Kathmandu, May 25:

The fate of the Melamchi project remained undecided today too, with speakers at a programme differing on whether the water distribution system of the Kathmandu valley should be handed over to the Severn Trent Water International.

A leader of the NC-D leader and member of Parliamentary Finance Committee Dr Prakash Sharan Mahat today admitted that there are flaws in the contract prepared to facilitate the handover the valley’s water distribution system to the Severn Trent.

Once the Kathmandu Upatyaka Khanepani Ltd, a government body, and the Severn Trent sign the contract, the onus of managing the water distribution will be on the Severn Trent.

“Among others, the clauses on termination and compensation are objectionable. Still we can go ahead with the contract after making amendments,” he said at an interaction on the management contract.

Mahat, also a former minister for foreign affairs, said that the government cannot sit on the contract “just because we do not accept clauses on compensation.” “It is the duty of the state to seek support from the Asian Development Bank and find alternatives for the project.”

“You cannot abort the Melamchi project by pointing fingers at the Severn Trent,” he said. He urged the parties to convince the ADB to execute the project.

Prem Suwal, a central committee member of the Nepal Workers’ and Peasants’ Party and former mayor of the Bhaktapur municipality, said, “It will be a historic mistake if the ADB manages to make the government hand over the water distribution system to the Severn Trent.”

“On one hand, we are all working hard to establish a federal system of governance. On the other, we are investing excessively on one infrastructure,” he said. “The money the Kathmandu Valley is going to get to execute the project should be used to open five world class universities in five development regions.”

A former mayor of the Kathmandu Metropolitan City, Keshav Sthapit, said that the contract should not be signed because, though late, we have come to know that it is faulty. “You cannot let your daughter get married to an AIDS victim, when you come to know your prospective son-in-law’s health status,” he said.

An NC leader Tirtha Ram Dangol said the “marriage” should take place even if the “bridegroom” has AIDS because everything has been prepared, indicating that there is no alternative to signing the contract.

The NC leader said he was not much interested in the entire topic, but attended the programme because the Prime Minister’s Office ordered him to be there and put forth the party’s stance on the matter.

Ratna Sansar Shrestha, an expert on water resources, presented a paper on technical mistakes and loopholes in the contract.