The US government has banned the construction of any structures and planting of trees within 23 meters to the right and 23 meters to the left of the centerline of the transmission line being constructed under the Millennium Challenge Corporation (MCC).

The Ministry of Finance has published a notice in the Gazette prohibiting anyone from constructing any kind of structure or planting trees on the land of approximately 1381 hectares on the right and left sides of the transmission line. It is also mentioned that the Council of Ministers has exercised the authority granted by Sub-section 3 of Section 33 of the Electricity Act, 2049.

Sub-section 3 states that if the Government of Nepal or a licensee carries out any construction work related to the production, transmission or distribution of electricity, the Government of Nepal may prohibit the use of the house and land located at the place where such construction work is carried out or within a specified distance around that place for any specific purpose. The same subsection also states that the Government of Nepal or the licensee shall pay compensation as prescribed for the loss or damage suffered by the person concerned due to such prohibition.

'For the purpose of Sub-rule 1 of Rule 66 of the Electricity Regulations, 2050, it is prohibited to construct any structure or plant trees on an area of ​​approximately 1,381 hectares of land 23 meters to the right and 23 meters to the left of the centerline of the electricity transmission line in the following lands of Nawalparasi (Bardaghat Susta East), Nawalparasi (Bardaghat Susta West), Palpa, Tanahun, Chitwan, Dhading, Sindhupalchowk, Nuwakot, Makawanpur and Kathmandu districts, required for the construction of a 400 kV electricity transmission line by the Millennium Challenge Account Nepal Development Committee (MCA-Nepal),' the notice states.

New Butwal to New Damauli, Nepal-India border to New Butwal, New Damauli Ratmate Substation, New Damauli Ratmate Substation, Ratmate to New Hetauda, ​​Ratmate to Lapsiphedi, Ratmate to New Damauli, Ratmate to New Hetauda transmission line extension section has been blocked . MCC Nepal has signed an agreement for the construction of 315 km of the electricity transmission line to be constructed under the power transmission project of the Compact .  

(MCA-Nepal) has signed an agreement for the construction of 117 km of the electricity transmission line to be constructed under the power transmission project of the Compact. The Ashish-Bozler joint venture will construct the 117 km transmission line from the under-construction Lapsiphedi substation in Kathmandu district to the under-construction Ratmate substation in Nuwakot district to the under-construction New Hetauda substation in Makwanpur district. '

The contract awarded by MCA-Nepal through an international competitive procurement process is worth approximately US$ 76.65 million. Under this agreement, the design, installation, testing and operation of the 400 kV transmission line will be carried out.

MCA Nepal has awarded the construction contract for the Ratmate-New Damauli transmission line to Angelic-Skipper Joint Venture and the construction contract for the New Damauli-New Butwal transmission line to Waiba-Salasar Joint Venture through a competitive international bidding process. Under these agreements, which have a combined cost of US$ 15.45 million, the design, installation, testing and operation of 180 km long 400 kV transmission lines will be carried out.