Kathmandu, November 13: Nepal has cancelled the Budhi Gandaki hydropower project with the Chinese firm over irregularities and lack of transparency. A meeting of the cabinet decided to scrap the agreement for the Budhi Gandaki hydropower project with Gezhouba Group on the directive of several parliamentary committees.
Deputy Prime Minsiter of Nepal Kamal Thapa said in a tweet that the agreement signed recklessly and shadily with Chinese group was scrapped following the directives of various parliamentary committees.
Budhi Gandaki Hydropower Project is a storage type project located in Central/ Western Development region on the Budhi Gandaki River of Nepal. This project was identified during the Gandaki Basin Study in late 70's. In 1984, a prefeasibility study of the project was prepared. The ongoing Feasibility study of the Project has recommended 1200 MW capacity plant with FSL 540 masl.
The project was granted to the Gezhouba Water & Power (Group) Co Ltd (CGGC) company one and half year ago by the Former Prime Minister Pushpa Kamal Dahal's government