NEA board extends deadline for UTHP

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    Nepal Electricity Authority (NEA) board has again extended the deadline for completing 60MW Upper Trishuli Hydroelectricity Project (UTHP) by 34 months under the force majeure provision of the contract that was sought by the contractor after the devastating earthquake affected the project site and access road.

    The project, which was initially supposed to be completed by June 30, 2011 was extended to April 30, 2013, and again extended for 26 months to June 30, 2016. The NEA board meeting held last week has extended deadline for the third time until April 30, 2019.

    UTHP, located in Manakamana VDC of Nuwakot district and Dada Gaun VDC of Rasuwa district, is being developed by China Gezhouba Group of Companies (CGGC). This time the contractor had sought deadline extension citing the force majeure provision of the contract, according to Anup Kumar Upadhyay, energy secretary and chair of the NEA board.

    As per the current schedule, the project being developed under the financing of Export Import Bank of China would be completed eight years behind initial schedule. The contractor of the project — CGGC — has been alleged of inflating its losses even though it has been repeatedly failing to complete the project on time.

    Source: The Himalayan Times