Even though 98 percent of the construction work has been completed, the Nagdhunga-Sisnekhola tunnel has not been put into operation. The project itself is not clear on when the tunnel will be put into operation due to the prolonged process of selecting the service provider to operate the tunnel. The project office is preparing to decide on the date of its operation only after the service provider is selected.

Currently, 10 service providers are participating in the bidding process. The technical aspects of these companies are being evaluated, according to the Nagdhunga Tunnel Construction Project. The project claimed that the technical evaluation work would be completed by 15th Magh. But this process has not been completed yet. The process will be completed within the next week, said Saujanya Nepal, director of the Nagdhunga Tunnel Construction Project. 

‘It is not known how many companies have been shortlisted now, it will be known only after the technical evaluation work is completed,’ Nepal said, ‘After that, the financial proposals will be opened and the evaluation work will begin.’ The project says that a public notice will be published giving 15 days to open the financial proposals along with the names of the companies that have succeeded in the technical proposals. ‘This is an international bidding and the notice is being issued with 15 days, otherwise it is usually given seven days,’ he said, ‘We will open the financial proposals on the sixteenth day of issuing the notice, it does not take much time, it is completed in four-five days.’ 

Only the financial proposals of the companies selected from the technical proposals will be considered. The project said that the company selected by signing the contract will reach the field by the end of Falgun. “It took some time to complete the technical evaluation work because there were many companies,” Nepal said. The project had first invited bids on October 16 to select a service provider through an international bid for the operation of the tunnel. Accordingly, the deadline for submitting bids was until December 2. However, the deadline was extended for the first time to December 16 as per the demands of international construction companies and Nepali construction entrepreneurs. 

During this period, the construction entrepreneurs demanded clarification on some points of the provisions set by the project, so the time was extended to December 30. All Nepali companies have JVs with the 10 foreign companies included in the competition. “The name of the company that will operate the tunnel will be finalized by the second week of Chaitra,” Nepal said. “After that, training will be conducted for the employees who will work there. During the training, we will operate the tunnel as a test and teach the employees how to operate it.” 

Two months have been allocated for the training for 150 manpower. ‘Now, what kind of service provider will be selected and how will it work,’ Nepal said, ‘We need to have manpower for different jobs, and training will be arranged accordingly.’ Although the Japanese government has taken a stand that companies owned by the Chinese government and those on the blacklist should not be selected, the majority of companies competing for service providers are currently Chinese. There are 6 Chinese, 3 Indian and one Turkish companies competing to operate the tunnel. The company that takes over the construction during this period will hand over the tunnel to the Road Department after the work is completed. 

Since it is an international bid, there is a provision that a foreign company must necessarily form a joint venture with a Nepali company. Nepali companies are in joint ventures with all the companies. The project has said that such a provision will prepare Nepali technicians to operate the tunnel and later it will be easy for Nepalis to operate the tunnel themselves. The service provider selected now will have to manage and operate the tunnel for five years.

For five years, they will have to maintain the tunnel, traffic management, emergency rescue, toll collection, the entire tunnel and the 2.8-kilometer access road connecting Kathmandu and Dhading. The service provider will have to operate and manage the tunnel for 365 days. The cost of operation will be borne by the government, and the selected service provider will have to deposit the toll amount collected into the account of Road Board Nepal every day. Road Board Nepal will monitor this. Currently, only the work of selecting the service provider, constructing the toll plaza, and managing landslides towards Dhading remains. 

The project has stated that it is preparing to take an additional loan from Japan due to insufficient funds for landslide management, consulting services, etc. during construction. Although the Nepalese government and the Japan International Cooperation Agency (JICA) have to finalize this, the project says that it has not been finalized yet. Currently, an additional loan of about 5.5 billion rupees is being sought. If the requested amount is added, the loan from Japan for tunnel construction will reach 21.5 billion rupees. Currently, Japan has a concessional loan of 16 billion rupees and the Nepalese government has invested 6 billion rupees.