Money
National Pride Projects’ progress dismal: Report
Despite the government according high priority to ‘National Pride Projects’, the expenditure in such projects has been extremely poor.Only 12.13 percent of the budget has been spent in these projects in the first half of current fiscal, shows the half-yearly review of the budget. Of the Rs 21.50 billion allocated for the 21 ‘National Pride Projects,’ only Rs 2.82 billion has been spent during the review period.
The poor performance of ‘National Pride Projects’ has also hit the government’s overall expenditure as only 30 percent of total budget spent in the first half.
The projects’ poor performances can be gauged by the expenditures in three projects—Bhairahawa Regional International Airport, Second International Airport and West Seti Hydropower Project is nill.
Likewise, spending in two projects—Bheri-Babai Diversion Multipurpose Project and Kathmandu Terai Fast Track—is less than one percent, according to mid-term review by the Finance Ministry.
Among the ‘National Pride Projects’, Budhi Gandaki Hydropower Project with 62.27 percent has the highest expenditure followed by Pashupati Area Development Fund with 59 percent. Finance Minister Ram Sharan Mahat said that the tendency of allocating huge amount without adequate preparation such as issue of land acquisition has resulted in poor expenditure pattern in the priority projects.
The report says that the national priority projects were selected without any solid basis. “The numbers of such projects increased while choosing randomly. The national pride projects have now become projects just to occupy huge resources without poor implementation,” states the report.
There has not been a feasibility study on some of the projects while some others are not being implemented properly. “For example, feasibility of West Seti Hydropower Project has not taken place yet. No work has begun in the case of Second International Airport and Pokhara International Airport. Kathmandu-Tarai Fast Track has not seen any additional work except for the track opening,” says the report. Mid Hill Highway has spent 17.12 percent of the budget during the review period, the report says. Only 1.5km of track has been opened, with the gravelling of 1km being completed in the western sector of the 1,108 km long highway. From the eastern section, only 4km road has been gravelled with 8km being black-topped. Same is the story of Kathmandu-Tarai Fast Track highway. Of the total Rs 500 million allocated for the project, only Rs 3.9 million has been spent. As none of the prospective developers submitted expression of interest, the future of this much-hyped project is uncertain. In the East-West Postal Highway, only Rs 153 million out of allocated budget of Rs 2.21 billion has been spent. Two bridges have been constructed so far out of target of constructing 20 bridges.
In Melamchi Drinking Water Project, the government has awarded a tender to a new contractor for tunnel with the mobilisation of funds for a water treatment plant. However, despite awarding the contract, all the equipment for tunnel digging has not yet reached the project site although tunnel-digging work at Sundarijal outlet has started. Similarly, land acquisition and delivery of construction materials have emerged as the major problems in Sikta Irrigation Project. “The amount equal to the estimated cost has already been spent and deadline has expired,” states the report. “But it remains uncertain as to when the farmers’ land will be irrigated and how much additional amount will be needed to complete the project.” The Banke-based project is expected to 42,766 hectares of land once it is completed.
Babai Irrgation Project is another project with poor performance. Only Rs 17.6 million has been spent against the total budget of Rs 451 million. The project was initiated in the fiscal year 1989 with an objective of irrigating 36,000 hectares of land.
Amongst the irrigation projects, Ranijamara Kulariya Irrigation Project has relatively good progress with 33 percent expenditure. A total of Rs 1.25 billion has been allocated for this project this year. According to the report, 85 percent of works on intake construction has been completed during the review period.