NPPs‚ P1 projects' progress unsatisfactory

Mon, May 5, 2014 12:00 AM on Others, Others,

KATHMANDU:

Progress of national pride projects (NPPs) and Priority One (P1) projects, which are currently under construction, remained unsatisfactory in the first eight months of the currently fiscal year, hitting the government’s budget utilisation capacity.

The latest statistics show that only 19 per cent of the national pride projects and 34.4 per cent of the P1 projects have so far been able to meet over 80 per cent of the target set for the year.

These results were revealed during the 32nd meeting of National Development Action Committee held under the chairmanship of Prime Minister Sushil Koirala today.

The report card shows that only four of the 21 projects of national pride were able to meet over 80 per cent of the target set for the year. These projects are Ranijamara Irrigation Project, Mid-hill Highway Project, Babai Irrigation Project and a project to convert Bhairahawa Airport into a regional international airport.

The worst performing national pride project was Bheri-Babai Diversion Multipurpose Project which met only 4.5 per cent of the physical target and 2.05 per cent of the financial target set for the year.

“The project failed to meet the target due to delay in appointment of consultants, Also, contractors could not be appointed to conduct construction works despite issuing tender notices thrice,” says a report prepared by the National Planning Commission.

The implementation of Postal Highway Project was also not satisfactory during the eight-month period, as it was able to meet only 8.20 per cent of physical target and 14.32 per cent of financial target set for the year.

“The project has made slow progress due to indifferent attitude of contractors who have been postponing construction works in the pretext of delay in land acquisition process, relocation of electricity and telephone poles, and cutting down of trees along the proposed highway,” says the report.

Implementation status of at least six projects, including Kathmandu-Terai fast track, east-west railway, second international airport, and Budhi Gandaki, West Seti and Tamakoshi hydroelectric projects, is also assumed to be upsetting as they have failed to make their progress reports available.

As in the case of national pride projects, performance of P1 projects also remained dismal in the first eight months of this fiscal.

The government has identified 303 projects as P1 for this fiscal. Of these, only 104 were able to meet over 80 per cent of the target set for the year.

The worst performing government body in terms of project implementation was the Ministry of Physical

Infrastructure and Transport, as only five of the 49 projects that it had undertaken were able to meet over 80 per cent target set for the year.

The Ministry of Urban Development also remained in the bottom of the league table, as only eight of the 31 projects that it had executed were able to meet over 80 per cent target set for the year.

Another laggard in terms of project implementation was the Ministry of Federal Affairs and Local Development, as only five of the 23 projects that it had undertaken were able to meet over 80 per cent target set for the year.

Because of the slow progress made by P1 and national pride projects, the government was unable

to utilise even 50 per cent of the annual budget of Rs 517.23 billion allocated for this fiscal.

In a nutshell

• Only four of 21 projects of national pride able to meet over 80 per cent of set target

• Bheri-Babai Diversion Multipurpose Project worst performing national pride project

• Implementation status of six projects that failed to make their progress reports available also assumed to be upsetting

• Only 104 of 303 P1 projects able to meet over 80 per cent of target set

• Ministry of Physical Infrastructure and Transport worst performing government body in terms of project implementation

Source: THT