Kulekhani III project to miss completion deadline, again

Mon, Sep 15, 2014 12:00 AM on Others, Others,

HETAUDA, SEP 15 -

Kulekhani III Hydropower Project will not meet its completion deadline of September 21.

Only 40 percent of electro-mechanical and hydro-mechanical work and 85 percent of civil work have so far been completed, according to project chief Madhu Sudan Pratap Malla.

The 14MW project, which was started on April 27, 2008 an objective to complete by 2012, has seen two deadline extensions. And, the contractors have once again sought extension to the completion date.

Sino Hydro, contractor for civil work, has sought an eight-month extension, while Jheijian Jialin Company, contractor for hydro and electro mechanical work, has demanded that the deadline be pushed back by one year.

Nepal Electricity Authority (NEA), the developer of the project, has extended the deadline by 86 days for Jheijian Jialin, while it is yet to take a decision on Sino Hydro’s demand.

Due to delays, Kulekhani III has been plagued by cost overruns, with its estimated outlay ballooning to Rs 4.46 billion from Rs 2.43 billion. The National Planning Commission declared this project as one of the five troubled projects in May 2014.

Jheijian Jialin had planned to complete the power house by June 5, 2014, but it is yet to install the penstock pipe and other equipment.

Initially, the project witnessed time overrun due to delay in civil work. And later, the delay in hydro and electro-mechanical work hit the project, according to project officials.

The project has also faced obstructions from stakeholders, including locals and contractors, time and again on different pretexts.

In January 2011, tunnel construction was delayed as the government did not allow chopping down trees in surrounding areas of Audit No 2 in Bhainse VDC. Obstructions by project staff against the firing of workers by the contractor further delayed the project. And, the project had to change the design of Audit No 2 and Audit No 3 after they were damaged. The work on the power house is also moving at snail’s pace.

Project Chief Malla, however, assured the project would not face further cost overruns despite the delays.

Source: The Kathmandu Post