September 24: The government has signed a contract for the construction of the country’s first tunnel road with a Japanese company. The Department of Roads signed the contract with Japan’s Hazma-Ando Corporation on Monday (September 23) for the construction of the Nagdhunga-Naubise Tunnel on the western edge of the capital, Kathmandu.

As per the agreement, the Japanese company will complete the 5.7-kilometre  tunnel in 42 months.

The government had reached an understanding with the Japanese International Cooperation Agency (JICA) in 2016 to construct the tunnel with financial assistance from Japan.

The Japanese government will be providing subsidized loan of Rs 22 billion for the project. The government of Nepal will contribute Rs 6 billion while the remaining amount will be funded by JICA.

The project also includes two fly-overs. JICA will invest on the tunnel and road project while the government will pay for compensating the people whose land will be acquired by the project, according to the project chief Shyam Kharel.

The tunnel road from Kathmandu’s Thankot to Dhadhing’s Naubise will include 2.7 kilometres of tunnel and 3 kilometres of road.

Kharel said Monday’s agreement is the beginning of a series of tunnel construction in Nepal.

“There is no alternative to tunnels in a country like Nepal because of its topography,” said Kharel.

The project will acquire a total of 344 roapnis of land in Kathmandu and Dhadhing. According to project chief Kharel, they have already provided compensation to the owners of 300 ropanis of land in Kathmandu while they are in the process of acquiring 44 ropanis of land in Dhadhing.

He said that they will have to demolish 47 houses in Dhading for which they will have to distribute Rs 800 million.

The project will cut short the distance of 9 kilometers from Kathmandu to Naubise significantly once the tunnel road comes into operation.