The issues seen in the Melamchi Water Supply Project have been resolved following an agreement reached late Tuesday at the Ministry of Energy, Water Resources, and Irrigation. The agreement has addressed the problems related to the diversion of water in the project.
According to the agreement, the demands raised from time to time by various concerned parties — including local governments in affected areas, local social upliftment program committees, flood victims’ struggle committees, local vendors, and tenants — will be addressed.
The agreement mentions that due to technical complexities in the capital expenditure release process from the Ministry of Finance after the issuance of the Melamchi Water Supply Development Committee Formation Order, 2079, no budget had been released since fiscal year 2079/80. To resolve this, a draft based on the written consent received from the local governments will be prepared and submitted to the concerned authority for necessary amendment.
For this purpose, factual information will be collected through the District Disaster Management Committee chaired by the Chief District Officer of Sindhupalchok. A request will be made to the Ministry of Home Affairs to proceed with the process for relief and compensation. The committee will include three representatives from both the Melamchi Water Supply Development Committee and the affected local stakeholders, and the work is to be completed within three months.
A study will also be conducted on the loss of life and property, the impact on industries, businesses, agricultural farms, and daily livelihoods in areas affected by floods over different periods. The outstanding payments to local vendors, which have not yet been released by the Ministry of Finance, will be disbursed within 15 days as per the previous decision.
Regarding the determination of water supply allocation from the project, it has been agreed that, based on the reports of previously formed committees, the proposal will be coordinated with the National Natural Resources and Fiscal Commission and the Ministry of Law, Justice, and Parliamentary Affairs, and submitted to the Council of Ministers within 45 days.
Similarly, out of the allocated budget for the construction of the Melamchi–Ambathan–Melamchi Ghyang Road, Rs. 250 million has already been transferred to the Department of Roads, and the contract process will now move forward. The road will be implemented as a multi-year contract project with a total budget of Rs. 1 billion, and the Division Road Office, Dolakha, will initiate the tender process immediately.
For the Local Social Upliftment Program Committees, a request will be made to the Ministry of Finance to release Rs. 40 million already allocated and an additional Rs. 190 million. Likewise, the Melamchi–Helambu Integrated Development Corridor Program will be proposed for the next fiscal year.
With this agreement, the problems seen in the Melamchi Water Supply Project have been resolved for the time being.
The agreement was signed by Secretary of the Ministry of Water Supply Pramila Devi Shakya Bajracharya and Secretary of the Ministry of Physical Infrastructure and Transport Keshav Kumar Sharma. Representatives of local residents and stakeholder groups, as well as Executive Director of the Melamchi Water Supply Development Committee, Jagarnath Das, also signed the agreement.
The agreement was reached in the presence of Minister for Urban Development, Energy, Water Resources, and Irrigation, and Minister for Physical Infrastructure and Transport, Kulman Ghising.