Tunnel construction faces new hurdles

The country’s first tunnel project, the Nagdhunga-Sisnekhola Tunnel, has faced yet another delay despite being extended for the third time. Construction was stalled for nearly a month due to local obstruction, and officials say the project can only be completed on time if the contractor significantly accelerates the pace of work. Tunnel construction resumed recently, despite ongoing protests. 

Work had been halted on 17 March 2025, due to local resistance and was resumed 26 days later under police protection, according to Senior Divisional Engineer Sanjay Panthi. “Construction resumed in the presence of the Armed Police Force and District Police, but locals are still shouting slogans and staging demonstrations,” Panthi said. Given the month-long halt, it is now uncertain whether the project can be completed by the latest deadline of 23 Oct 2025. Panthi said that the delay might push the timeline back by another month, and the contractor may request an extension accordingly.

Originally, the project was scheduled to be completed by 26 April 2023. It was first delayed due to the Covid-19 pandemic and local obstructions, pushing the deadline to 27 April 2024. A second extension brought it to the current Oct 2025 target. Panthi noted that local residents have made multiple demands, including compensation for houses above the tunnel, free drinking water until the project’s completion, post-project employment, and fair land compensation. “We have already addressed the compensation issue and other legitimate demands, but new demands keep emerging. That’s why we had to resume work with police assistance,” he said.

The tunnel project was launched to ease traffic congestion on the heavily jammed Naubise-Kathmandu section of the Tribhuvan Highway. It includes a 2,688-meter main tunnel stretching from Sisnekhola in Nagdhunga Bhanjyang to Chandragiri Municipality-3 in Kathmandu district, along with 565 meters of western access road and 2,307 meters to the east. The foundation stone was laid by then-Prime Minister KP Sharma Oli on 21 Oct 2019, following an agreement signed on 23 Sept 2019, between the Roads Department and Japan’s Hazama-Ando JV.

The Rs 22bn project is being executed by Hazama-Ando JV and is funded through a Rs 16.8bn loan from Japan’s JICA. The rescue tunnel has already been completed. As part of the project, a 2.3 km paved road will be built from Tribhuvan Highway in Thankot to Basnet Chap, and another 565 meters from Sisnekhola in Dhunibesi toward Dhading. The main tunnel, stretching from Dahachowk to Sisnekhola, will be 2.688 kilometers long, 9.5 meters wide, and 18 meters high. Once operational, it will reduce the travel time between Thankot and Sisnekhola to just three minutes, saving at least 30 minutes of the usual journey and shortening the route by eight kilometers. It will make it possible to reach Naubise from Thankot in just 10 minutes.

Engineer Panthi stated that the project is now 88 percent complete, six years after construction began. Following flood damage to the Naubise road last September, traffic had to be rerouted through the partially completed tunnel.

 

Nepse surges by 28. 97 points on Thursday

The Nepal Stock Exchange (NEPSE) gained 28.97 points to close at 2,725.20 points on Thursday.

Similarly, the sensitive index surged by 6.65 points to close at 458. 47 points.

A total of 23,773,731-unit shares of 311 companies were traded for Rs 10. 79 billion.

Meanwhile, Nepal Micro Insurance Company Limited (NMIC) was the top gainer today, with its price surging by 10. 00 percent.

Likewise, 10% NIC Asia Debenture 2085/86 (NICAD85/86) was the top loser as its price fell by 4.79 percent.

At the end of the day, total market capitalization stood at Rs 4. 52 trillion.

 

Stalled bridge disrupts local trade

The short road intended to connect Karnali Province and Lumbini Province has been abandoned due to the absence of a bridge over the Bheri River, which links Surkhet in Karnali to Bhurigaun in Bardiya, Lumbini. Although the project to build the bridge began 12 years ago, no significant progress has been made, and the few pillars that were constructed now lie abandoned.

The bridge, which was supposed to connect Bhurigaun in Bardiya to Telpani in Surkhet, has not been completed or upgraded. As a result, local residents are forced to travel long distances for their daily commute. The total length of the planned road is 52 kilometers, which, if completed on time, would have been the shortest route connecting Surkhet to the Tarai. In the absence of the bridge, travelers must detour through Kohalpur to reach Bardiya.

Local producers are also facing difficulties transporting their goods to market due to the incomplete road. The project, which began in the fiscal year 2014/15, has stalled due to continued government neglect and lack of budget allocation. Although tracks have been opened from Bardiya to the Surkhet border and vice versa, the section in between remains incomplete.

The plan to build this 52-kilometer road was initiated in 2013. However, in recent years, the government has stopped allocating funds for the project. Notably, 12 kilometers of the proposed road falls within Bardiya National Park, posing additional regulatory challenges.

Locals believe that if the road were completed, it would significantly contribute to the industrial development of Surkhet, Lumbini, and other districts in Karnali. The route is considered the shortest link between the entire Karnali region and the Lumbini plains. Despite repeated petitions by local political parties to the government and visiting heads of state, the demand for the road’s construction has gone unheard.

Technical issues in the bridge’s design and an unresolved court case involving the contractor have further delayed the project. On 13 July 2012, a contract was signed with Pappu/Mall JV to complete the bridge within 43 months, by 13 Jan 2016. At the time, the estimated cost of the project was Rs 142.989m. Although two bridge pillars were placed in the Bheri River, construction was halted after a design flaw caused a bend in the middle pillar.

The contractor filed a legal case over the design issue, which remains unresolved. According to the Road Division Office in Surkhet, which oversees the project, the dispute has prevented further work on the bridge. Engineer Barkh Bahadur Kathayat from the office stated that the contract was terminated on 13 July 2022, after prolonged inactivity by the contractor. “The new contract process has not started because the case is still unresolved,” he said. “Only once the issue is settled can we proceed with a new contract for the bridge.”

Watermelons boosts local economy

With the onset of summer, watermelons have begun appearing in fruit shops across the market. As demand rises, farmers are busy harvesting melons planted along the banks of the Mechi River, which flows through the Nepal-India border. In Bhadrapur Municipality-3 farmers have successfully cultivated watermelons weighing between two to 10 kg after three months of dedicated work.

Manoj Kumar Rai, a resident of Bhadrapur-3, has been growing melons in the sandy soil of the Mechi River for the past 5–6 years. This season, he planted around 9,000 seedlings across approximately six bighas of land. Despite struggling to secure investment last season due to unfavorable weather, he is now optimistic. “This year’s production is better than expected,” said Rai. “There should be over 18 tons of melons in the field, with individual melons weighing between four to eight kilograms.” He added that the Bhadrapur Municipality has provided a subsidy of Rs 40,000 to first-time melon cultivators, which has eased the financial burden.

Another farmer, Anay Rajbanshi, has been cultivating melons on 30 kattas of land. “Last year, I made Rs 180,000 after expenses,” he said. “This season too looks promising in terms of production and income.” Rajbanshi appreciated the municipality’s support, saying it has encouraged farmers who previously relied solely on their own investment. A group of young farmers has collectively cultivated melons across eight to 10 bighas. “At a time when many youths are going abroad for work, melon farming has shown us we can build a future here as well,” said one of the youths. “With hard work, success is possible not just in soil, but even in sand.” He urged the municipality to continue supporting the program, which has provided subsidies for the first time.

Melons grown on the Mechi Riverbanks are being transported to Jhapa, other eastern districts, and even to cities like Lahan, Kathmandu, and Pokhara. Traders now arrive at the riverbank with vehicles to buy directly from farmers, offering Rs 28 per kilogram. Under its melon farming promotion program, Bhadrapur Municipality has provided Rs 40,000 each to 12 farmers. Suman Bimli from the municipality’s agriculture department said the initiative was introduced this year to support local farmers.

Mayor Ganesh Pokharel stated that subsidies were provided to those cultivating melons on at least 30 kattas of land. “This year’s harvest is impressive, and the municipality will continue this program,” he said. Pokharel added that Mechi melons have even reached five-star hotels in Kathmandu and Pokhara, highlighting the potential of local produce.