Kathmandu, April 29

The government has directed the Investment Board Nepal (IBN) to prepare the detailed feasibility study (DFS) of the metro rail project on the Nagdhunga-Kalanki-Koteshwor-Dhulikhel section (Route Number 2), on Saturday.

The IBN's 30th meeting held under the leadership of Prime Minister KP Sharma Oli, who is also the chairman of IBN, mandated the IBN to conduct DFS for the proposed Route Number 2 of the Kathmandu Valley Metro Rail Project. The meeting also approved the guidelines related to the expression of interest (EoI) to move ahead with the project.

“We are going to publish a global tender calling on interested parties to submit EoI for Route Number 2 of the metro rail project within the next 10 days,” said Uttam Bhakta Wagle, spokesperson for IBN. “IBN has already prepared a template of the metro rail project and the meeting passed it and directed us to move ahead.”

The shortlisted company will be given a deadline of 15 months to complete the detailed feasibility study. “We will select an experienced and technically and economically viable company to prepare the feasibility report of the project,” said Wagle.

Route Number 2 of the metro rail project comprises Nagdhunga-Kalanki-Koteshwor areas of Kathmandu Valley and Dhulikhel of Kavre district and will be 54 kilometres long. The preliminary study of the project was jointly prepared by the Department of Railways and Japan International Cooperation Agency (JICA).

The proposed Route Number 1 of the Kathmandu Valley Metro Rail Project comprises the Budhanilkantha-Satdobato-Khokana sector.

“The DFS will suggest the investment and engineering model of the project and the detailed project report (DPR) will spell out the actual cost and time that will be required to build the project,” Wagle informed. IBN believes that the metro rail will sharply reduce the increasing problems of traffic congestion and pollution in the Valley.

Furthermore, the IBN meeting also extended financial closure deadline for Satluj Jal Vidyut Nigam Ltd (SJVNL) of India that is going to develop the Arun-III hydropower project by six months following the expiry of the previous deadline in March. The 900-megawatt run-of-the-river hydropower project is located in Sankhuwasabha district. The 29th meeting of the IBN had given the IBN the authority to award generation licence for the Arun-III hydroelectric project to Satluj Jal Vidyut Nigam Ltd on March 9.

Moreover, meeting also approved the documents related to the EoI to establish a glass manufacturing factory, Se-Foksundo Luxury Resort, Integrated Agriculture Programme, ski resort and an integrated health, education and sports city, which will be built through the government's resources. Likewise, the IBN meeting also gave approval to conduct a study on Birethati-Muktinath cable car project.

The 30th IBN meeting also approved its budget for the next fiscal year 2018-19.