A single bench of Chief Justice Khil Raj Regmi also decided to hold discussions with the petitioner and the defendants regarding the issue on January 15. [break]
Challenging the government´s decision, advocate Lokanath Chapagain on Monday had moved the apex court arguing that the government´s decision is against the existing Public Procurement Act. The petitioner had urged the SC to scrap the government´s decision.
The petitioner has claimed that the project upgradation would add unnecessary financial burden on the Nepal Electricity Authority (NEA) and delay the project by three more years.
The run-of-the-river project is being developed by a Chinese contractor China Gezhouba group Co with US$ 89 million soft loan from the Exim Bank of China. The project will not help reduce load-shedding during the dry season and generate additional power only during the rainy season.
Though, the contractor had initially agreed to develop the 90 MW for US$ 111 million, the government has agreed to spend US$ 132 million. The government had awarded the project to the Chinese contractor to develop the 60 MW at the cost of US$ 89 million.
Prime Minister Baburam Bhattarai, the prime minister´s office, Ministry of Energy, Nepal Electricity Authority and China Gezhouba group Co, among others, have been made defendants in the writ petition.
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