DoWRI Cancels 12 Non-Performing Irrigation Contracts

KATHMANDU, October 26 — The Department of Water Resources and Irrigation (DoWRI) has terminated 12 long-stalled irrigation contracts that had remained incomplete for years due to contractors failing to fulfill their obligations.

The contracts, previously under the People’s Embankment Programme, Field Office No. 2 in Jaleshwar, Mahottari, were annulled after contractors repeatedly ignored notices to complete the work. A 15-day public notice had also been issued on October 16 for the termination of six additional inactive contracts under the Babai Irrigation Project.

Minister Kulman Ghising, in charge of Energy, Water Resources, Irrigation, Physical Infrastructure, Transport, and Urban Development, had directed subordinate bodies to terminate dormant contracts to curb the trend of contractors taking projects but failing to complete them on time.

The Irrigation and Water Resources Management Project Office, Janakpurdham, stated that despite prior warnings issued in May and July 2024, the contractors neglected to resume work. Consequently, performance guarantees are being seized as per contract provisions. The Office also instructed officials to measure completed portions and assess remaining work within 15 days under the Public Procurement Act to take further legal and administrative steps. The terminated contracts were originally signed in fiscal years 2068/69, 2069/70, 2073/74, and 2074/75.

Road Projects in Focus
Meanwhile, the Department of Roads has begun the process to cancel 40 more non-performing road and bridge construction contracts. The Road Division Offices in Tumlingtar, Ilam, Hetauda, and Nepalgunj have initiated the termination process for contracts that have remained unfinished for years despite formal agreements.

This move is part of a broader effort by the government to ensure accountability and efficiency in public infrastructure projects.