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UML lawmakers divided over West-Seti deal

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KATHMANDU, March 16: CPN-UML lawmakers at a parliamentary party meeting on Thursday were divided over the memorandum of understanding signed between the government of Nepal and Chinese company Three Gorges on developing the 750-MW West Seti Hydroelectric project.



While former Finance Minister Surendra Pandey was for not hindering the storage project, some other lawmakers said they smelt a rat over the bilateral agreement. [break]



“The way the Chinese company was awarded such a big project without conducting international bidding indicates that there is something wrong,” said Kul Prasad Nepal, who is also a member of the parliament´s committee on natural resources and means.



Nepal said the government while awarding the project to the Chinese company breached the policy set by former Energy Minister Gokarna Bista. The policy requires a call for competitive bidding before awarding hydroelectric projects generating 10 MWs or more electricity.



However, Pandey said the parliamentary committee should not create any hindrance to the project.



“As far as the issue of international bidding is concerned, the developers may not opt to compete for such a big project worth around Rs 200 billion in Nepal,” he said at the meeting. “So, we have to take initiatives to invite such companies through negotiations.”



Stating that UML has been projected as anti-development party ever since the cancellation of Arun III hydroelectric project, Pandey urged party leaders to react responsibly with regard to the West-Seti project. “The way the project is signed provides ample grounds for suspicion over the deal but our activities should not create any obstacle,” he added.



Concluding the meeting, party Chairman Jhalanath Khanal said the track record of the Chinese company is good but that some aspects of the deal should be corrected,” Khanal said.



Parliamentary committee on natural resources and means headed by UML lawmaker Shanta Chaudhary is probing into the deal.



It has formed a subcommittee to investigate into the deal. Chaudhary coordinates the subcommittee and UML lawmakers Nepal, Netra Panthi, Nepali Congress lawmakers Laxman Ghimire and Gagan Thapa, Maoist lawmaker Dabal Bahadur Shah, among others, are members of the probe committee.



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