Govt Terminates Contracts of 25 Non-Performing Road Projects

The government has stepped up efforts to terminate long-delayed and non-performing road projects, cutting off 25 contracts that had remained idle for years.

In a notice issued on Monday, the Road Division Office, Kathmandu stated that it has formally terminated contracts for 25 stalled and underperforming projects, whose agreements date from Fiscal Year 2010/11 to FY 2022/23.

Minister for Energy, Water Resources and Physical Infrastructure Kul Man Ghising had earlier instructed subordinate agencies to cancel construction contracts of non-performing projects to end the long-standing trend of leaving works incomplete.

Read: Government Initiates Process to Terminate 50 Additional Non-Performing Contracts

Following the minister’s directive, offices under the Department of Roads initiated the process to terminate contracts of these idle projects. On October 28, the Road Division Office had sought clarification from the concerned contractors.

According to Office Chief Subodh Devkota, the contracts were terminated in accordance with the Public Procurement Act after the contractors failed to provide satisfactory responses to the clarifications sought. The contractors had been given 15 days to appear before the office.

Despite repeated reminders to expedite the work, the contractors did not respond adequately, prompting the government to finally cancel the assignments. -- RSS

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