The 40-megawatt Rahughat Hydropower Project, promoted by Raghuganga Hydropower, a subsidiary company of Nepal Electricity Authority, has reached its final stage of construction.

The civil contract of Rahughat, which has achieved ninety percent physical progress, has its third extended deadline until November 27, 2025. Raj Bista, Project Manager of Raghuganga Hydropower, stated that the construction of tunnels, dam, and powerhouse structures has reached the final stage and the installation of equipment in the powerhouse has begun.

He further stated that the contractor continued the construction by deploying more than 500 workers even during the Dashain festival.

The Indian civil contractor company, Jayprakash Associates (JP), had signed a contract on November 17, 2017 (Mangsir 6, 2074) valued at Rs 8 billion with the target to complete the work in 45 months. The first extension was granted in February 2022 and the second extension in February 2022, both of which expired on June 27.

The delay in project construction is due to natural disasters like the COVID-19 pandemic, floods, landslides, and the shortage of river-based construction materials. India Heavy Electricals Limited (BHEL), which signed the electromechanical contract in November 2019 for USD 1,293,022.35, has also been unable to complete the import and installation of power house equipment as planned. The contract with BHEL is valid until December 31 of this year.