Four different companies have come up with formal intent for the construction of structures, including dam in Tanahun hydropower project. Four companies, including a consortium of Nepali entity have submitted quotations for the construction of different structures in the 150-MW Tanahun Hydropower Project.

The companies submitted technical and financial proposals within July 7 – the deadline set by the project’s promoter Tanahun Hydropower Limited. The technical and financial proposal was solicited from interested companies in line with the Procurement Directives of the Asian Development Bank.

China Gejuwa Group Company Limited, China, Xino Hydro Corporation Limited, China, China National Electric Engineering Corporation Limited and Xong Da Corporation Vietnam Kalika Construction Nepal JV have submitted proposals for the same. Pradeep Kumar Thike, managing director of Tanahun Hydropower Limited, informed that the financial proposal of effective companies would only be opened following the assessment of technical proposals.

The evaluation of the technical proposals will be carried out by August-end and will be sent to ADB for consent and the financial proposal will be opened after ADB consent. As per the schedule, contract signing will be done within October 31 and contractors will be mobilized in the project site within mid-December. Tanahun Hydro on April 25 had re-solicited bids from international companies following termination of contract with Italian Company CMC for the construction of structures in the project.

The bidder in the first package is required to construct a 140-metre high concrete dam, two diversion tunnels and makeshift dams in the project site. However, Chinese Company Xino Hydro Corporation Ltd has already initiated works under the second package including construction of project tunnel, power house, supply of hydro mechanical and electro-mechanical equipments and installation and operation.

The Company now is constructing structures such as project site office building and staff quarter in addition to survey and design of project entrance gate and other infrastructures. Likewise, under the third package, contract signing has been done with Indian Company, KEC, for the construction of double circuit transmission line with 220 –KV capacity from Damauli to Bharatpur.

Total cost of the project is 505 million US Dollars. Loan agreement between donor agencies and Nepal government as well as auxiliary loan agreements between Nepal government and Nepal Electricity Authority (NEA) and NEA and the Company have already been signed. The project is aimed to complete its total construction by June-end of 2081.