NPPs get Rs 25.08bn this fiscal

KATHMANDU:

The government has allocated a total budget of Rs 25.08 billion for implementation of national priority projects (NPPs) in the current fiscal year 2014-15. The resource is up by 19.54 per cent when compared to the amount provided to these projects in the last fiscal.

A total of 20 national pride projects related to road, railway, irritation, airport, drinking water and development of areas having cultural and environmental importance have received the budget. There are 21 different projects that the government has listed as projects of national importance, of which West Seti Hydropower is not provided fund, since the Nepal Investment Board is mediating for its development through foreign investment.

For the first time, there has been allocation of Rs 500 million to proposed Second International Airport (SIA) in Nijgadh, Bara to complete the preparatory works before going for construction phase. In the budget announcement, the government has stated that the preliminary construction work will be initiated for SIA and the inhabitants around the construction site will be resettled elsewhere.

In terms of the budget size, Melamchi Drinking Water Project has received Rs 4.61 billion, the largest chunk of the allocated budget, according to Annual Development Programme Volume II of the government. However, the allocation for this fiscal is less than Rs 5.24 billion that had been set aside for this project last fiscal year. The government through the budget has announced of expediting work of the Melamchi project with objective of providing drinking water in Kathmandu Valley by mid-April, 2016.

Kathmandu-Tarai Fast Track road project, Postal Highway and President Chure Conservation Programme are other projects that have witnessed decline in resource allocation by the government this year. Fast Track road project has been provided Rs 249.89 million and President Chure Conservation Programme has been allocated Rs 275.84 million this time around against Rs 500 million each provided to both projects last fiscal year. Similarly, Postal Highway, which had been given Rs 2.21 billion last year, has received Rs 1.99 billion for the current fiscal.

In the current fiscal year, the budget has targeted to complete black topping of 40 km of Postal Highway and construction of its 10 bridges. As for Mid Hill Highway, which has been provided Rs 1.99 billion, there is plan to black top 66 km, gravel 20 km and construct 20 bridges within this fiscal year, according to the Ministry of Physical Infrastructure and Transport, which supervises five of the national pride projects.

“Besides allocation of needful resources, it is also equally important to make land acquisition procedure easy and to hold contractors responsible for effective results,” said an official of Department of Roads. For long, land acquisition has remained a big problem while implementing projects. Similarly, problems of contractors bidding low and leaving the project undone after receiving the mobilisation cost is also there.

This year on the roads linking the northern and southern regions, the government has aimed to open a total of 145 km track and construct five bridges in Koshi Corridor by spending Rs 1.18 billion. Koshi, Kaligandaki, Karnali, Seti, Mahakali and Bheri link roads fall under North-South roads. Of these, Karnali, Koshi and Kaligandaki have received the recognition of national pride projects.

The annual development programme shows that resource allocation for all other projects, except for Melamchi Drinking Water, Fast Track and Postal road and Chure Conservation, has gone up. Projects that have received more funds this year include Postal Upper Tamakoshi Hydropower Project (Rs three billion), Railway and Monorail Development Project (Rs 1.99 billion), Bheri-Babai Irrigation Project (Rs 1.9 billion) and Sikta Irrigation project (Rs 1.4 billion). Similarly, South Asia Tourism Infrastructure Development Project, which is undertaking two national pride projects, namely expansion of Pokhara and Bhairawa airport, has received Rs 2.25 billion. Under the South Asia tourism infrastructure plan, the government is working to improve the airports of Pokhara and Bhairahawa as regional international airports.

Also, to intensify railway works, this year the government has allocate Rs 1.35 billion for construction of Simara-Bardibas section of proposed East-West Electrified Railway. In last fiscal year, Upper Tamakoshi project had received Rs two billion. The project is considered as one of the biggest projects to help end load shedding in the country within next three years.

Going by the government’s budget allocation, this year there will be more activities on infrastructure development front.

Source: THT