The issue of the impact of the 402 megawatt Arun 3rd hydropower project, proposed to be built with World Bank loan support, has been discussed for a long time. After the change of 2046, the government's strategy was to speed up the development of electricity by creating a law so that even the private sector could invest. The government had put forward the idea of ​​building Arun 3rd by taking a loan mainly from the World Bank and thereby facilitating the country's electricity supply to a large extent.

Activities were being conducted in the name of stakeholders by raising issues such as the environment and saying that the Arun project to be built in Sankhuwasabha was not in the interest of the country. Stakeholders have been arguing that if Arun is made third, there will be more loss to the country than profit. The left-wing parties, including the UML, which are represented in the parliament, called the construction of the Arun project a national attack. On the streets, in the parliament and in public events, the Congress government was publicly accused of being on the path of treason by promoting the Arun project.

In the same background, the human rights group Inhured registered a writ in the Supreme Court against the Ministry of Finance, the Ministry of Water Resources, the Nepal Electricity Authority and the Arun Project. The demand that all the information of Arun should be made public and that the agreement made by the project should not be executed immediately was made in the writ petition. 

Stakeholders opposed the agreement between the government and the project construction contractor. Also, the issue of using helicopters during the construction of 117 km road, which is going to be started in the first phase, was also called 'controversial' by the concerned group. 

They claimed that the large amount of money invested by the government will also be wasted by saying that the World Bank is not sure whether to invest. The stakeholders were led by Gopal Sivakoti and Rajesh Gautam. They also registered the writ in the court. As the water source of the Arun project is from Tibet, the idea was also put forward that permission would be required. 

In particular, to guarantee the continuous supply of water, it was announced that talks should also be held with Tibet, an autonomous region of China. Some also argued that because Tibet uses the Arun spring for irrigation of its 9,000 hectares, there will be a shortage of water for power generation. 

As 80 percent of Arun's territory is in the Tibetan area, the stakeholders brought forward another new issue. Organizations like Arun Concern Group, Alliance for Energy, Inhured, led by Sivakoti in the name of campaigners in Nepal, were opposing the project saying that it would deteriorate the environment. Stakeholders were also of the opinion that the road constructed by the project will be the most expensive road in the country as it will cost 50 million per km. 

They said that they should focus on building small projects and not big ones . Electricity supply to half of the country was estimated from Arun. Based on that, the argument was put forward that half of the country will be in darkness if electricity production is stopped for some reason. Stakeholders also put forward the argument that a big project like Arun is not right. Arun project was targeted to be completed in 2005 . It was estimated that the electricity produced by the project would meet up to 50 percent of the country's demand.