Hetauda, March 29: Prime Minister Pushpa Kamal Dahal ‘Prachanda’ claimed that country’s economy was not crisis-ridden like last year.
Addressing the 25th annual general assembly of the Federation of Contractors’ Association of Nepal (FCAN) in Hetauda today, PM Dahal asserted that there had been a positive improvement in the economic indicators.
He, however, said the national economy was not completely free from stressors and called for an intensive discussion for that.
Stating that preparations were afoot to incorporate all sectors in the upcoming policies, programmes and budget, Dahal shared that the government was effortful to clear the outstanding payment of the construction contractors.
On the occasion, PM Dahal honoured construction contractors Dhruba Karki and Roshan Shrestha for their notable delivery in the construction sector.
Similarly, parliamentary Infrastructure Development Committee’s President Deepak Bahadur Singh demanded clearance of over Rs 60 billion of outstanding amount to contractors, amending the Public Procurement Regulations to prevent brain drain of youths engaged in construction sector and completing compensation distribution among others works prior to calling tender.
Likewise, Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Chairperson Chandra Prasad Dhakal viewed that development works were adversely impeded due to country’s fragile economic and industrial situation and thus urged the PM to resolve the problems facing the construction contractors.
He observed, “The government should understand that infrastructure development and development are the most important aspect for development of country. The projects could be delayed if there is delay in payment to the contractors. The contractors have not been able to pay bank’s installment of banks, labourers’ wages and large amount of taxes. They are in trouble.”
Likewise, FCAN President Ravi Singh requested the government to be serious towards their problems.
In attendance in the programme were altogether 1,800 construction contractors from all 77 districts.
Additional liability added to State due to lack of quality work: PM Dahal
Prime Minister Pushpa Kamal Dahal ‘Prachanda’ said that additional liability was incurred on the State in lack of delivery of quality works in line with the agreement.
Addressing the 25th general assembly of the Federation of Contractors’ Association of Nepal (FCAN), PM Dahal viewed that many projects were not completely on time since the construction entrepreneurs failed to deliver as per the agreement.
Stating that the government was serious about hardships and difficulties facing the construction contractors due to limitations and weakness of the State, Dahal reiterated, “Serious problems such as lack of quality works, projects not completing on time and extension of construction period among others had added to the liabilities of the State.”
According to him, he had instructed the Ministry of Finance, National Planning Commission and related ministries to work in the ways of making sure that projects of strategic importance are not left in limbo and vicious cycle of adding unnecessary projects, adding liabilities to the State and not delivering quality outcomes are cracked down.
The Head of the Government furthermore assured that the government was positive about terminating the projects falling under the State’s responsibilities and not having assurance of resources on the basis of consensus following the 13th amendment of the Public Procurement Regulations.
Dahal pledged that the incumbent government would take necessary decisions to address the problems of some projects that were not timely completed due to structural weakness on the part of the State and inability to make payments on time.
From the infrastructure development perspective, he admitted that some of acts and laws appeared to be a hindrance. Hence, he vowed to make laws development-friendly and take environment protection into consideration.
“Process to amend important laws including Forest Act has been initiated. This would create an enabling environment for the construction sector to conveniently provide riverbed materials and mineral based materials.”
