Kathmandu, February 19
Tanahu hydropower Limited has also terminated its contract with Italian contractors CMC, a few days after the Melamchi Drinking Water project scrapped its agreement with the firm.
The hydropower’s board sent a letter of termination to CMC on Tuesday. According to the hydropower’s Managing Director Pradip Kumar Thike, CMC was given 28 days time to resume the project, however, after CMC officials didn’t return to the complete the project, the board has decided to terminate CMC’s contract. “We will now choose a new company through a new process,” added Thike.
Thike also promised that the hydropower will seize CMC’s performance bond worth Rs 1.97 billion.
The government had signed a Rs 20 billion contract with the company to carry out preliminary structural works of the project.
