KATHMANDU, Dec 1: The Public Procurement Monitoring Office (PPMO) has blacklisted 12 construction companies for delaying construction works and breaching the contracts as per the agreement.
Issuing a public notice on Wednesday, the PPMO barred the contractors from participating in any bidding process for the prescribed time period. Of the blacklisted companies, Bharat-Saptakoshi JV has been restricted from taking contracts for the next two and a half years. The company has been blacklisted upon the recommendation of the Road Division Office, Butwal.
Haigriwa-Siddhi Sai was found delaying construction of the Ranijamara-Kulariya Irrigation Project. The company was put on the blacklist for two years.
Highway Construction Pvt Ltd based in Chitwan has been blacklisted for one year upon the recommendation of Hetauda Metropolitan City. Likewise, Kathmandu-based Bidhi Builders Pvt Ltd is blacklisted for one year upon recommendation of the Shahid Gangalal National Heart Center, Bansbari.
The PPMO has also taken action against Saibaba and Tara Construction, Anukul Nirman Sewa, Pachkhal Construction, Prabhu Construction Sewa, Siddijanak Construction and Suppliers Pvt Ltd, SSK Construction Service, Surmadevi Construction and Nilgiri National Canon JV after these companies were found flouting the contract agreements. These underperforming companies will be barred from taking part in construction of any government projects for one year.
Due to negligence of contractors, the infrastructure projects either undergo low quality construction or are delayed for years. This has posed serious risks to the users along with making wastage of the state’s resources.
For instance, in 2017, Jabdighat Bridge over the Babai River in Bardiya district, which was built by Pappu Construction Pvt Ltd, collapsed in just one year of its construction.
Likewise, in 2019, an under-construction bridge over the Khadak River along the Postal Highway at Janjar collapsed. In April, 2021, a motorable bridge connecting Thimura of Chitwan district and Devghat of Tanahun district was damaged while undergoing construction.
Apart from keeping such companies in blacklist by the government, these firms rarely face any other actions. Officials say contractors often knock on the court’s door to avoid blacklisting.
Two months ago, the government stepped up to introduce a rule that talked about scrapping licenses of the defaulting contractor companies, which are blacklisted for three times. However, it could not materialize after the Supreme Court issued an interim order in favor of the defaulting contractors, prohibiting the government from enforcing the rule.