Fiscal Nepal
First Business News Portal in English from Nepal
KATHMANDU: The construction work on Package I of the 140 MW Tanahun Hydropower Project, located in Jhaputar, Rishing Rural Municipality-1, has resumed after a 51-day suspension due to a payment dispute. The joint venture construction company, Songda Kalika, had halted work after payment delays. However, the project head, Shyamji Bhandari, confirmed that operations have recommenced following assurances from the concerned bodies to clear outstanding payments through the European Bank.
Package I of the project, which involves critical infrastructure development, has only seen 35% progress to date. Despite the delay, significant milestones have been achieved, including the construction of two diversion tunnels designed to redirect water flow from the Seti River. These tunnels will facilitate the construction of a 140-meter high dam, a central feature of the hydropower project.
The Tanahun Hydropower Project is a vital part of Nepal’s energy strategy, and the resumption of work brings renewed hope for timely completion, which is expected to significantly contribute to the nation’s electricity supply.
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