A key expressway project is due in Nepal

The Nepalese Government plans to open a key expressway project to tender. The Ministry of Physical Planning works and Transport Management is inviting bidders to show their interest in the construction of the Kathmandu-Nijgadh-Pathlaiya Terai/Madesh Expressway project. This new road link is intended to be offered under a PPP/BOT model. The 76km expressway is expected to cost US$853 million to construct. A feasibility study has been carried out and the expressway will be designed to meet the Class – A Catego
July 26, 2012 Read time: 2 mins
RSSThe Nepalese Government plans to open a key expressway project to tender. The Ministry of Physical Planning works and Transport Management is inviting bidders to show their interest in the construction of the Kathmandu-Nijgadh-Pathlaiya Terai/Madesh Expressway project. This new road link is intended to be offered under a PPP/BOT model. The 76km expressway is expected to cost US$853 million to construct. A feasibility study has been carried out and the expressway will be designed to meet the Class – A Category Road status. It will feature 84 bridges, of which 22 will have spans of 30-50m and seven will span 115m. The road will be tolled, with revenues being collected by the winner and the total package will include handover of the project by 2035 to the Nepalese authorities.

The Nepalese Government has conditions and only joint ventures or companies with experience in carrying out infrastructure projects worth over $1.5 billion, or BOT highways and bridge projects worth over $500 million in the last 10 years will be eligible. Similarly, bidders should have net worth of $150 million or more. The contract winner will have to upgrade the existing 18.3km Nijgadh-Pathlaiya East-West Highway from its present two lane layout, to four lanes. This section is expected to cost about $26 million. The project manager has stated that the selection procedure will be chosen as per Nepal’s Public Procurement Act, and based on BOT practices prepared by the Project Studies committee.

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