Jadulla Hydropower Contract Dispute Reaches Public Accounts Committee
The 106 MW Jadulla Hydropower Project in Dolpa has become a matter of parliamentary scrutiny as allegations of fake documentation and irregularities in the contract process have reached Nepal’s Public Accounts Committee.
Contract Controversy at Jadulla Hydropower Project Sparks Parliamentary Review
The proposed 106 MW Jadulla Hydropower Project in Nepal’s Dolpa district has drawn national attention after a contract-related dispute surfaced during a meeting of the Public Accounts Committee (PAC) of the House of Representatives. The controversy involves alleged irregularities in the bidding process and the submission of forged documents by a joint venture bidder involving Chinese firm Jiangxi Construction Engineering Group Corporation (JCE) and Nepal’s NK Construction.
PAC Holds High-Level Discussion
During a PAC meeting on Wednesday, concerns were raised over the bidding anomalies. Despite the committee summoning officials from the Ministry of Energy, Public Procurement Monitoring Office, and Jadulla Hydropower Ltd., many lawmakers argued that the matter—already under judicial consideration—should not be discussed in the committee.
Consequently, PAC Chair Rishikesh Pokharel announced that the committee would not move forward with deliberations, citing that the case is sub judice in court and therefore outside the scope of parliamentary intervention.
Legal Complaints and Accusations of Forgery
Several legal petitions have been filed, including one by CIU Infrastructure Ltd. and High Himalaya Hydro Construction at Patan High Court. Another major petition filed at the Supreme Court by lawyer Santosh Acharya targets multiple entities including the Ministry of Energy and Jadulla Hydropower Ltd., accusing the Chinese-Nepali JV of submitting fraudulent documents to win the contract.
Procurement Process and Tender Concerns
Jadulla Hydropower CEO Sanjay Sapkota clarified that out of four bidders, only two were technically qualified. A global tender was launched on Jestha 20, 2080 BS, and while questions were raised about forged submissions, internal verification was initiated. However, the Public Procurement Office stated it is not a fact-finding agency, deferring the investigation to CIAA and CIB.
Ownership and Project Status
The Jadulla project is partially funded by state institutions:
26% – Electricity Generation Company Ltd.
10% – Hydroelectricity Investment and Development Company Ltd.
9% – Nepal Electricity Authority
5% – Karnali Province Government
1% each – Jagdulla and Mudkechula Rural Municipalities
Remaining 49% will be offered to the public through an IPO.
The semi-reservoir project was granted generation approval in Poush 2080 BS, with a timeline to commence construction within a year and complete financial closure within two years.