Nepal to receive $115m ADB loan for water supply, sewerage management

 Kathmandu, June 19

The Asian Development Bank (ADB) has approved a US$115 million (Rs. 17.30 billion) concessional loan to improve water supply and sanitation services and strengthen institutional capacities in rapidly growing municipalities across Nepal.

The fund will be used to implement the Integrated Water Supply and Sewerage Management (Sector) Project, the ADB informed in a statement on Friday, adding that the project is expected to benefit more than 850,000 people in 13 municipalities.

The project will expand water supply coverage by constructing about 64 tube wells, treatment facilities with a combined capacity of about 60 million liters per day, and approximately 2,125 km of water distribution network. Around 72,000 households, including vulnerable and women-headed households, will receive pressurised piped water connections.

Sanitation services will also be expanded and improved in selected municipalities through upgraded sewerage and drainage networks, new or rehabilitated wastewater treatment plants, and faecal sludge treatment facilities. More than 120,000 properties are expected to gain access to enhanced sanitation services.

“The project integrates adaptation and mitigation measures, supported by US$75.27 million in dedicated funding, and is expected to reduce greenhouse gas emissions by more than 22,000 tonnes of carbon dioxide equivalent annually,” read the statement.

The ADB’s financing for the project is complemented by US$28.8 million (Rs. 4.33 billion) in government counterpart funding. The Ministry of Infrastructure Development will implement the project, with support from the Department of Water Supply and Sewerage Management and participating municipalities. The project, with a total value of $143.8 million (Rs. 21.64 billion), is scheduled for completion by June 2032.

According to ADB Country Director for Nepal Arnaud Cauchois, this project will expand access to safe and reliable water and sanitation services and strengthen resilience to natural hazards and disaster risks. 

Published in The Rising Nepal daily on 20 June 2026.   

Community-Led Water Innovation among top three at WAFA Global

Kathmandu, Apr. 16

Nepal’s community-driven water innovation project has been selected among the top three finalists in the Water category of the Water, Air, Food Awards (WAFA) 2026.

The initiative, led by Dr. Datta Bahadur Rawal under the Partnership for Sustainable Development Nepal (PSDN), represents a major milestone for Nepal in advancing grassroots environmental solutions. The WAFA Global Awards is an internationally recognised platform that honours innovative, community-led responses to some of the world’s most urgent environmental challenges.

According to PSDN, the project focuses on ensuring water security for marginalised and underserved communities across Dang, Jumla, and Nawalparasi districts. Designed as an integrated Water, Sanitation, and Hygiene (WASH) model, the initiative combines safe drinking water systems, improved sanitation infrastructure, hygiene education, and environmental restoration, read a statement published by the organisation.

Through this approach, water treatment systems have been installed in schools and local communities, significantly improving access to safe drinking water and promoting dignified sanitation services for populations previously deprived of these essential resources.

The WAFA 2026 competition features 12 outstanding initiatives from 10 countries across five continents, selected under categories including Water, Air, Food, and Youth Climate Action. Each finalist represents a scalable and impactful solution capable of transforming lives globally.

Public voting for the awards is currently open and will continue until April 30. Winners will be announced during the Generation Green Forum, to be held at the National Museum of Egyptian Civilisation in Cairo, Egypt, in Summer 2026.

Published in The Rising Nepal daily on 17 April 2026.       

PM Oli underscores partnerships for development

Kathmandu, July 1

Prime Minister KP Sharma Oli participated in multiple international events on global solidarity, sustainable development and access to water, sanitation, and hygiene (WASH) in Seville, Spain on Tuesday.

PM Oli is in Seville leading a Nepali delegation to participate in the Fourth International Conference on Financing for Development (FfD4). He is also engaged at various events organised on the sidelines of the conference.

Speaking at an event on 'Investing in global solidarity: A new vision of development cooperation' convened by Pedro Sanchez, President of Spain, PM Oli highlighted the enduring value of development cooperation.

He noted its importance, especially amidst rising nationalism, protectionism, and global conflicts, and said that development cooperation is not charity, instead, it is a pledge to ensure no one is left behind in the pursuit of progress.

He characterized development cooperation as partnerships. "These partnerships empower communities, strengthen institutions, build capacity and foster resilience. Development cooperation is 'solidarity in action," he said.

According to him, goals of such coopeeration include lasting peace, shared prosperity, climate justice, and a just, fair, and equitable world.

Prime Minister Oli acknowledged the tangible results achieved through development cooperation over the years. However, he also raised concerns to the fragmentation of development aid which is spread across too many small projects and parallel channels. It also has too many competing priorities and such fragmentation often has diluted its impact.

Likewise, he expressed his concerns to the shift from grants to loans which is likely to affect countries already facing unsustainable debt burdens. Expressing hopes in the 'Sevilla Commitment' adopted on Monday, he expressed his belief that it will translate principles into progress through global solidarity. He welcomed its focus on strengthening international development cooperation for sustainable development.

PM Oli stressed the need to deliver on commitments and principles of effectiveness, and called for innovative ways to mobilise resources. "The goal is to make development cooperation meaningful for people on the ground. Developing countries face increasing financial stress, including rising debt. In this context, concessional finance is essential, not optional," he said.

Meanwhile, speaking at another event, Prime Minister Oli called for bold and urgent action to support the world's Least Developed Countries (LDCs).

Highlighting that development aid is drying up, remittance costs remain high, and climate injustice disproportionately affects LDCs, he said, “This is not just a fiscal crisis, it is a human one."

Calling for stronger domestic resource mobilisation, more grants, and private investment, PM Oli said, “With the right financing, we can invest in people and create lasting opportunity.” He urged world leaders to act decisively to build a fairer and more sustainable future.

 

Commitment to WASH

Meanwhile, Prime Minister Oli co-organised and spoke at a side event. The event focused on the Sanitation and Water for All (SWA) Initiative was jointly organised by the Governments of Nepal and Burundi in collaboration with the SWA.

PM Oli noted that billions worldwide still lack access to basic WASH facilities, with over 2 billion people lacking safe drinking water and 3.5 billion without safely managed sanitation. "Waterborne diseases and poor sanitation continue to pose a major public health crisis, leading to preventable deaths, particularly among children. To achieve universal WASH coverage by 2030, progress needs to accelerate by as much as six-fold, demanding collective global action," he said.

Stating that Nepal's constitution recognises access to clean water and sanitation as a fundamental right, he said the nation is determined to realise its aspiration of 'Prosperous Nepal, Happy Nepali' by ensuring every household has essential services, including WASH. The country has already achieved 96 per cent basic water supply coverage as of 2024, though challenges remain in delivering quality and sustainable services.

In his address, Prime Minister Oli called upon all development partners to continue their support to Nepal in building the necessary infrastructure and strengthening institutions to achieve these shared goals.

Published in The Rising Nepal daily on 2 July 2025.   

Tangled Water Treaties

 Nepal is considered one of the richest countries in terms of water resources and the one with the highest per capita water availability globally. Glaciers, all-season rivers, lakes and monsoon rainfall – it has them all.

 Three large river systems and thousands of rivers and rivulets that supply fresh water for drinking and irrigation and offer the potential for hydropower generation of about 43,000 megawatts.

But the country has largely failed to exploit the abundantly bestowed natural resource for economic, social and political benefits. Only 40 per cent of fields in the country have reliable irrigation facilities, less than one third of the entire population has the supply of pure drinking water, and the country is still facing power outages during the winter as the water level in the rivers goes down significantly. And one of the richest countries in the world in water resources imports electricity from India.

Water resources expert Dr Trilochan Upreti has written and published a book – Antarrastriya Kanun ra Nepalko Jalshrot: Jalbidyut bhanda Paniko Sarbadhik Mahattow' (International Law and Nepal's Water Resources: Water is More Important than Hydroelectricity) – portraying this scenario where Nepal has failed in utilising the water resources in development and diplomacy. He said in the book that it was Nepal's failure not to be able to devise a strategy on shared benefits of Nepal's water resources and rivers that pass through India and ultimately end up at the Bay of Bengal.

India is a thirsty nation. "It might have many alternatives in terms of energy generation for its people and machines; it has limited opportunities for fresh water. India has always been interested in exploiting the water resources of Nepal," writes Dr Upreti. While India has forced Nepal to sign unequal water treaties for the Gandaki, Koshi and Mahakali rivers, it has unilaterally developed embankments across the border against the international rule of not having such structures near the border. 

Both of these acts have long been incurring giant damages in Nepal, including flooding and inundation in the border areas. The southern neighbour has not paid attention to the development of the Pancheshwor Multipurpose Project, which is supposed to benefit Nepal both in terms of energy supply and irrigation, but it has long ago developed the projects that would cause harm to Nepal and benefit India. But Nepali leaders couldn't negotiate and renegotiate with India for equality in benefit sharing or scrap the unequal water treaties.

The Detailed Project Report (DPR) of Pancheshwor has not been prepared. Despite the agreement stating it would be done within six months, 25 years have passed without any progress on the study. India's distorted interpretations and manipulations of the clear terms of the treaty suggest that the project is unlikely to be completed, writes Dr Upreti. 

The project was used as bait to lure (or pressurise) Nepal to sign agreements to allow India to develop projects Tanakpur and Sharada. "In other words, India has achieved two strategic goals: securing the continuous irrigation benefits of the Sharda project (which was on the verge of collapse) and legitimising the illegally constructed Tanakpur project. It is clear that the Pancheshwar project is not a priority for India."

According to him, Nepal should initiate discussions with India to address the border and water issue and calculate the losses caused by the structures built by India across the border and seek compensation from the latter. Likewise, Nepal should now sign an agreement with the southern neighbour preventing the construction of structures that cause harm to Nepal on the border in the future. 

"The agreements between Nepal and India, including those related to Kosi, Gandak, Tanakpur, and the integrated development of the Mahakali River (including the Sharda Barrage), should be revoked. This is because India has not implemented them as stipulated. If India refuses, Nepal should unilaterally declare its withdrawal from these agreements," read the book.

The writer even demands compensation, based on the current market value, for the Kosi flood victims (even after 70 years) for the lands acquired from their ancestors to build the Kosi Barrage, which has provided flood control and irrigation facilities to India. It is worth remembering that India's promise to provide irrigation facilities to thousands of hectares in Morang and Sunsari using water from Chatara, Koshi, remains unfulfilled. Similarly, Nepal has not received irrigation and electricity services from the Gandak project.

The book also argues that large reservoir projects are beneficial for Nepal for water management, electricity generation and irrigation. Nepal should negotiate with India and Bangladesh for mutual co-investment in such projects, as they will be the ones benefitting ultimately. However, he finds the government's lack of efficiency, commitment and readiness.

However, the author has gone off track at multiple instances. Instead of substantiating the arguments, he has spent multiple pages in 'ad hominem' attacks on political leaders. Some information, like a country's size of import and export, could have been backed with the latest data to make the arguments more plausible, which the author has missed. 

Some fundamental information, such as benefit sharing with downstream countries, Nepal's role and political parties' indifference and lack of courage to take up the issues with India, has been repeated in multiple places. The author needs to remove such an unnecessary portion from the book and get it edited well to make it archive-worthy.

Published in The Rising Nepal daily's Friday Supplement on 11 April 2025.       

Nepal, India agree to expedite work on Pancheshwor DPR

Kathmandu, July 8

The Board of Directors of the Pancheshwor Development Authority (PDA) have decided to finalise the Detailed Project Report (DPR) of the Pancheshwor Multipurpose Project (PMP) within three months from now.

To facilitate in the speedy completion of DPR, the meeting of the governing body of the project held in Pokhara of Nepal on Thursday and Friday decided to extend the tenure of the team of experts/officials formed by both governments of Nepal and India by six months.

The extension of the tenure of the expert teams is made so that they could help in finalising the DPR and implementing it. 

Likewise, the fourth meeting of the team of experts would be held within 10 days from July 8, Ministry of Energy, Water Resources and Irrigation (MoEWRI), informed in a statement the other day.

The meeting was jointly chaired by Secretary of the MoEWRI of Nepal, Dinesh Kumar Ghimire, and Secretary of the Ministry of Jal Shakti of India, Paknaj Kumar. Both the secretaries are the co-chair of the board of directors at the PDA.

According to the MoEWRI, the meeting had made these decisions to materialise the agreement between the two countries during the recent visit of Nepal's Prime Minister Pushpa Kamal Dahal Prachanda to India. PM Prachanda and his Indian counterpart, Narendra Modi, had agreed to complete the DPR within a three-month period.

Conceptualised in 1960s, the bi-national PMP has been in talks since 1990s but there has been less progress at the project. The project will have a high dam in the Mahakali River as well as two re-regulating dams at the Rupali Gad and Purnagiri. Total installed electricity capacity of the high dam project will be of 6480 MW.

The PDA was formed in 2015.

According to the project, Development of PMP, is a mutual interest project between two countries, and is covered under integrated Mahakali Treaty signed between Nepal and India according to which, equal sizes of underground power house i.e. of 3240MV will be constructed on each side of Mahakali river in India and Nepal.

Moreover, the PMP also offers benefit of regulated water for irrigation to a vast area of agricultural land both in Nepal and India along with benefit of flood control downstream.

The project is located in Sudurpaschim Province covering parts of Darchula, Baitadi and Dadeldhura districts. 

Published in The Rising Nepal daily on 9 July 2023.  

Melamchi: A stark case of flawed management and failed development

Kathmandu, Apr. 8

Melamchi Water Supply Project (MWSP) has become a typical case of Nepal's failed development and flawed project handling.

After two and a half decades since its implementation, the project is in need of modification of its headwork design as well as tunnel extension for the second phase of the development.

The project is yet to make a decision about the location and model of headwork. It is difficult to remove all the debris and repair the damaged headwork that was buried under the rubble for many months, said Rajendra Prasad Pant, Spokesperson of the Melamchi Water Supply Development Board, the agency which was scrapped by a budget rider of the current Fiscal Year 2022/23 and recently reinstated through a Cabinet decision.

Apparently, a new headwork should be developed at a new and feasible location.

Listed as a national pride project in 2011/12 and executed by two separate agencies in terms of development and distribution work, the MWSP could have been a model water supply project in the entire South Asia but it has remained a 'sick project' for the last one and a half decades.

Initiated in 1998 with the establishment of Melamchi Water Supply Development Board (MWSDB), the project was supposed to be completed by 2006 but was destined to witness multiple deadline extensions and remains incomplete even today after a devastating flash flood in Melamchi River damaged the structures and buried the under-construction headworks beneath more than 12-metre-thick debris.

The floods pushed the near-complete national pride project into uncertainty as the government lacked an alternative plan for the untoward situation. According to Pant, the damages caused by the floods have increased the project cost by about Rs. 2 billion. Earlier, the MWSDB used to put the project progress at 99 per cent but since the headwork has about 10 per cent weightage in the overall development, and since it is completely damaged, it is difficult to give value to the progress.

Meanwhile, for the last nine months since mid-July 2022, no work has been done at the site except some repairs to channelise the water into the tunnel. The government has annulled the Melamchi Water Supply Development Board through the budget speech of the current fiscal year 2022/23. “When there is no implementing agency, how could the development work be executed?” asked Pant. Although the responsibilities of the project were transferred to the Department of Water Supply and Sewerage Management, it saw no significant progress.

Again, the government reinstated the MWSDB with a Cabinet decision recently. However, according to the experts, chances to make major interventions to continue the supply of Melamchi water to the Kathmandu Valley in the next three or so months of the current fiscal year are bleak.

 

No Melamchi water this monsoon

The recently resurrected MWSDB said that sending water to the Kathmandu Valley with a temporary measure will not happen this monsoon.

There was a plan to put rock-filled filter at Gate No. 1 to filter the pebbles and debris in case of flooding while sending the water to the valley during the monsoon. But since the Ministry of Finance couldn't assure the budget required to implement it, there has been little progress, informed Pant. The MWSP was bringing about 170 million litres of water per day (MLD) into the valley by constructing a temporary headwork.

The valley currently needs about 500 MLD of water a day but the supply is slightly above 100 MLD. Even during the monsoon, the supply does not cross 300 MLD, said Member of the National Planning Commission (NPC), Dr. Ram Kumar Phuyal.

This shortfall of water has created a business for more than 700 water tankers and about 300 bottled water factories.

 

Second phase delays

Second phase of the project to bring the water from the Yangri and Larke rivers in Sindhupalchok district has also been affected by the disaster and government inaction.

According to Pant, the second phase plan is also likely to get some changes. As per the current plan, the waters from Yangri and Larke rivers would be poured into the Melamchi River and sent into the tunnel but to maintain regular water supply even when any one of the river is flooded, the tunnel from Yangri and Larke would be extended further and connected with the main tunnel instead of the Melamchi River.

It means the design of the project should be changed. According to the board, all agencies, decision and policy makers are convinced about the need for changing the design but no initiative has been taken so far to make it happen.

The MWSP was planning to bring additional 340 million litres of water per day from Yangri and Larke rivers to the Kathmandu Valley before the end of 2025. About 11-km long tunnel would be built to pour the water of these two rivers into the Melamchi River. The Yangri River is at a distance of 9-km from the headworks of MWSP and the Larke River is 2-km further away.

According to the plan, the 2-km distance from Yangri to Larke would be connected with a large tunnel that would carry water as well as have space for vehicular movement. Although the MWSDB had announced in 2021 April to start procurement process for the construction services by September that year, that couldn't happen. Then Prime Minister KP Sharma Oli had also directed the Ministry of Water Supply to create an environment for adding the water from the Yangri and Larke rivers to the supply channel by 2024.

The board was planning to use the Tunnel Boring Machine (TBM) in the second phase of the project to save the cost and time. It is expected to save at least Rs. 2 billion from the Rs. 11 billion budget and 6-7 months of time.

 

Delayed by political instability and interest

Former government secretary and development expert, Gopinath Mainali, said that the project has been delayed much beyond its multiple deadlines due to the poor project preparedness, lack of adequate technical preparation, resource assurance and failure on the part of the implementation agency.

"Implementing agency, developer, donor, politician and local stakeholders always wanted to secure their petty interests rather than paying attention to the project development," he said. According to him, frequent and untimely change in the project modality has also affected the timely execution of development projects in Nepal.

Member of the National Planning Commission (NPC), Dr. Ram Kumar Phuyal, stated that three factors affected the smooth operation of the project – people in the affected areas, geological condition, and insincere implementation.

"Political instability has a severe repercussion on the development of the MWSP. Meanwhile, there was poor understanding in the leadership about the importance of the project and they treated it like a year-on-year or consecutive programme," said Dr. Phuyal.

 

Four decades and still going

In the first phase, about 26.5 km tunnel and two water treatment plants of 85 MLD each were constructed at Sundarijal in Kathmandu to purify water before sending it to the distribution channel. Likewise, 10 bulk distribution centres were also developed across the valley.

The project was conceived about four decades ago. The government had established Melamchi Water Supply Development Board in 1998 August under the erstwhile Ministry of Physical Planning.

Late Krishna Prasad Bhattarai, the then Prime Minister, about three decades ago after the restoration of democracy in 1990, had promised to bring the water of the Melamchi River to the Kathmandu Valley.

The first phase of the MWSP was supposed to be completed in 2006 but it went through multiple deadline extensions and cost overrun. It was affected by the bureaucratic process, Maoist rebellion, 2015 earthquake, Indian blockade and fleeing of the Italian contractor company CMC.

Construction work at the project site completely stopped for about six months due to the earthquake and economic blockade in 2015.

Earlier, in 2007, the Minister of Physical Planning, Hisila Yami, cancelled the contract given to a company from the United Kingdom, Severn Trent, accusing it of poor international track record. The contract was then awarded to China Railway Bureau Group Corporation but was terminated in 2012.

Meanwhile, the contract was awarded to an Italian CMC. It made a significant progress in tunnel and water treatment plant construction. But in 2019, the contract with the CMC was terminated amidst payment disputes. The CMC had sought additional Rs. 1.61 billion payment in compensation for the delays caused by the quake and blockade. But a government committee decided to pay Rs. 350 million by 16 November 2018.  However, the company did not get the payment and it wrote a letter to the Ministry of Water Supply informing its motives to withdraw from the project.

The contract was ultimately scrapped as the CMC denied, allegedly, paying kickbacks from the payment to the secretary of the ministry, Gajendra Thakur and MWSP's Surya Raj Kandel.

Meanwhile, CMC had left about Rs. 1.53 billion unsettled dues and the local vendors demanded the government should pay the money. When they threatened to obstruct the work, the government gave in and agreed to settle the accounts.

Then the government awarded the contract to another Chinese firm, Sino Hydro, to complete the remaining works.

The project delivered the water of Mealamchi to the people of Kathmadnu in March 2021 by constructing a temporary headwork. But the flash floods caused by heavy rains on 15 June 2021 damaged the headworks and a part of the tunnel, disrupting the supply of potable. 

Published in The Rising Nepal daily on 9 April 2023.  

Hackathon for safety, dignity of sanitation workers from April 27-29

Lalitpur, Mar. 30

The Asian Development Bank (ADB) and Department of Water Supply and Sewerage Management (DoWSSM) are organising a hackathon for start-up companies to find ideas for the safety and dignity of sanitation workers.

The event - Accelerating Sanitation for All in Asia and the Pacific (Nepal Project) - will be organised from April 27-29 this year at the Nepal Academy of Science and Technology (NAST) which is the co-host of the project.

A portal is launched for the hackathon at a press meet organised at the NAST in Khumaltar on Thursday.

The hackathon will feature various activities such as pre-selection and short-listing of potential innovators, orientation sessions, on-site pitching of innovative ideas, local design demonstrations and a hackathon with mentorship session. The programme will run for one month. Travel and other basic expenses will be arranged for those selected top 10 participants to attend programme.

This project aims at connecting all concerned innovators working in the sector across the country, said Dr. Rabindra Prasad Dhakal, Head of the Faculty of Technology at the NAST. There is a need to enhance the respect to and safety of sanitation workers, he said.

According to the organisers, the goal of this hackathon is to identify start-up companies with innovative ideas or technological solutions that can improve the health, safety, welfare and working conditions of sanitation workers in Nepal. "Through a competitive selection process, we will identify a startup or joint venture of start-ups that will work closely with the project's expert consulting engineer, project management office and other stakeholders," said Dr. Er. Shankar Dhakal, Communication Focal Person of the project.

The ADB is piloting the project in Bharatpur Metropolitan City and Nepalgunj Sub-Metropolitan City. A team of expert would guide the inventors in their quest of technology in a marathon format. The proposed solutions should address the location, environment specific needs in Bharatpur and Nepalgunj cities.

The 10 best startups will receive US$ 500 for the prototype development and the winners will receive as much as $40,000 grant for developing and piloting the production or solution that they proposed.

Deputy Project Director of the Urban Water Supply and Sanitation (Sector) Project under the DoWSSM, Er. Tika Bahadur Dhaudhari, said that they hope that a pragmatic solution for the safety of sanitation workers could be found through the project. He also said that there is a need for better safety and respect for the sanitation workers.

Er. Bikas Gurung, President of Robotics Association of Nepal, which is managing the event, said that it is a participant-oriented programme to find solution to an everyday problem. 

Published in The Rising Nepal daily on 31 March 2023.  

PM Deuba unveils Bhattarai’s bust at Sundarijal

Kathmandu, Dec. 18

Prime Minister Sher Bahadur Deuba has unveiled a full-length statue of former Prime Minister and saint leader Krishna Prasad Bhattarai on the water treatment centre premises of the Melamchi Water Supply Project (MWSP) at Sundarijal in Kathmandu district.

Bhattarai, who envisioned bringing the water from the Melamchi River in Sindhupalchowk district to the Kathmandu Valley about three decades ago, was the Prime Minister of the Interim government formed after the 1990's public movement.

Recognising the vision of Bhattarai to supply water to the people of the capital city, the Ministry of Water Supply has constructed a full-size statue of him at the water treatment centre at Sundarijal.

Speaking at the statue unveiling event, PM Deuba said that the government had prioritised the long-term solution to the water-supply problem. He said that the distribution of water from Melamchi to Kathmandu Valley started about two years ago, but the distribution was disrupted as floods and landslides upstream in the river last monsoon damaged the infrastructure at the intake.

Prime Minister Deuba said that necessary preparations would be made to ensure the regular distribution of water to the residents of the valley. "I am happy that leader Bhattarai's dream of providing water from the Melamchi River to the capital has been fulfilled. The government is working to provide clean drinking water to all the Nepalis honouring the constitutional provision for the same," he said.

Meanwhile, he expressed his commitment to scrap the provision that asked the local people inside the Shivapuri Nagarjun National Park to pay entry fee while entering the park to reach their home. Four villages of Ward No. 1 of the Gokarneshwor Municipality are inside the national park.

Earlier in March 2021, the water from the Melamchi River had trickled into the water pots of the people of Kathmandu approximately after 19 years since the beginning of the MWSP. In the first phase, Melamchi water was distributed in Mahankal, Minbhawan and Anamnagar of Kathmandu and Khumaltar of Lalitpur area through the Kathmandu Upatakya Khanepani Limited (KUKL)'s distribution network.

In the first phase, about 170 million litres of water per day would be brought from the Melamchi River while in the second phase of the MWSP, which is yet to begin, would bring another 170 MLD.

The first phase of the MWSP was supposed to be completed in 2008 but it went through multiple deadline extension and cost overrun. It was affected by the bureaucratic process, Maoist rebellion, 2015 earthquake, Indian blockade and, recently, fleeing of the Italian contractor company CMC.

Later in April last year, President Bidya Devi Bhandari had inaugurated the water distribution from the MWSP by opening a switch of a stone tap built at Bhrikutimandap in the capital.

 Published in The Rising Nepal daily on 19 December 2022. 

Japan to provide grant, loan assistance of Rs. 16.2 billion

Kathmandu, Sept. 21

Governments of Nepal and Japan have signed two agreements for utilizing grant assistance for project to improve and rehabilitate irrigation in Terai, and urban transmission and distribution.

The programmes include Japanese Yen 2 billion and 256 million (about Rs. 2 billion) for the implementation of the Project for the Improvement of the Rehabilitation of Irrigation System in Eastern Terai Area; and the concessional credit of Yen15 billion and 901 million (about Rs.14.2 billion) for the Urban Transmission and Distribution System Improvement Project.

“The grant assistance will be used for the maintenance and improvement of Chandra Nahar irrigation system for reliable and continuous irrigation facilities, mainly in the Eastern Terai region,” said the Ministry of Finance in a statement on Wednesday.

Similarly, the concessional credit will be utilised for improving the urban electricity transmission system in the big cities of Nepal, including Kathmandu and Pokhara with the aim of reducing transmission losses as well as increasing the reliability of electricity distribution. The credit assistance applies interest rate of 0.01 per cent per annum, 30 years’ repayment period and 10 years’ grace period.

Finance Secretary, Krishna Hari Puskar and Ambassador of Japan to Nepal, Kikuta Yutaka signed and exchanged the Notes and Records of Discussion on behalf of their respective governments.

Similarly, grant and credit agreements to this effect were signed by Ishwori Prasad Aryal, Joint Secretary and chief of the International Economic Cooperation and Coordination Division of the MoF and Okubo Akimitsu, Chief Representative of JICA Nepal.

Puskar said that the implementation of these two projects would be crucial for improving irrigation facilities in Nepal, increasing the reliability of electricity supply and reducing the transmission losses.

 Acknowledging the long-lasting and harmonious bilateral relations and development partnership between two countries, he expressed his confidence that such relation will continue in new height. 

Published in The Rising Nepal daily on 22 September 2022. 

Economic Survey projects growth at 5.84%

Kathmandu, May 28:

The government has projected economic growth rate of 5.84 per cent for the current fiscal year 2021/22.

According to the Economic Survey 2021/22 presented by Finance Minister Janardan Sharma in the House of Representatives on Saturday, the economic growth rate is expected to be higher than the previous year. However, this is lower than the growth projection of 7 per cent made by the government.

Due to the unseasonal rains and spread of Omicron virus, the economic growth rate could not be achieved as per the target in the current fiscal year.

The economic growth was 4.25 per cent in the last fiscal year 2020/21.

The size of Nepal's economy is Rs. 4,851.6 billion. Bagmati is projected to have a maximum share in the economy with of 36.9 per cent contribution while Karnali will make the smallest support of 4.1 per cent.

However, economic indicators, except external sector are satisfactory, said the survey.

While the contribution of agriculture sector to the total Gross Domestic Product (GDP) has been declining, the contribution of service sector is increasing. In the current fiscal year, agriculture sector is projected to grow by 2.3 per cent, industry by 8.1 per cent and services sector by 6.6 per cent.

The contribution of agriculture, industry and service sector has been 23.9 per cent, 14.3 per cent and 61.8 per cent respectively. The contribution of agriculture, industry and service sector to GDP was 37.4 per cent, 17.5 per cent and 45.1 per cent respectively two decades ago.

This shows that with the change in the structure of the country, Nepal's economy has been gradually transformed from agriculture to a service-oriented one.

In the current fiscal year, the GDP growth rate of Province 1 is 5.41 per cent, Madhes Province 4.82 per cent, Bagmati 6.74 per cent, Gandaki 6.17 per cent, Lumbini 5.36 per cent, Karnali 5.47 per cent and Sudurpaschim 4.92 per cent.

The share of consumption to the GDP was 92.3 per cent in the last fiscal year 2020/21 and it is estimated to be 90.7 per cent in the current fiscal year.

Total investment has increased in the last two fiscal years as such investment has shrunk by 25.9 per cent in fiscal year 2019/20. The total investment, which increased by 29.3 per cent in fiscal year 2020/21, is estimated to increase by 18.1 per cent to Rs. 1,807.29 billion in the current fiscal year.

In FY 2020/21, the gross domestic product (GDP) ratio was 35.8 per cent, but in 2021/22, it is expected to increase to 37.3 per cent.

 PCI increases to $1,381

The per capita income of Nepalis has reached US$ 1,381 in the current fiscal year. According to the survey, the income of Nepalis has increased by 10.8 per cent in one year.

The per capita income, which was USD 1,246 in the previous fiscal year, is estimated to reach US$ 1,381 this year. Similarly, per capita national expenditure is estimated at US$ 1,683.

FDI inflows up

Foreign direct investment in the country has increased by 60 per cent during the first eight months of the current fiscal year to Rs. 16.30 billion. The FDI inflow was Rs. 10.18 billion during the first eight months of last fiscal year.

Approximately, Rs. 228 billion investment has been approved during the first eight months of the current fiscal year.

The number of registered companies till mid-February, 2022 is 283,358.

Province-wise, Bagmati has the highest number, 70.7 per cent, registered companies against Karnali's 1.2 per cent.

Country adds 520 MW energy

Nepal's total installed hydroelectricity capacity has increased by 520 megawatts – from 1685 MW by mid-July in 2021 to 2205 MW in mid-March 2022. This is an increment of 30.9 per cent over the period of eight months, primarily backed by 456-MW Upper Tamakoshi Hydroelectricity Project.

According to the Economic Survey 2021/22 presented at the Federal Parliament by Minister for Finance, Janardan Sharma 'Prabhakar', while about 94 per cent population has access to electricity, including the alternative energy, per capita electricity consumption has reached 270-kilowatt hour.

The government has published the Economic Survey 2021/22 with annual achievements and results in various economic sectors based on the data of the eight months (up to mid-March 2022).

Only 155 KM road added

In the eight months of the current fiscal year, the country has added 155 KM of road while 265 KM road is gravelled and 325 KM is black-topped. Last year, the country had added 472 KM of new road. By mid-March, the country had about 16,939 KM blacktopped, 8,111 KM gravelled and 8,821 KM earthen road.

Total length of national highways and roads has reached 33,821 KM. Likewise, length of all types of roads including at the province and local level has increased to 64,617 KM.

Similarly, by mid-March, broadband internet service has reached to 738 offices of the local units, 6190 ward offices, 5196 secondary schools and 4147 health centres. Telephone density has reached 139.86 per cent and density of internet customers climbed to 116.9 per cent from 82.8 per cent a year ago.

Access to water supply widens

Meanwhile, 93.4 per cent people have access to the basic water supply while only 24.8 per cent population has access to high or medium level quality water supply. In the eight months, additional 42,857 people have been connected to the basic water supply facility.

More than 2.8 million beneficiaries are enrolled in various social security scheme's online system. The government has distributed Rs. 46.42 billion in social security allowances to senior citizens, single women, people with disability, minorities and children.

The country has produced 1.73 million tons of milk, 381,000 tons of meat and 1.83 billion eggs.

However, the number of tourist arrival has dropped this year by 34.3 per cent. In 2020, Nepal had welcomed 230,085 tourists while in 2021 only 150,963 foreigners came to the country.

  Published in The Rising Nepal daily on 29 May 2022. Written jointly with Laxman Kafle.  

Household taps to dispense Melamchi water from Sunday

Kathmandu, Apr. 19

The Kathmandu Upatyaka Khanepani Limited (KUKL) is making preparations to send water from the Melamchi Water supply Project (MWSP) to the households in the Kathmandu Valley from coming Sunday.

"If things went as planned and projected, we will be able to supply water to our consumers in the next five days," said Prakash Kumar Rai, Deputy Manager of KUKL.

Earlier, the Ministry of Water Supply had announced that the water from the Melamchi in Sindhupalchok would be brought to the valley on the first day of the Nepali New Year, 2079. Tuesday is the 6^th day of the year.

KUKL's supply pipeline network is ready to pump water but in the first phase, water would be transmitted through the old network. However, households connected with the new supply network could get the water depending upon the amount of water arriving in the Kathmandu valley.

Rai said that the water utility had designed the supply plan in a way it would benefit maximum consumers.

The MWSP had sent water to the tunnel last week and the water reached Sundarijal side in the valley on Tuesday. The water will be held in the tunnel for about five days to get it filled and clean up.

According to Bashu Dev Paudyal, Executive Director of the Melamchi Water Supply Development Board, it will take maximum five days to fill up the 26.5 km long tunnel of the project.

He said that that after filling the tunnel, the water would be flown to the treatment plant in Sundarijal and within 5-6 hours it would be sent to the distribution networks.

Meanwhile, the work to clean the debris deposited by the floods and landslide upstream of the Melamchi River in Sindhupalchowk on July 15 last year. Head works and a part of tunnel of the national pride project were damaged in the disasters caused by torrential rains. The structures were buried about 15 metres down in the debris.

The work to restore the project had begun by the end of January this year. "About 75 per cent debris is removed from the site and top of head works is visible now. The site would be cleared and assessment would be conducted before the coming monsoon," said Paudyal.

When the floods hit the head works, project had completed the construction of civil works of the head works and only a small amount of hydro-mechanical and electrical work was remaining.

Earlier, on 2 April 2021, President Bidya Devi Bhandari had inaugurated the distribution of Melamchi water by letting a tap flow at the Bhrikutimandap, Kathmandu.

The project was conceptualized about five decades ago and construction was started about two decades ago. It witnessed multiple deadline extensions and cost overrun, which has almost doubled by now. In the first phase, the project is supposed to bring about 170 million litres of water a day in Kathmandu.

In the second phase, 340 million litres of water from Yangri and Larke rivers would be added to the system. 

Published in The Rising Nepal daily on 20 April 2022. 

Reconstruction of Melamchi water project begins: Chaudhary

Kathmandu, Jan. 30

Minster for Water Supply and Sanitation, Umakant Chaudhary has said that the work for the reconstruction of the Melamchi Water Supply Project (MWSP) has begun to bring the water from the Melamchi River temporarily to the Kathmandu Valley.

The national pride project’s head works and a part of tunnel were damaged by the floods caused by torrential rains on 15 June, 2021.

Contractor Sino Hydro has reached the site and started work to clear the debris deposited by the floods and landslide upstream of the river.

“Currently, work has begun to bring the water to the capital valley by creating a diversion besides the head works,” Minister Chaudhary said at a press conference organised at the Ministry in Singha Durbar on Sunday.

He informed that the short run test of about 100 kilometre pipeline was conducted some days ago. So far, 350 km pipeline is tested and is ready for water distribution.

According to him, since Sindhupalchok was announced as a crisis-hit area until October 2021, no work on the project could be conducted before the festive season.

“The Asian Development Bank is conducting a study on the details of the reasons behind the floods and landslides, damage caused by them and permanent alternatives to conserve the watershed region,” said Minister Chaudhary.

Earlier on Friday, the contractor was mobilised to the site after more than seven months the floods damaged the intake of the project.

The project has said that water would be brought to the valley by 14 April 2022, the first day of Nepali Year 2079. 

Published in The Rising Nepal daily on 31 January 2022. 

Contractor reaches the site of Melamchi head works to clear debris

Kathmandu, Jan. 28

More than seven months after the intake of the Melamchi Water Supply Project (MWSP) was buried by debris brought by massive floods in the Melamchi River in Sindhupalchowk on 15 June 2021, works have begun to clear them.

Chinese contractor Sino Hydro has recently moved heavy equipment to the site and begun preparations to remove the debris from Friday, said Bashu Dev Paudyal, Executive Director of the Melamchi Water Supply Development Board.

According to him, the work will be executed in a way so that the water from the Melamchi River can be brought to the Kathmandu Valley by the Nepali New Year 2079, on 14 April 2022.

"In the first phase, the debris obstructing the water from channellising into the tunnel connecting the river and reservoir in Sundarijal of Kathmandu will be removed so that the water could be brought to the valley temporarily," said Paudyal, who returned from the site on Friday after making an observation of the preparation made by the contractor.

A temporary access road to the MWSP's head works was recently opened. The road was severely damaged by the torrential rains and subsequent landslides in monsoon last year. As the landslides jeopardised the human settlement above the road, the infrastructure could not be repaired or developed until the monsoon ceased.

The board has extended the deadline to complete the construction of the head works by mid-July this year as per the decision of a Cabinet meeting a couple of weeks ago, and directed the Sino Hydro to reach the site. The cost of the contract has also gone up by Rs. 320 million with the time overrun.

The cost variation is made for the contractor to clear the debris deposited at the head works.

Earlier in October 2019, the board had signed a contract with Sino Hydro with a mandate to complete the construction of head works in 15 months.

Paudyal said that the actual cost of the project could be calculated after clearing the debris as it is not known whether the head works constructed before the floods is intact.

According to the primary estimates made in August last year, the floods caused damages of about Rs. 2 billion to the project and the head works was buried about 15-20 metres down the debris.

The contractor had completed the construction of civil works of the head works, leaving only a small amount of hydro-mechanical and electrical works to complete.

The project had started distributing the water from the Melamchi River by the end of March 2021 while President Bidya Devi Bhandari had inaugurated the water distribution on April 2 last year.

The Rs. 36 billion project was conceptualised about five decades ago has completed about two decades after its commencement with multiple deadline extensions and cost overrun.

In the first phase, the national pride project will distribute 170 million litres of water a day – half of the total water that is being brought to the Kathmandu Valley from the Melamchi River in Sindhupalchok district via a 26.5 kilometre tunnel.

Another 340 million litres water would be brought to the valley from the Yangri and Larke rivers in Sindhupalchok through the same tunnel.

According to the board, water from the Yangri and Larke rivers could be brought to the valley within the next four years. The Yangri river is 9 km away from Melamchi head works and Larke is further 2 kilometres away from Yangri.

A 9-km-long tunnel will be built up to Yangri while the tunnel to Larke will have two parts, one for water and another for vehicular movement.

Published in The Rising Nepal daily on 29 January 2021. 

Experts urge to increase meterological stations in mountains

Kathmandu, Aug. 15

Experts have urged the government to increase the number of meterological stations in the mountains and care about the people living there.

Speaking at an interaction on the Melamchi Dissaster organised virtually by the Nepalese Forum of Environmental Journalists (NEFEJ) on Sunday, they said that effective early warning system is the only way to save life and property from climatic disasters.

Dr. Arun Bhakta Shrestha, a Climate Change Specialist at the International Centre for Integrated Mountain Development (ICIMOD), said that the government must not forget people who are affected by the disaster.

People of poor economic conditions are in the area and many of them have lost their fields and means of income. “National debate is going around the Melamchi Water Supply Project which is a pride project of the government but there is less discussion about the victims of the disaster,” he said.

He said that more meterological stations and effective early warning system is urgently needed. Dr. Shrestha also suggested use of drones to collect information and for emergency supply.

Geologist Prof. Dr. Bishal Nath Upreti also demanded for more meterological stations. According to him, hydropower companies should be encouraged to install meteorological and hydrological stations in their catchment area and share dataset with Department of Hydrology and Meterology.

He lamented that many works and requirements are not designed and developed unless the government receives foreign grant or support and installation of meterological stations has met the same fate.

Shiva Baskota, Senior Divisional Geologist at the Department of Mines and Geology, said that the floods triggered by the landslides had deposited 10-12 feet thick debris at Bhremathang, an area below the confluence of the Melamchi and Pemdang rivers.

He warned that there are chances of further landslides and floods in the Melamchi River.

Published in The Rising Nepal daily on 16 August 2021. 

Catastrophic floods leave Melamchi project in uncertainty

Kathmandu, Aug. 15

While the Melamchi Water Supply Development Board (MWSDB) is hopeful about channelising the water of the Melamchi River into the tunnel through alternative and temporary measures, immediate solutions have not been found as the almost-complete head works remains buried under about 15 to 20-metre-thick debris.

The board said that there were fewer chances of having the site cleared at the head works until the end of the monsoon since more debris is likely to flow because landslides and snow melting have not stopped yet.

“Head works is buried about 15-20 metre down in the debris, which is still flowing in the river that might further increase river level, thereby complicating the restoration of the completed civil works,” said Rajendra Prasad Pant, Spokesperson for the board.

He said that all infrastructures of the project in Sindhupalchok district were buried under debris and head works might need rebuilding. About Rs. 650 million was invested in developing the works.

The MWSDB had made a request to the Nepali Army seeking support of the latter in the clean-up work, but it reportedly said it would be risky to work in the river during the monsoon.

Meanwhile, it might take a long time to clear the debris as the site is located at a narrow gorge of the river and only few heavy equipment could be sent there for the cleaning work.

Similarly, tunnels are also inaccessible. According to Pant, Ambathan audit entry point is blocked while water collected in the tunnel is sent out through Sundarijal, Sindhu and Gyalthum audit.

“But without opening the Ambathan audit, the water cannot be emptied out and technicians can’t be sent inside the tunnel,” he said.

 

Rs. 2 billion goes to waste

The floods have caused the damage of about Rs. 2 billion to the project, according to the primary estimates of the project while properties worth billions of rupees have been swept away.

It killed five people while 20 who were swept away are still unaccounted for.  

Civil works of the head works were completed and a small amount of hydro-mechanical and electrical work was remaining. But the floods on June 14 and 15 wreaked havoc on the project site. The floods entered the settlements in Helambu and Melamchi area, sweeping away houses, fields, roads and bridges.

The project site is difficult to access, since all the bridges were washed away by the devastating flood.  

The disaster, caused by both man-made and climatic factors, has left the project in a state of limbo. About 30 billion is already spent on it.

According to a report published by the ICIMOD, factors including weather conditions, snowmelt and erosion of glacial deposits, glacial lake outburst, landslide and river damming, new landslide, riverbank erosion and debris deposition caused the floods. 

Risk analysis of the Melamchi upstream area was done during the feasibility study about three decades ago but early disasters were not forecast. The study had mentioned about the risks that a project in a river originating from the Himalayas could meet in the future such as glacial lake outburst, glacier melting and landslides.

Inspections being made

A team of consultants of the project recently inspected the area. Pant said that the team was working to save the junction between the tunnel and head works to stop debris from flowing into the tunnel.

Meanwhile, a government technical team led by Chief Executive Officer of the National Disaster Risk Reduction and Management Authority, Anil Pokharel, left for Melamchi area to survey the site for the construction of Bailey or mechanical bridges.

The team is comprised of technicians from Nepali Army, Department of Roads, and Suspension Bridge Division Office. It will survey the site to set up the bridges.

Published in The Rising Nepal daily on 16 August 2021. 

PM asks Water Supply Ministry to start Melamchi Phase II work

Kathmandu, Jun. 10

Prime Minister KP Sharma Oli has directed the Ministry of Water Supply (MoWS) to immediately begin the work to bring the water of the Yangri and Larke rivers in Sindhupalchok district to the Kathmandu Valley.

He asked the Ministry to make no delay in launching the second phase of the Melamchi Water Supply Project to bring additional 340 million litres per day (MLD) of water to the Kathmandu Valley following a briefing about the project by the MoWS officials at his official residence in Baluwatar on Thursday.

The first phase of the project has brought 170 million litres of water to the Valley from the Melamchi River. The second phase project will add 170 MLD of water each from the Yangri and Larke rivers to total the amount of water flowing to the valley to 510 MLD.

Prime Minister Oli also asked the MoWS to begin the construction of the water treatment plant. The treatment plants of 85 MLD capacity each have been already built for the first phase. The distribution of Melamchi water in Kathmandu had begun on April 3. Speaking at the water distribution inauguration programme, PM Oli had directed the MoWS to create environment to add the water of the two rivers to the existing channel by 2024.

According to the Melamchi Water Supply Project (MWSP), water from Yangri and Larke rivers could be brought to the valley within the next four years.

The Yangri river is 9 km away from Melamchi head works and Larke is further 2 kilometres farther away.

A 9-km-long tunnel would be built up to Yangri while the tunnel to Larke will have two parts, one for water and another for vehicular movement.

The MWSP said that the procurement process for the second phase project would begin within three months.

Meanwhile, the MWSP has halted the supply of Melamchi water for about a month to conduct the final testing in the tunnel. The entire 26.5 km tunnel will be emptied to check if there are any problems. It would take 10 days to drain the water, about a week to conduct the tests and two weeks to fill water in the tunnel.

The amount of water in the supply channel would be increased by about 40 MLD which will give relief to the distribution authority, the Kathmandu Upatyaka Khanepani Limited (KUKL).

Published in The Rising Nepal daily on 11 June 2021. 

Govt announces plan to develop five new river diversion projects

Kathmandu, June 2

Budget of the coming Fiscal Year 2021/22 has included seven large river diversion projects to be developed in their different phases across the country for irrigation as well as water supply purposes.

Large amount of budget is earmarked for Bheri-Babai, Naumure and Sunkoshi-Marin Multipurpose river diversion projects, and Tamor-Chisyang, Kaligandaki-Tinau, Madi-Dang and West Seti-Kailali river diversion projects.

Five projects, except Bheri-Babai and Sunkoshi-Marin are new programmes.

Of them, the construction of Bheri-Babai Diversion Multipurpose Project will be completed in the coming fiscal, Finance Minister Bishnu Prasad Paudel said while unveiling the budget on May 29.

He said that in two years, the project will irrigate 15,000 hectares of land while a power house of 48-Megawatt capacity will be constructed. It has received Rs. 3.7 billion budget allocation.

The government has earmarked budget for the preparation of the Detailed Project Report (DPR) and the construction of Naumure Multipurpose River Diversion Project. DPR, project implementation framework and resource management for the Tamor-Chisyang and Kaligandaki-Tinau river diversion projects will also be completed next year.

FM Paudel has also provisioned money for the preparation of DPR of Madi-Dang and West Seti-Kailali river diversion projects.

Likewise, tunnel construction work would be expedited at Sunkoshi-Marin Multipurpose River Diversion Project while head works and power house development will also start in the next fiscal. It has received Rs. 2.46 billion budget, equal to the amount it received this year. It will irrigate 122,000 hectares of land in Province 2.

Water supply

The government also aims for water supply in the large cities in Terai-Madhesh region from the river diversion projects. Water supply in Siraha, Dhanusha, Mahottari, Sarlahi, Rautahat, Bara and Parsa districts will be managed from Sunkoshi-Marin project, and in Banke and Bardiya districts from Bheri-Babai project.

Next year, additional 29,400 hectares of land would have irrigation facility including 20,000 from Sikta Irrigation Project alone. Additional 20 km main canal and 12 km distribution channels in Sikta would be constructed at the cost of Rs. 1.56 billion.

Other major irrigation projects that received sizable budget for the coming year are Rani Jamara-Kulariya, Mahakali and Babai irrigation projects, and small programmes like Praganna, Bagmati, Palungtar and Brihat Dang Upatakya irrigation projects. Rani Jamara-Kulariya has received Rs. 2.35 billion. It will irrigate 20,300 hectares of land and generate 4.7 MW electricity. Rs. 1.25 billion and Rs. 1.44 billion is allocated for Mahakali and Babai respectively.

Pride projects, slow progress

Sikta, Rani Jamara-Kulariya, Bheri-Babai, Mahakali (third phase), Sunkoshi-Marin and Babai are national pride projects.

But progress of the projects under construction is not satisfactory, as per the conclusion made by the National Planning Commission a couple of months ago. Sikta and Rani Jamara-Kulariya are supposed to be completed by the end of this FY and FY 2023/24 respectively but they are moving ahead with just 63 per cent and 48 per cent progress.

Likewise, Bheri-Babai, Mahakali and Sunkoshi-Marin should be completed by 2023/24 but the progress of the former two is pathetic with just 40 per cent and more than 10 per cent progress, according to the Economic Survey of this year.

Another pride project Babai which was set to be completed by the end of the next fiscal year had 52.12 per cent progress by the end of last fiscal.

In the budget of the current fiscal year, the government had announced to expand irrigation facility to additional 22,000 hectares land. By the end of eight months, the facility is available in 15,508 hectares of land.

Published in The Rising Nepal on 3 June 2021.