All projects witness cost and time overrun
Kathmandu, June 21
With the conclusion of decade-long armed conflict, Nepal had announced
north-south corridor projects in 2008/09 to realise an ambitious national goal
to develop the country as the 'land-bridge' between two rising economic
superpowers -- India and China.
The strategic north-south Koshi Corridor, Kaligandaki Corridor and
Karnali Corridor were envisioned with an aim to create infrastructure that
would facilitate not only the flow of goods and people from Nepal to the
neighbouring countries but also facilitate international trade between India
and China. They were also supposed to expand the development to the hills and
mountains and benefit millions of people across the country.
However, the progress at these 'national pride' projects in the last
one-and-a-half decades is less than encouraging. All three road projects were
estimated to complete by 2013/14 but even 11 years since then, work at these
projects is ongoing while they are recording cost overrun as well.
Although the combined (revised) cost of these projects stands at Rs.
60.63 billion, the government has been unable to allocate sufficient budget to
them to ensure timely completion.
According to the North-South Trade Route Improvement Project Directorate
at the Department of Roads (DoR), the government has allocated Rs. 740 million
for the Koshi Corridor and the project utilised 99.20 per cent of the amount
before May. Likewise, Kaligandaki Corridor's Beni-Jomsom-Korola section used up
the allocated Rs. 933 million.
Aakriti Lakhe, an engineer at the Directorate, said that the projects
are reeling from the shortage of budgets for the past several years. "Most
of the times, the projects (and sections) utilise the allocated budget in six
months. Meanwhile, it is not easy to transfer funds from other projects to
these ones," she said.
Given the current pace of development, they are unlikely to complete
even within the revised date. For example, the government has revised the
completion date for Gaindakot-Ramdi-Maldhunga section of the Kaligandaki
Corridor to mid-July 2027. But this project has achieved 78.50 per cent
physical and 68.80 financial progress so far. The project is yet to contract
out 17 bridges.
Likewise, the Koshi Corridor's new completion date is mid-July 2029 but
in the past one-and-a-half decades, the project has achieved only 41 per cent
physical progress with 4-km track opening still pending.
The Karnali Corridor is witnessing more pathetic progress. The project
with stipulated completion date of mid-July 2027 has achieved only 36 per cent progress
at 146-km stretch of Hilsa-Simikot and only 18 per cent progress at 123-km
stretch of Khulalu-Salisalla. The completion date for Khulalu-Salisalla is yet
to be estimated.
Meanwhile, the completed sections of these infrastructure undertakings
have begun to play a role in economic integration and prosperity, tourism
promotion, regional connectivity, and intra-national trade.
Igniting hopes in hills
In
Sankhuwasabha’s remote Himalayan villages like Bhote Khola, Chichila, Makalu,
and other surrounding areas, the lives of residents are being transformed as
the north-south Koshi Highway makes a headway, although slowly.
The sight of
black-topped roads at their doorsteps, once unimaginable for locals like Yusuf
Rai of Chhongarang, now allows them to travel to the district headquarters in
the morning and return home by evening.
Aimed at
connecting remote Himalayan areas of Sankhuwasabha with the national road
network, the Koshi Corridor is making people in the district hopeful about
business ventures like hotels and agricultural enterprises. There are a few
incidents of reverse migration as well.
According to Ram
Bahadur Gurung, the project chief of the North-South Koshi Road Project in
Sankhuwasabha, the project aims to develop a 162-kilometre road from Khandbari
to Kimathanka border point, upgrading it to a fully blacktopped standard.
However, the length of the road from Rani in Biratnagar (border point with
India) to the Chinese border point in the north spans 345 km. The stretch from
Rani to Sankhuwasabha is already blacktopped.
The total
estimated cost of the project is Rs. 16.2 billion
According to
project spokesperson engineer Suresh Jirel, 159 kilometres of track have
already been opened, with 80 kilometres gravelled, 10 kilometres blacktopped,
and three kilometres constructed with RCC reinforcement.
Likewise, eleven
bridges have been completed, and regular transport services are operating along
140 kilometres of road. Jirel added that blacktopping is ongoing between
Khandbari and Dovane, while base laying is in progress between Dovane and
Barun. Between Barun and Chyamtang, two separate contracts are in place to
upgrade the road to gravel standard.
The track from
Chyamtang to Kimathanka was opened by the Nepali Army. A detailed project
report (DPR) has been prepared for blacktopping this section, and the upgrading
of the track from Hung Hung to Kimathanka has already started. The construction
of a 60-metre steel truss bridge over the Barun River is scheduled for
completion within the current fiscal year, according to Jirel.
Project chief
Gurung said a major challenge for the project remains the preparation of DPRs
and securing resources for the construction of 14 additional bridges. So far,
DPRs have been completed for four bridges, with discussions ongoing to proceed
with the remaining bridges under a 'design and build' modality.
Although road
construction is underway, progress on the construction of bridges over streams
such as Thamjanma Khola, Thogang Khola, Teju Khola, Handak Khola, Ikuwa Khola,
Sangju Khola, Pemba Khola, Chembu Khola, Chumsur Khola, Chomadengdeng Khola,
Chongrang Khola, Khangju Khola, Ghongghappa Khola, and Kamu Khola has been
slow. Preparations to advance bridge construction are ongoing. The bridges at
Chumsur, Chomadengdeng, Chongrang, and Khangju fall under sections managed by
the Nepali Army.
Progress stands
at 65 per cent for the 14-km section from Khandbari to Thamserku, 55 per cent
for the 12-km section from Thamserku to Kaptane, 55 per cent for the 13-km section
from Kaptane to Num, and 60 per cent for the 9.2-km section from Num to Dovane.
The bridge over
the Barun River is 90 per cent complete. Sections from Barun to Hung Hung and
Hung Hung to Chyamtang have recorded 25 and 35 per cent progress, respectively.
The initial contracts for these sections were signed in mid-2021 with
extensions now approaching their expiry dates. However, progress at various
stretches of the road is not satisfactory even though the initial deadline for
many of them has been revised.
The rugged Himalayan
geography, hard rock, heavy rainfall, and snowfall have posed significant
challenges at the construction sites. Likewise, budget shortages, resource
approval delays, land boundary demarcation issues, land disputes, and
disruptions caused by the relocation of utilities (such as electric poles and
water pipes) have added further obstacles, said Gurung.
Two
countries, seven districts
The Kali Gandaki
Corridor, being constructed along the banks of the Kaligandaki River, is
similarly reshaping the socio-economic landscape across the Gandaki and Lumbini
provinces benefitting about 2 million people.
Stretching from
Sunauli border with India to Korala border with China through Nawalparasi East,
Palpa, Gulmi, Baglung, Parbat, Myagdi, and Mustang, this 442-kilometre corridor
links hundreds of mountain villages directly into the national road network.
The track
opening of the Kaligandaki Corridor began around one-and-a-half-decades ago in
2010 while the government listed it as the national pride project in 2016/17.
Envisioned as a
tri-nation transit route of economic, cultural, and tourism importance, the
corridor has been divided into an Upper Section (Maldhunga–Beni–Jomsom–Korala)
spanning 202 km and a Lower Section (Gaindakot of Eastern
Nawalpur–Ramdi–Maldhunga) covering 240 km.
The road
upgrading began in fiscal year 2016/17 but the construction was affected due to
the pandemic, budget shortages, natural disasters, landslides in Myagdi
section, and contractor delays.
So far, 85 per
cent physical progress has been achieved on the Maldhunga–Beni–Jomsom–Korala
road. Its completion deadline is mid-July 2026, informed project information
officer Bishnu Chapagai.
Out of 105 km of
blacktopping required in the Upper Section, 80 km has been completed.
Similarly, out of 97 kilometres of upgrading and gravelling, 94 kilometres have
been finished. Of 19 bridges planned, 13 have been completed, and two more are
expected to be completed by the end of the current fiscal year 2024/25.
Blacktopping
works are ongoing at multiple sections, and tender process for blacktopping the
10-kilometre Kagbeni–Chhusang section in Mustang has also started within this
fiscal year. However, managing and controlling four major landslides in the
Myagdi section remains a challenge, according to Chapagai.
According to engineer
Arun Khatri, information officer for the Lower Section of the road in Palpa,
out of 240 km, 198 km has been blacktopped.
In the Parbat
section, of 53 km, 32 km has been blacktopped, with the tender process ongoing
for upgrading and blacktopping the remaining 20 km. Altogether, 230 km of the corridor
has been blacktopped.
The 17 km Ramdi–Ranimahal
section, awarded last year for upgrading, has achieved 20 per cent physical
progress, with 420 metres still awaiting contract management.
The 44.48-km Harmichaur
(Gulmi) to Balewa (Baglung) section was recently completed nearly six months
ahead of schedule by Kalika Construction. Similarly, blacktopping and upgrading
works are ongoing in the 10-km Balewa–Maldhunga section.
The challenging
geography and frequent landslides (12 to 14 major sites) have posed significant
hurdles for road construction, Khatri said.
Excluding
bridges, the project aims to complete road construction within next two years.
Out of 59 planned bridges, 35 have been completed, seven are under
construction, while contracts for 17 bridges are yet to be managed.
Despite being
prioritised as a national pride project, construction has been affected by
insufficient budget allocation, as confirmed by project chief Kalpana Adhikari.
The Lower Section still has outstanding payments of around Rs. 700 million to
contractors, while the Upper Section has pending payments of around Rs. 150
million, totalling Rs. 850 million.
With the
completion of the Kaligandaki Corridor, increase in domestic and foreign
tourist visits to Mustang is expected to substantially contribute to the
region's economic growth. The corridor also connects two famous religious
sites, Muktinath and Lumbini, promoting religious tourism. It is considered the
shortest route connecting Nepal's northern border with China (Korala) and
southern border with India (Sunauli).
Early completion
of the corridor could also benefit agricultural production and mineral
industries in the region.
An arduous road
to connectivity
Meanwhile, the
complex terrain has posed challenges and delayed the construction of the
Karnali Corridor. As of mid-June 2025, the national pride project has achieved
36 per cent physical progress and 34 per cent financial progress at the
Khulalu–Hilsa section.
Although it took
one-and-a-half-decades just to open the track due to budget shortages and
delays, construction work on this much-talked project has recently gained
momentum.
According to Bel
Bahadur Nepali, Acting Chief of the Northern Section (Hilsa–Simikot) of the
Karnali Corridor Road Project, this FY 2024/25 has seen 55 per cent physical
and 52 per cent financial progress under its allocated budget. He reported that
construction is advancing rapidly.
The government
had handed the responsibility for constructing the Khulalu–Simikot Road to the
Nepali Army in 2015, citing special circumstances. The 196.3 km long Karnali
Corridor from Khulalu in Kalikot to Simikot, the district headquarters of
Humla, was initially planned to be completed within five years, but it took
seven years just to open the track.
The Army had
requested deadline extensions citing budget constraints and the COVID-19
pandemic.
The Army is
currently carrying out blasting and construction work on an 11-km rocky section
from Ghatpari Chaur to Bhukka Khola in Kalikot, Nepali informed. “About 3.5 km of
the track had been opened between Ghatpari Chaur and Bhukka Khola last year and
this year, the Army aims to open an additional 2.5 km using the allocated Rs.
100 million,” he said.
Work is also
underway to replace all the temporary Bailey bridges along the Karnali Corridor
with permanent bridges. Permanent bridges are currently being constructed in
Khulalu, Sannigad, Phugad, Juddi, Kuwadi Khola, Galfagad, Sallisalla, and other
locations.
Work on some
bridge has already commenced, while others are scheduled to start within this
fiscal year.
Upgrading and
bridge construction works have been ongoing since last year on the Khulalu-Piluchaur
section of Bajura. A separate contract worth over Rs. 4.25 billion has been
awarded for an additional 50 km.
Last year, six
contracts worth Rs. 600 million were awarded for improvement, maintenance,
gabion wall construction, and gravelling of 60 km from Khulalu to Bajura.
Likewise, for
the section from Piluchaur to Kuwadi Khola and Sallisalla in Humla, Rs. 1.12
billion has been allocated for the current fiscal year. Though the total
contract value is Rs. 4.23 billion, after deductions for contingency and Value
Added Tax, actual work worth Rs. 3.08 billion will be carried out.
For the repair
and improvement of the 146-km Sallisalla–Hilsa section of the Karnali Corridor,
a contract of Rs. 340 million has been awarded. The remaining 700-metre stretch
near Simikot is yet to be constructed due to land disputes.
At present,
vehicles are already operating on the road connecting Khulalu to Simikot.
A multi-year
contract worth over Rs. 4 billion has been signed to blacktop 50 kilometres of
the Khulalu–Hilsa section.
Meanwhile, the
Khulalu–Sallisalla Road Project Office in Kalikot invited bids for a Rs. 4.23
billion multi-year contract in February this year for upgrading and
blacktopping the Khulalu–Sallisalla section.
For the 50-km section
from Laifu in Bajura to the Humla border, contracts have been awarded in two
segments. The entire Khulalu–Hilsa section spans 347 km, while the distance
from Jamunaha at the Indian border to Hilsa at the Chinese border totals 508 km.
According to
Tularam Sharma, Chief of the Khulalu–Sallisalla Road Project, the multi-year
contracts aim to complete upgrading and blacktopping within three years.
The Corridor
passes through 13 local bodies in Kalikot, Bajura, Mugu and Humla districts.
The number of
Indian tourists travelling to Mansarovar is also expected to rise following the
construction of the Karnali Corridor while it has been envisioned as the
backbone of Karnali's development.
(Jointly prepared with Hari Prasad Koirala in Urlabari Thakur Prasad Acharya in Myagdi, Nabin Subedi in Surkhet.)
Published in The Rising Nepal daily on 22 June 2025.
