KATHMANDU — The government is set to initiate a bidding process for the construction of Budhi Gandaki Hydropower Project from the coming fiscal 2018/19.
At a programme organized at the Ministry on Tuesday, Minister for Energy, Water Resources and Irrigation Barsha Man Pun has said that the government will build the 1200 MW Budhigandaki Hydropower Project on its own and the tender process for the project will begin from next fiscal year.
“Necessary preparations are being made in a way to initiate the project construction process in the coming fiscal year,” Minister Pun said.
Budhigandaki is currently the only ready-to-implement reservoir-based hydropower project. The project’s Detailed Project Report (DPR) and tender documents are ready, according to officials.
The erstwhile government had decided to construct the project with the capacity of 1,200 MW with Nepali investment. The Nepali Congress-led government had also decided to provide grant of Rs 100 billion to the project to make it investment worthy. Total estimated investment of the project is Rs 273 billion.
On the occasion, Minister Pun expressed commitment that he would not make any decision to award the contract for the project construction to any foreign company or agency. The government has put the project in the list of national pride.
Minister Pun informed that the government is currently exploring the sources of financing. The project’s estimated cost is Rs 259 billion.
With RSS Inputs
Business community demands slash in interest rate
BIRATNAGAR— The industrialists and traders in Biratnagar have asked the government to immediately reduce the high interest rate charged by the bank and financial institutions (BFIs) from the borrowers.
They argued that the interest rate should be around seven percent for the production-based industries and up to nine percent for the trading firms.
At a programme jointly organised by Industry Association Morang and Trade Association Morang on Thursday, the business leaders drew attention of the government to that end adding that job creation for the labour force of 500,000 was not likely only from the industry and trade sectors.
Stressing the need for slashing the interest rate, they also argued the central bank should realise the reality that no bank was running out of loss. The industrialists and businesspersons said that industries and business should flourish to reduce the trade deficit, strengthen the economy and create more job opportunities.
Industrialists Bhim Ghimire, Pawan Kumar Sharda, Sushen Pyakurel, Moti Dugad and others said that bank’s interest rate should be low to increase the domestic investment and lure the foreign investment.