KATHMANDU, Nov 18: The Department of Urban Development and Building Construction (DUDBC) has initiated the process to cancel contracts of 42 stalled projects due to contractor negligence and other reasons.
According to the DUDBC, eight project offices have already issued public notices asking, “Why shouldn’t the contract be terminated?” for 37 projects, while the process of termination for the remaining projects is underway. Project offices in Chitwan, Kaski, Dhading, Kailali and Ramechhap have issued notices once, and Rupandehi twice. By regulation, a public notice must be issued first, giving contractors 15 days to respond before termination proceedings begin.
The DUDBC’s Morang project office, Special Building Construction Coordination Office and the Central Level Project Implementation Unit have started cancelling contracts based on feasibility and mutual understanding with contractors. The Central Level Project Implementation Unit plans to cancel the contract for the Radio Nepal building in Singha Durbar. Contracts for Hiranya Varna Mahavihar in Lalitpur, the Minister Quarters Compound, and three blocks of the old Minister Quarters in Pulchowk are also being processed for termination.
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Other buildings under contract cancellation include Sundhara Central Jail, Eastern Rukum Assembly Hall, urban corridor offices in Ghorahi, Lamahi, and Tulsipur, and the Provincial Public Health Office in Pokhara. The DUDBC is also moving to cancel the contract for the Punyamata Corridor building in Banepa, Kavre.
DUDBC officials said contractors often take projects but fail to complete work, act negligently, extend deadlines repeatedly, or submit unprepared plans.
Director General Rabindra Bohara said, “We have started the process of cancelling long-stalled contracts. This sends a positive message to construction professionals that work must be completed on time. It also motivates project staff and instills public confidence that projects will be finished as scheduled.”
Earlier, the Department of Roads (DoR) had cancelled dozens of stalled contracts. Under the direction of Urban Development Minister Kulman Ghising, the DUDBC has now begun a similar process.
DG Bohara, who assumed office recently, said he plans to move ahead with speed. The DUDBC has instructed its nationwide project offices to prepare details on stalled contracts and ensure ongoing projects are completed promptly.
