The government has expedited the process of extending compensation to locals who will be displaced by 1,200MW Budhigandaki Hydroelectric Project, as the current fiscal is drawing to an end. 

District Administration Offices (DAOs) of Dhading and Gorkha are preparing to extend Rs1.6 billion in compensation to landowners who will relinquish land for the development of Budhigandaki Hydroelectric Project within a week. 

DAO Dhading is preparing to distribute Rs1 billion within a week, whereas the DAO Gorkha is planning to extend Rs600 million in the same period. Both the districts had received Rs2.5 billion each from the Finance Ministry around four months ago for the purpose of compensation distribution.

Despite a sluggish start, both the offices have now expressed commitment to complete distribution of the allotted amount by the end of this fiscal year in mid-July.

In the first phase, DAO Dhading is handing over compensation to landowners of Salang, Maidi and Khari. 

It has already distributed around Rs40 million to landowners after they transferred land parcels to the project.  “Within a week, we will distribute additional Rs1 billion to the affected locals residing in three places of the district,” said Umesh Kumar Dhakal, chief district officer of DAO Dhading. “We are informed that Land Revenue and Survey offices of the district are about to complete verification of land parcels worth Rs1 billion.”

Human resource shortage at Land Revenue and Survey offices in the district, according to Dhakal, has been a major reason for the delay in distribution of the compensation. “But they are committed to expedite the verification process so that we could distribute the allotted amount within this fiscal year,” Dhakal added. 

Meanwhile, DAO Dhading has already distributed Rs600 million to the project-affected locals and is preparing to distribute additional Rs600 million within a week. 

In the first phase, locals of Ghyalchowk, Bhulmi and Darbung in the district will get the compensation. DAO Dhading, according Jitendra Basnet, its chief district officer, will soon issue a public notice to distribute compensation in other parts of the district. 

The compensation distribution committees of the two districts have fixed the compensation rate at Rs524,000 to Rs835,000 for every ropani of land.

The land to be acquired by the project have been classified into five categories - paddy field, small farmland, land in market area, land adjoining a road and land near human settlements. Paddy fields and small farmlands have been further classified into four grades, with the first grade commanding the highest compensation amount. On top of the compensation fixed by the committee, it is offering 15 percent extra to those who own less than 5 ropanis of land, and 10 percent extra to those who own less than 10 ropanis of land.

The latest project development committee report puts the number of the affected households at more than 8,000. 

The reservoir of the storage project will submerge 3,560 houses and the occupants will need to be resettled with proper compensation. Likewise, 4,557 households will be partially affected by the project and need appropriate compensation.