Kathmandu, Dec 31: Energy, Water Resources and Irrigation, Physical Infrastructure and Transport and Urban Development Minister Kulman Ghising has said that inadequate budget allocation for road maintenance and weak coordination among federal, provincial, and local governments are creating serious problems in the road sector.

Addressing the 23rd anniversary celebration of Road Board Nepal on Tuesday, Minister Ghising said that the government is unable to utilize all the revenue it collects for regular development and maintenance programs. He noted that although the federal government is responsible for maintaining main highways and feeder roads, limited resources have made it difficult to meet expectations across the country.

He said confusion among the public has increased due to the lack of a clear division of authority under the federal structure. “Even demands for small culverts and local roads that should be built by local governments are coming to the federal level,” he said.

Minister Ghising stressed that the government is compelled to terminate contracts of construction entrepreneurs who have failed to carry out work for long periods. He said awarding contracts at extremely low bids and then delaying work has caused significant hardship to the public.

“We are breaking contracts and managing stalled projects in many places. This is not a choice but an obligation,” he said, adding that contracts inactive for years have already been terminated.

However, he clarified that not all contractors are at fault. He said many construction entrepreneurs have delivered quality work on time and should be encouraged. “There are also good contractors who have done excellent work. We have continuously supported and encouraged such entrepreneurs,” he said.

Minister Ghising emphasized that the overall development of the construction sector is not possible without capacity enhancement, policy reform, and transparent use of limited resources. He added that the government will move forward by strengthening capacity and promoting responsible contractors to ensure sustainable infrastructure development.

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