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NEA Terminates the Substation Contract with Chinese Company

The Nepal Electricity Authority (NEA) has terminated the contract with Central China Power Grid (CCPG), reports OnlineKhabar.

The contract was given for the construction of a substation in Dhalkebar of Dhanusha district and was terminated after the company failed to accelerate the construction. NEA had reminded the company that the contract may be terminated if the company fails to meet the expectations.

Along with the contract, NEA has also taken back Rs 300 million deposit from the contractor.

CCPG had halted construction works many times at Dhalkebar demanding contracts for construction of two new substations.

The project chief Radhe Sharan Mahat said, “We could not make any agreement except what we had agreed earlier as they could be against national interests. Instead, we chose to terminate the contract as the company disobeyed us.”

The project has finished 90% of the work but it is yet to be completed even though it was to be completed two years ago.


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