Infrastructure Projects in Chitwan Face Stoppage Due to Rising Costs

Chitwan. A total of 125 infrastructure projects managed by the Infrastructure Development Office, Chitwan, are on the verge of suspension. The surge in prices for fuel and essential construction materials has made it impossible to continue work on these contracts.

According to Office Chief Birendra Kumar Chaudhary, out of 267 projects under the office, 217 are currently under contract and in operation. He stated that 125 of these are now facing potential closure. He attributed this to the significant rise in fuel prices and shortages of bitumen compared to the time when the contracts were signed.

Chief Chaudhary said, "Contractors have submitted letters to the office demanding a 'construction holiday' (a process to temporarily halt projects that can be paused)." He noted that the overall inflation triggered by rising fuel costs is severely impacting infrastructure development.

Although 50 projects were designated to be handled by consumer committees, work on those has also stalled. The office is currently constructing 19 bridges, alongside various road construction projects.

Office Chief Chaudhary warned, "If this situation persists, 50 to 60 percent of the projects initiated by this office will not be completed." The office, which operates with a budget of Rs 670 million, has informed contractors that it will proceed according to government decisions.

Pushkar Adhikari, General Secretary of the Contractors' Association of Chitwan, stated that contractors are currently unable to operate under these conditions. He expressed the view that if inflation continues to rise, the government must facilitate a 'construction holiday'.

He emphasized that the state must address the concerns of contractors, either through budget adjustments or by declaring a construction holiday due to the rising costs.