Obstruction in Arun III project continues for 12 days

By Dhyan Kulung, Sankhuwasabha, Sept. 14: It has been 12 days since the construction work of the powerhouse of the 900-MW Arun III Hydropower Project being developed in Sankhuwasabha district has been stopped. 

It has caused a loss of Rs. 50 million a day to the country. Meanwhile, there has not been any effort to resume the work at the site. 

According to the Project Development Agreement (PDA) signed by the Investment Board Nepal (IBN) with the developer company Sutlej Jalvidyut Nigam of India, the Government of Nepal should pay compensation of Rs. 50 million per day if the work at the project site is stopped due to the obstruction of the locals. 

Citing this clause, the developer has already written to the government after the locals began obstructing the construction work. 

The company said that it would claim compensation from the government on the basis of that letter. 

The locals had agitated against the project in the past as well and obstructed the construction putting forward the same demand. 

The current 12-day closure of work has caused more than Rs. 600 million in damage to the country. According to the experts, payment to the developer could be made while the developer company pays royalties to Nepal. It could deduct the compensation money while settling the royalties. 

Stakeholders said that even though the construction work of the project has been stopped for such a long period, the concerned agencies have not shown any interest. 

Chairman of Chichila Rural Municipality, Pasang Nurbu Sherpa said that although the victims protested after announcing the date in advance, the IBN did not show any interest in holding dialogue with them. 

Assistant Chief District Officer of Sankhuwasabha, Mohan Mani Ghimire, informed that apart from the circular issued by the IBN on September 1, requesting not to obstruct the construction work as the process for the distribution of compensation had begun. 

Ghimire said that since the entire process of setting the compensation rate has been completed and sent from the district to the government, nothing could be done until the instructions and decisions come from the higher authority.

The entrance to the powerhouse of the project under construction in Sankhuwasabha has been closed indefinitely. Locals closed the road from Saturday last week stating that the landowners did not get the compensation for their land that was along the access road. 

People are yet to get compensation for about 454 ropanis of land from Chhyangkuti to Kerabari along the access road for the Arun III. 

Locals have been agitating for the past seven years demanding compensation. Compensation was distributed about 35 years ago in 1989 when the country was set to develop the same project with the financial support from the World Bank. 

But the project shelved due to over-politicisation. When the record of the compensation was reviewed in 2009, the right of way was set 30 meters but the project-affected people received the compensation for only 15 metres. 

Apart from that, the alignment of the road was changed in many places and the road was widened even through the land of people who did not get compensation.

To resolve this compensation dispute, the Cabinet had formed a study committee under the coordination of Mohanmani Ghimire. The committee had concluded that compensation should be given for 454 ropanis of land. This conclusion was endorsed by the Cabinet. 

Following it, a meeting led by compensation determination committee coordinator and Chief District Officer Shiva Kumar Karki in May this year had set the compensation rate Rs. 1.175 million per ropani of land. 

But the affected people have not received the money. They said that they would not end the obstruction until the compensation amount is deposited in the account of the District Administration Office.