KATHMANDU, JAN 20 - The follow-up meeting between officials of the Nepal Electricity Authority (NEA) and Impreglio SpA, the Italian contractor that built Kali Gandaki A hydel project, concluded inconclusively today.
The meeting ended without any headway because the NEA internal committee formed under the convenorship of Lekhman Singh Bhandari, director general at the Department of Electricity Development (DED), did not have the authority to make decisions, a highly placed NEA source said. The meeting will convene again next week.
According to the source, the SpA officials have asked NEA to pay US $ 10 million. "The contractors have not budged and they are sticking to their demands," the source said, without elaboration.
However, NEA’s position is that it does not owe any money to the contractor, and that SpA is required to pay $ 3 million to it.
The controversy is deepening on the eve of the formal inauguration of the country’s largest hydel project, which has the capacity to generate 144 mega watts of electricity. King Gyanendra is scheduled to formally inaugurate the project coming Thursday, Jan. 22.Posted on: 2004-01-21 03:26

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