self capital investment. The project is being constructed with the main investment from Sanima Hydro Group.

According to the project officials, an estimated budget of Rs 2.50 billion will be used for the project. A Power Purchase Agreement (PPA) was made on September 9, 2011 for the construction of the project. Monaliya Power Limited had initially taken responsibility of the construction. However, Sanima Hydro Group had been handed over with the responsibility.

Monaliya had proceeded with the process to complete it within July 17, 2015. Sanima had started the construction after the work could not be started within the specified schedule. Nepal SBI Bank has financed the project under the consortium loan led by Siddhartha Bank Limited.


Source: My Republica