KATHMANDU – The government is preparing to cancel contracts for 234 road and bridge projects that have remained incomplete for years, citing gross negligence, corruption, and failure to deliver on commitments.
At a high-level meeting with senior officials on Saturday, Minister Kulman Ghising, who currently leads the Ministry of Energy, Water Resources and Irrigation, the Ministry of Physical Infrastructure and Transportation, and the Ministry of Urban Development, said the government had no choice but to terminate the “sick contracts” that have been left unattended.
According to Ghising, the contracts under review include projects overseen by the Federal Road Supervision and Monitoring Office, the Department of Roads, the Postal Highway, and the Mid-Hill Highway. Among them, 38 projects fall under the Damak office, 75 in Kathmandu, 39 in Pokhara, 49 in Surkhet, 16 on the Postal Highway, and 17 on the Mid-Hill Highway.
The government also plans to form a committee to probe current and former employees who allowed these contracts to stagnate. “We can no longer afford to wait for contractors to act. Projects that are delayed or fail to meet quality standards must be identified and addressed,” Ghising said. He added that the move is intended to end the culture of contractors taking contracts without delivering work.
Rules Defining “Sick Contracts”
Under government regulations, a contract worth more than Rs 20 million is considered sick if:
- Progress is below 50 percent even after one deadline extension equal to the original contract period.
- Progress is below 80 percent after the deadline is extended more than twice the original period.
- Progress is below 95 percent after extensions of more than four times the original period.
Misuse of Public Resources
Investigations have shown that many contractors secure projects by bidding at unreasonably low prices and bribing officials. They then divert the advance payments received from the government into other ventures while abandoning the assigned construction works. Such practices have wasted large sums of taxpayer money and deprived citizens of the benefits of essential infrastructure.
Call for Accountability
Ghising stressed that employees who fail to make timely decisions or overlook irregularities are equally responsible for sick contracts. “Impunity has flourished because of inaction. Those who let contracts deteriorate must also be held accountable,” he said.
The minister further warned that immediate action would be taken against officials within his ministries and subordinate offices if they are found guilty of delays, bribery, irregularities, or causing hardship to service recipients.
