Budget Shortfall Halts Multi-Year Road Projects in Nepal's Myagdi District

Myagdi. The construction of strategically important multi-year road projects being implemented in the district through the Gandaki Province government has been affected due to a lack of budget.

Contractors have not received payments after the provincial government exhausted the budget allocated for multi-year projects to the Infrastructure Development Office. According to the office, a budget of Rs 620 million was allocated for 32 road infrastructure projects in Myagdi in the current fiscal year.

Construction entrepreneur Subaschandra Karki stated that although the blacktopping and gravelling work on the four-kilometer stretch of the Bhutadaila-Toripani section of the Beni-Pakhapani road was completed five months ahead of schedule, problems have arisen due to non-payment caused by the budget shortage. This project, for which a budget of Rs 20 million was allocated, requires an additional Rs 25 million.

Bhim Sapkota, the contractor for the Galeshwor-Pulashram (Pachhai)-Jagannath connecting road project, also complained that despite completing the project five months ahead of schedule, he had to borrow money to pay laborers and suppliers due to the budget shortage. Niraj Bhandari, the contractor for the Hadebhir-Bagarphat-Vakimli and Bhagwati-Sijalgaon-Beg road projects, stated that construction work has been suspended after the budget ran out.

A budget of Rs 520 million was received for 17 ongoing projects and Rs 100 million for 15 new projects. Senior Divisional Engineer and Chief of the Infrastructure Development Office, Dr. Mahendra Baniya, stated that most roads, except for the Darbang-Takum-Shiwang-Muna-Jaljala-Dhorpatan road, which received a budget of Rs 232.2 million this year through cost-sharing between the federal and provincial governments and contract agreements last year, are facing budget shortages.

He said, "We have recommended to the ministry an internal budget reallocation of about Rs 15 million reduced during the bidding competition for annual projects, and an additional reallocation of Rs 84.5 million." He added, "Work is not being done on projects with a budget, so it cannot be spent, and contractors are facing problems engaging labor after the budget for completed projects runs out."

The ongoing multi-year projects in Electoral Constituency 1(2) include: Beni-Darbang-Kalleni-Takum-Muna-Jaljala, Darbang-Adhibara-Dadagaun-Sole-Taman-Burtiwang, Pakher Baranja 3 and 4 connecting to Mahesh Dhapung Tarakhola Rural Municipality road, Darbang-Muna-Dhorpatan, Darbang-Bim-Dichyam, Darakhola road bridge, Shivaratri Khola road bridge, Rum to Tarakhola connecting road, Dangkhola bridge, and Sawata Thapachaur suspension bridge.

Ongoing multi-year road constructions in Electoral Constituency 1(A) include: Beni-Toripani, Hadebhir-Bagarphat-Dudhekola-Hallegouda-Dolemusung, Galeshwor-Piple-Bhagwati, Galeshwor-Pulashram, Chitre-Ghorepani, and Bhagwati-Sijalgaon-Beg connecting roads.

A multi-year contract has been called for the Bim-Marang-Malkwang-Pakhapani and Jaisikhore-Khaharekhola-Risin Chautari connecting to Baisari road upgrade project, for which a budget of Rs 10 million each was allocated. Source assurance has been secured to call for a multi-year contract for the construction of a bailey bridge over the Myagdi River, which is part of the alternative route for the Faparkhet landslide, for which a budget of Rs 10 million was allocated.

Provincial Assembly members Resham Bahadur Jugjali and Haribahadur Bhandari stated that they have drawn the attention of the provincial government and the departmental minister to the situation where the construction period of the roads is likely to be extended due to the budget shortage. They added that they are lobbying the government to arrange payment for contractors who have worked by reallocating the insufficient budget.