Parliamentary committee directs govt to resolve concerns of construction entrepreneurs

KATHMANDU, May 22: The Infrastructure Development Committee under the House of Representatives has directed the government to resolve the issues of construction entrepreneurs.

In today's committee meeting, Committee President Ashish Gajurel urged the government to provide timely payments to construction entrepreneurs.

President Gajurel said, "As halting construction work affects the country's development process, let us resolve existing problems and collaborate and coordinate in nation-building."

In the meeting, MP Dr. Md. Firdosh Alam emphasised that payments should be made to construction contractors on time.

MP Bedh Narayan Shrestha highlighted the need to increase investment in domestic raw material production and expressed the view that contracts should be completed on time. He mentioned that delays in completing work on time have led to the state having to bear compensation for inflation.

MP Jaypati Rokaya said that the government should be serious about creating a working environment for construction entrepreneurs. He complained that although the Chinese government has already built a border-connecting bridge in the Hilsa area, the Nepal Government has not yet progressed with the handover process.

Rokaya stated that the Chinese government has also shown interest regarding the construction of the Hilsa–Simkot road, and the government needs to coordinate in this matter.

MP Sunil K.C. stated that accidents are increasing due to the delay in road construction and expressed the view that contractors should work responsibly. He emphasized that there should be effective monitoring by the government and proper utilisation of available means and resources.

MP Raju Pandey stressed the need to create a business-friendly environment and stated that construction entrepreneurs should carry out quality work.

MP Nisha Dangi highlighted that development projects could not be completed on time and emphasised the need for policy reforms to create an easier working environment for contractors.

Secretary at the Ministry of Infrastructure Development, Gopal Sigdel, stated that the ministry is ready to ease the current difficult situation, noting that the prices of construction materials have risen along with the increase in diesel prices.

In the meeting, Nicholas Pandey, President of the Federation Contractors' Associations of Nepal (FCAN), said that the construction sector has fallen into crisis due to excessive and unexpected price increases.

He requested the government to implement the provisions made for price adjustment in accordance with the Public Procurement Act and regulations.

Pandey complained that although there is a legal provision for price adjustment when the cost of construction materials fluctuates by more than 10 percent compared to the previous rates, it has not been implemented in practice.

Stating that the cost of construction projects has increased due to the continuous rise in fuel and construction material prices caused by the Gen Z movement, elections and the Middle East conflict, he demanded that provisions for deadline extensions should be made as needed.