Officials of the Upper Tamakoshi Hydropower Limited have agreed to form a taskforce within a week to study and recommend ways to address the demand of workers within 30 days.
The agitating workers of the Chinese contractor withdrew their strike after meetings with UTHL's officials on Tuesday and Wednesday. The UTHL's team was led by Sher Singh Bhat.
Talking to Republica, Sonam Dorje Sherpa, leader of the agitating workers the Chinese contractor, confirmed that they have agreed to resume works from Thursday.
But the agreement with the workers of the contractor company is likely to set a wrong precedent. Khadga Bahadur Bisht, president of Independent Power Producers' Association, Nepal, said any such decision taken without taking into account possible consequences would also jeopardize other mega projects.
Around 60 percent of the Nepali workers of the total 850 workers hired by the contractor were agitating till Wednesday, while locals of the project area were obstructing vehicles carrying construction materials demanding more shares.
It is believed that six percent share distribution at face value of Rs 100 to the locals of Sindupalchowk in December by Bhotekoshi Power Company must have encouraged the Nepali workers of the Chinese contractor to demand shares of Tamakoshi project.
Talking to Republica last week, Chief Secretary Leela Mani Paudyal said the current row over share distribution is a result of a wrong practice that started with share allotment to lender and developing companies and their employees.
Amid protest by workers of the contractor company and the locals, UTHL had postponed share distribution to the project affected people and other locals of Dolakha last week. UTHL has allotted 10 percent shares worth Rs 35 billion to the local people.
Bisht said share distribution will make the project-affected locals richer but halt development of the district and local areas. "I would rather suggest that shares be allotted to District Development Committee that is responsible for carrying out development works. This would have helped lift the living standards of the local people," added Bisht.
Obstructions in Tamakoshi, which is being built by mobilizing internal funding under PPP model has cast uncertainty over the future of the project. The 456 megawatts project is expected to significantly reduce load shedding hours by increasing the country's total power generation capacity to about 1,100 MW by April 2017.
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