Construction Entrepreneurs’ Federation Submits Memorandum to Development Ministry Secretaries

The Construction Entrepreneurs’ Federation has submitted a memorandum to the Ministry of Integrated Infrastructure Development and the Ministry of Energy, Water Resources, and Irrigation. Federation President Nicholas Pandey highlighted that the construction sector is in a critical crisis due to rising costs and urged for contract price adjustments. The federation requested the government to extend deadlines for stalled projects and arrange clear budget headings and payment provisions.

Amid severe inflation causing many projects nationwide to come to a halt, the federation delegation led by President Nicholas Pandey handed over the memorandum to Secretary Gopal Sigdel of the Ministry of Integrated Infrastructure Development and Secretary Sarita Dawadi of the Ministry of Energy, Water Resources, and Irrigation. Pandey informed that they met the secretaries to present the memorandum as the construction sector remains on hold.

According to Pandey, construction entrepreneurs face extreme difficulties due to increased prices. He emphasized the necessity to adjust contract prices in line with rising market costs and to extend deadlines for ongoing projects until Ashad 2084 (mid-July 2027) to create an environment conducive to continuation. Additionally, they demanded explicit budget titles and payment arrangements in the forthcoming budget for these projects.

Expressing concern over the crackdown on entrepreneurs amidst ongoing protests, Pandey said that investigations causing undue hardship to entrepreneurs would weaken the investment climate. He noted that fuel price hikes have increased the costs of construction materials such as cement, rods, and sand, and shortages of materials like bitumen are directly impacting construction work. Pandey asserted that the government must promptly issue price adjustment guidelines and provide concessions to offset the effects of price increases. Until these demands are addressed, he stated, progress on construction projects cannot proceed.