Govt fails to complete parliament building as deadline extended for fourth time, cost to soar by Rs 560 million

Published On: April 7, 2024 01:00 PM NPT By: Bhuwan Sharma


KATHMANDU, April 7: The cost of constructing the parliament building within Singha Durbar has surged by Rs 560 million.

The Department of Urban Development and Building Construction (DUDBC) has given the nod to the Variation Order (VO) proposal from three consultancies—Digicon, IWS, and Ingar—for the project, citing the rising market prices of construction materials. This approval means an additional Rs 560 million is now necessary for completing the parliament building, surpassing the earlier estimated cost of Rs 5.2 billion.

Under the administration of the then Prime Minister KP Sharma Oli, an agreement was inked on October 3, 2019, with Tunditech Joint Venture Company to construct the Federal Parliament's new building within three years, at a cost of Rs 5.2 billion. However, due to the approval of the Variation Order in Falgun, the project's cost has now increased.

The construction timeline for the Parliament building is set to be extended for the fourth time. The third extension, which was set to expire on May 19, will now require further extension since the building won't be completed by May 1, 2024.

 Machakaji Maharjan, Deputy Director-General of the DUDBC and Head of the Project, attributed the delays to factors like the COVID-19 pandemic, decision-making processes, and delayed design approvals.

"Initially, three years were allocated, which proved insufficient for constructing 12 buildings. Since then, the deadline has been extended three times. We are now working to expedite the project," Maharjan stated.

Although the main building's construction remains incomplete, interior decoration work is slated to commence afterward. As per the project status, approximately 80% of the Parliament building's construction has been finished.

KC Shyamsundar Baniyan Company secured the interior decoration contract valued at Rs 2.34 billion, with a completion deadline set for mid-July 2024. However, it's evident that this work won't be finished within the specified timeframe.

The government's intention to hold the winter session in the new parliament building couldn't materialize due to the delay caused by the contractors. As a result, the budget session won't take place in the new building either. Despite the sluggish pace of construction, the government has not taken strict actions against the contractors and instead opted to extend deadlines repeatedly.

Since 2064 BS, the government has been leasing the International Conference Center at New Baneshwar for meetings, as the construction of the new Parliament building has been progressing at a snail’s pace. The foundation stone for the new building was laid by then-Prime Minister Oli on September 18, 2019.

Features of new parliament building

According to the DUDBC, the new building will house both houses of the Federal Parliament—the House of Representatives and the National Assembly—along with the offices of parliamentary committees. Additionally, 12 buildings are being constructed to accommodate the offices of various parliamentary parties.

The Parliament building will feature four entrance gates. The new HoR assembly hall will have a capacity to accommodate 400 people, while the National Assembly hall can seat 290 individuals with an additional 200 in the balcony. The combined lobby of both houses will accommodate 350 people.

Within the Parliament building complex, there will be 17 parliamentary committee halls, each with a capacity for 60 people, allowing a hundred individuals in one hall. Furthermore, there will be separate chambers for the prime minister, speaker of the National Assembly, chief whips, and others. Four buildings for the Parliament Secretariat are also under construction.


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