KATHMANDU: The Department of Roads has started action to cancel 50 road and bridge contracts that have been left incomplete for years.
These projects were signed long ago, but the contractors did not begin or finish the work.
The contracts fall under the Pushpalal (Mid-Hill) Highway and the Federal Road Supervision and Monitoring Offices in Kathmandu, Itahari, Janakpur, Pokhara, and Surkhet. Division offices under these areas have already started the cancellation process.
On Friday, 17 contracts were taken up for termination, and one more on Saturday. The Janakpur office leads with 21 such projects, followed by Kathmandu with 7, Okhaldhunga and Achham with 5 each, Palpa and Damauli with 4 each, and Dhankuta, Pokhara, Mid-Hill, and Gorkha with one each.
Public notices have been issued asking contractors to explain why their contracts should not be canceled.
Minister Kulman Ghising has directed all related agencies to take strict action against contractors who take projects but do not work. At present, 258 road contracts are listed as non-performing across the country.
Officials said that many contractors extended deadlines multiple times but still failed to complete their work. Most sites have remained abandoned for a long time, showing clear violation of contract terms.
The department has asked the contractors to appear within 15 days with a new work plan and a clear commitment to finish the job.
If they fail to respond, their contracts will be canceled under public procurement rules. The companies will be blacklisted, their deposits and advance payments will be seized, and the government will recover extra costs and interest from them.
