Mobile phone bid goes to Khetans Prices likely to go down

By Ram Sharan Sedhai

KATHMANDU, Nov 1 - The much-awaited cellular mobile phone operation has finally gone to the private sector as Khetan Group Pvt. Ltd today won the contract for its countrywide operation.

Khetan Group, which has tied-up with Spice Cell Ltd, a subsidiary of Modi Telestra, an Indian company, won the bid quoting the highest amount of Rs 24 billion and 117 million in the third round of financial bidding including license fee, renewal fee and royalty for ten years.

Khetan Group has to submit five percent of the license fee within 15 days as performance bond and a bank guarantee of specified amount in order to get license to operate the service. The license fee, renewal fee and royalty fee quoted by Khetan Group in net present value comes to Rs 9 billion 85 million 480 thousand and 900.

Rajendra Khetan, Executive Director of Khetan Group, talking to The Kathmandu Post after winning the bid said, "It will be affordable to the mass population but I can't tell right now what the exact price would be". We will provide efficient service with diversification for greater advantage of users, he added.

He said that though Nepal Telecommunications Authority (NTA), the regulatory body of telecom services, requires operating service within nine months of acquiring the license, they would try their best to operate within six months. To have a partner with long experience in the business is our added advantage, which will precipitate the operation, he said.

Sanjeev Raj Bhandari, CEO of Mercantile Communications Pvt. Ltd said, "Though we lost the bid, we are happy because the process shows that there is transparency in Nepal. NTA has set an example that all government institutions need to emulate. This is the first case of transparency. Bhoop Raj Pandey, Chairman of NTA deserves appreciation."

Padma Jyoti, a renowned businessman, who also vied for the coveted business, said that the process of bidding sends very good signal to foreign investors.

AK Sharma, Group General Manager of Telecom Consultants India Ltd, said that though the highest quoted amount is huge even for global standard, I would like to congratulate NTA for its transparency.

Bhoop Raj Pandey, said , "most probably it is the first bidding in which the press was invited to observe the process. It is our attempt at setting the trend of fair play".

NTA had called tender for the service on June 6, 2000 and carried out the technical bidding on September 13, 2000. Altogether eight companies had competed in the bid out of them six were pre-qualified for the final bid in the technical evaluation.

Millicom International Cellular (Asia) Pvt. Ltd, Singapore and Nepal Telecom Holding Pvt. Ltd, Nepal; Bharati Global Ltd, England and ICTC, Hulas, Bhaju Ratna, Continental Trading, Nepal; BPL Broadband Networks Pvt. Ltd India and Mercantile Investment Pvt. Ltd, Nepal; United Telecom Ltd, India and Nepal Venture Co. Pvt. Ltd Nepal; Rumeli Telekom A.S.,Turkey and KM Shrestha, Nepal and Khetan Group Pvt. Ltd, Nepal and Modi Telestra Ltd, India had vied for the bid.

Maoists losing patience, issue ultimatum

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KATHMANDU, Nov 1 - The whiff of peace is in the air, but is it moving forward?

Five days after Deputy Prime Minister Ram Chandra Poudel held "unofficial" talks with a top Maoist leader, the signals of peace emanating from both the government and rebel camps remain just that - tantalizing signals.

But the rebel group which has turned parts of western Nepal into a virtual battle zone has now indicated that its patience is running thin.

In a statement issued Wednesday, the top leader of the Maoists, Pushpa Kamal Dahal, a.k.a. "Comrade Prachanda," issued an ultimatum to the government to respond to its peace overtures by Friday afternoon.

"Our party wants that the government make public the whereabouts of Dinesh Sharma and other colleagues and begin the process for their release by 3 p.m. Friday," Prachanda said. "Otherwise, it will prove that the Girija (Prasad Koirala) government is not serious about solving the problem through talks."

The rebel leader's ultimatum comes a day after DPM Poudel requested the rebel leadership, through intermediary and human rights activist Padma Ratna Tuladhar, to give it some more time to respond to the "minimum conditions" set by the Maoists before proceeding ahead with "formal" talks. In fact, Prachanda alludes to that request in today's statement, saying he is extending the deadline on Poudel's urging.

The heart of the matter, at this moment, lies in the different tactics employed by the government and Maoists to further their agenda.

While DPM Poudel has been asking for few more rounds of unofficial talks before formal dialogue, the Maoists have been insisting on nothing less than formal discussion with the government after, what they claim, "a proper atmosphere" is created.

"The Maoists have told me that they will not sit for any more informal talks," said mediator "They have repeated their desire to hold formal talks, and till that happens, they have asked me to mediate between the two sides."

"It is now up to the government to decide the next course of action as the Maoists have, time and again, requested for formal dialogue with the government," Tuladhar said further.

As for the cease-fire, Tuladhar said the rebels were unlikely to desist from violence. "The Maoists have said that they are not going to stop their regular plan of action and have said they cannot be held responsible if any untoward incident occurs."

In today's statement, Prachanda also alludes to the possibility of renewed violence. "We are compelled to move ahead according to our programme," said Prachanda through the statement. He also accused the government of dilly-dallying on the need to create minimum conducive environment for formal dialogue. "Rather the government is responsible for the death of three persons who were killed while they were playing deusi bhailo (during Tihar)," said Prachanda.

Despite several attempts, DPM Poudel could not be reached for his comments on the latest developments.

Meanwhile, even as the government and Maoists are locked in a seemingly strategic dance towards talks, a group of human rights organizations, almost all known for their association with leftist parties, have appealed to both the sides to begin urgent negotiations to resolve Maoist insurgency.

PAC smells leakage in water pipe bids

By Binaj Gurubacharya

KATHMANDU, Nov 1 - Every year the Department of Drinking Water and Sewerage (DDWS) calls for tender bids for its annual supply of high density polythene pipes which amount to millions of rupees.

However, the 13 companies in the country that manufacture these pipes are alleged to have formed a cartel and to have illegally fixed the tender.

"Even though there is a day left before the tender bids are opened officially, these companies already know which one of them is getting what part of the contract and who will be supplying pipes to which part of the country," said Parliamentarian Lilamani Pokhrel.

Pokhrel, a member of the parliamentary Public Accounts Committee (PAC), today proposed that the case be investigated by the committee.

PAC in today's meeting decided to summon the Director General of DDWS to answer to the allegations.

Pokhrel said that the total supply amounts to Rs. 380 million for the pipes to be laid all over the nation. Each of these 13 companies divide the nation into that many parts and decide who will be supplying the pipes to those districts.

"This is illegal fixing and against the objectives of competitive bidding through tender," Pokhrel said.

The notice for the tender call was first published on Oct 19 with two weeks for the bidders to respond. The last day to file is on Nov 2.

Last year, the department purchased those pipes at Rs. 117 per kilogram. A few months later, the Kaski branch of the department called bids for additional supplies and managed to buy at Rs. 97 per kilogram.

"How can the same department purchase the pipes at two different rates. The problem here is that the purchase is done centrally and these group of companies get together to decide the price and divide the supply among themselves," he said.

Another agency, Rural Drinking Water Development Committee, funded by the World Bank bought those pipes for Rs. 99 the same year.

The chief of the committee Raj Bhai Shrestha said they did not even call for tender bids but carried out a survey of the market and managed to fix the rate of purchase.

Even the Auditor General's Annual Report has suggested that the tender should not be conducted in an integrated manner, but rather through the district offices through open advertisements.

Director General of the department Sohan Sunar Shrestha said that he was not sure, but there is a possibility that there could be such arrangements between the companies.

"We adopted the central integrated system of tender in our attempt to minimize the total cost," Shrestha said.

PAC to summon NOC over irregularities

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KATHMANDU, Nov 1 - The pariliamentary Public Accounts Committee (PAC) today decided to summon officials of the Nepal Oil Corporation (NOC) and Ministry of Supplies to question over the recent hike in the price of petroleum products.

The government had hiked the price of petrol to Rs. 47 from Rs 40 per liter, diesel from Rs. 23 to Rs. 27.5 and kerosene from Rs. 13 to Rs. 26 per litre just few weeks back that followed series of protests against NOC and the government. The officials have been asked to be present at PAC on Friday afternoon with details of how much profit NOC makes, their financial status at present and how much they have spent on cross-subsidizing between one product and another, over the past five years.

"Even when the price of crude oil slumped to nearly US dollar 10 per barrel last year, NOC never bothered to reduce the price. And now when the price has gone up to US dollar 32, it has hiked its prices," said PAC member Dr. Prakash Chandra Lohani.

NOC has gradually increased the prices of petroleum product but never reduced its prices when the cost fell on the international market. Last year, it hiked the price of kerosene and diesel and this year it again increased prices of kerosene, diesel and petrol.

"What have they done with the profit they make when the price of oil is down on the international market...NOC refuses to hand over details to anyone. It needs to make its activities transparent," Lilamani Pokhrel said.

NOC buys crude oil from international market and dumps it in an Indian port, pays Indian Oil Corporation for transportation and picks up the refined products from refineries close to the border.

"It is only when the prices go up on the international market, that NOC comes up with the excuse and the prices skyrocket here, but that does not happen in the same proportion when the prices drop," Pokhrel said.

PAC has also asked NOC to reveal the amount of fuel that they import, the costs, the amount they pay to IOC for transport, storage and processing and the profit it makes and what it does with the byproducts that come from the processed crude oil.

"The main problem with NOC is not the price hike on the international market but corruption, irregularities, adulteration and leakage," said PAC member Rajendra Pandey.

Today's PAC meeting was the first one since Dashain-Tihar festival break. On Thursday, PAC will decide on the controversial case involving Royal Nepal Airlines's bid to buy two French- built ATR aircraft without calling for tender bids as required by financial regulations.

Police, leftists clash in protest rally

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KATHMANDU, Nov 1 - Dozens of left wing activists, including three policemen, were injured today when police lathi charged at several groups of protestors participating in a torch rally called by the main opposition CPN-UML and other left parties.

Left leaders Madhav Prasad Poudel and Sita Ram Maskey were among those rushed to Bir Hospital for medical treatment after they sustained injuries near Ratna Park. Their condition is said to be normal.

Police resorted to lathi charge just as the left activists were about to start the torch rally to protest against the recent hike in prices of petro-products at about 4:30 in the evening.

The Home Ministry has announced a nation wide ban on torch rallies. Eyewitnesses said the scuffle started after the leftwing activists denied to give up their torches and instead hit the police personnel.

"At this, the police became furious and started chasing and beating those in the crowd with their batons," a witness said, adding that the police also fired tear gas to disperse the 500-plus-strong crowd.

However, the exact number of police personnel injured in the fracas could not be ascertained. But a police spokesman at the Police Control said one of them has sustained head injuries. He is currently receiving treatment at Birendra Police Hospital.

Meanwhile, six left leaders Bhanu Bhakta Dhakal of UML, Govinda Singh Thapa of CPN-Masal, Lila Mani Pokharel of UPF, Nara Bahadur Karmacharya of CPN-Unity Centre and Krishna Gopal Shrestha of UML issued a press release late in the evening, condemning the "ruthless lathi charge" by the police.

They also demanded immediate release of the activists and leaders who were apprehended this evening.

Cabinet confirms Rana as IGP

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KATHMANDU, Nov 1 - Acting police chief Pradeep Shumsher Rana has been confirmed as Inspector General of Police in a cabinet decision on Tuesday.

The letter containing the cabinet decision had not formally reached police headquarters even by Wednesday evening as per the convention of waiting 48 hours before a cabinet decision is made public. With this decision, many deferred promotions and transfers are expected to be put into effect soon.

Supreme Court takes away MPs' pension

By Meena Kaini

KATHMANDU, Nov 1 - In a landmark verdict, the Supreme Court on Wednesday cancelled the pension privileges of the nation's former lawmakers which was widely seen as unnecessary and corrupt ever since it came into effect some years ago.

The pension to lawmakers, contained in a special provisions law passed by the Cabinet in February 1996, was struck down as unconstitutional by all but one Supreme Court Justice. The majority decision said that the provision contravenes Article 67 of the Constitution of the Kingdom of Nepal-1990.

The majority decision was delivered by the full bench consisting of justices Laxman Prasad Aryal, Krishna Jung Rayamajhi, Hari Prasad Sharma, Kedar Nath Acharya, Bhairab Prasad Lamsal, Dilip Kumar Poudel, Gopal Prasad Khatri and Gyaendra Bahadur Shrestha.

The Justices concluded that Clause 25 of the Act Concerning Remuneration and Facilities of the Office-Bearers and Lawmakers - 2052 is abrogated since it contravenes with Article 67 of the Constitution. The only dissenting Justice was Kedar Nath Upadhyay.

Justice Upadhyay, in his dissenting opinion, said that he opposed the majority verdict on grounds that the said Clause 25 of the Act does not contradict Article 67 of the Constitution.

Article 67 of the Constitution states that, the remuneration and privileges of the Speaker and Deputy Speaker of the House of Representatives, the Chairman and Vice-Chairman of the National Assembly and Members of Parliament shall be determined by law, and until so determined, shall be as specified by His Majesty.

The writ petition had been filed by Swatantra Bichar Manch president and freelance journalist and self-styled anti-corruption activist Bharat Jangam on June 31, 1999. He had challenged the legality of the provision of pension to the ex-Members of Parliament.

"This is a historic decision," said a jubilant Jangam, immediately after the verdict was announced by the Supreme Court. "The cabinet's decisions to make laws that grant special facilities and allowances is just an example of how corruption is getting institutionalised. With the decision today, a huge amount of the state's fund can be saved."

Advocates - Shambhu Thapa, Bal Krishna Neupane, Rabiraj Bhandari, Puskar Prasad Gajurel, Ramji Bista, Dhruva Koirala, Borna Bahadur Karki and Tanka Prasad Dulal had discussed from the side of writ petitioner Jangam. Attorney General Badri Bahadur Karki had argued from the government's side.

All the parties in the last hung Parliament had supported the

rovision to grant pension and sent it to the Cabinet, which had endorsed it. The pension was granted despite widespread condemnation outside the halls of the Parliament.

Out of the total 286 ex-lawmakers who were eligible to get pension, very few exist who have not claimed their pensions.

During the last year alone, the state disbursed around Rs 12.6 million as pension to former MPs.

According to the now-abrogated provision of special allowance, the MPs who were elected to the Parliament for one term would get 50 percent of their salary, or around Rs 3,000, per month after their parliamentary tenure came to an end. Those serving two terms were given 60 percent, or around Rs 4,200 a month. Similarly for the lawmakers who had three or more terms in the Parliament the pension was as high as 75 percent, or around Rs 5,250 a month.

Unlike expectations that lawmakers would be disappointed with the decision, MPs have welcomed the decision. "This has established a trend of checking any wrong decision of the government by another body," said Homnath Dahal, NC lawmaker. "The decision to give pension had been widely condemned especially by the people and it is a wise decision which should be respected."

Drinking better water, breathing poor air

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KATHMANDU, Nov 1 - There has been a significant improvement in the quality of piped drinking water distributed in the capital city, but the quality of air has not seen any remarkable change due mainly to the city's poorly maintained roads, a non governmental organization (NGO) said, citing its recent study today.

Presenting the findings of an on-going research study Wednesday, Executive Chairman of Environment and Public Health Organization (ENPHO) Dr Roshan Raj Shrestha said that "40 of the 50 water samples collected recently from different parts of the city tested okay and were drinkable".

The water samples were collected - and subsequently tested - from different parts of the city in May as part of a "water, air and noise quality monitoring project" assigned to ENPHO by Kathmandu Municipal Corporation (KMC), according to Shrestha.

Established in 1990, ENPHO completes ten years of establishment on November 3.

"We found adequate chlorine in the water samples," he said. "This means that there is less chance of bacteriological contamination in the piped drinking water distributed in the city."

Experts monitoring the quality of drinking water here say proper chlorination can drastically reduce bacteriological contamination, and that Nepal Water Supply Corporation (NWSC), the state-owned monopoly, should strictly monitor chlorination of the piped drinking water in its distribution reservoirs.

NWSC supplies some 88 million litres (mld) of water a day to Kathmandu from various natural and underground sources via Bansbari, Mahankalchaur, Balaju and Sundarighat water supply systems.

The study, however, identified Balaju, Kakani buspark, Nayabazaar, Shorakhutte, Thamel, Teku, Panipokhari, Gairidhara, Paknajol, Maitidevi, New Road, Dillibazaar, Kamal Pokhari, Naxal, Tripureshwor, Brahmatol, Hyumat, Chikanugal, Balkhu and Kuleshwor areas as "vulnerable in terms of microbiological quality".

The study also found that water from various traditional stone spouts was contaminated both bacteriologically and chemically. ENPHO had conducted special test of 24 stone spouts in the city.

"Water from most of the stone spouts have high concentration of nitrate, up to 37 milligram per litre (mg/l), as against the WHO standard of 10 mg/l," an ENPHO report distributed today said, adding that "Nitrate is one of the toxic chemical parameters that may increase the risk of stomach cancer in case of a long term exposure."

Asked if there were any signs of improvement in the capital's air quality in the aftermath of last year's ban on the operation of Vikram tempos, Dr Shrestha, said: "We found that the level of pollution is almost the same. There is still very heavy concentration of suspended particulate matters, and this is mainly because of the bad roads."

"The conclusion that can be drawn from the monitoring result is that the particulate matter in the air is likely to have adverse impact upon human health whereas the gaseous pollutants do not pose as much threat," the study concluded.

As per the level of noise pollution in the city, Dr Shrestha said, the noise levels at different locations in the city were within the tolerable level. "Although the noise level here is fairly low as compared to other cities, the level is on rise," he said.

Koirala, Deuba tussle widens

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KATHMANDU, Nov 1 - The tussle between the Koirala and Deuba faction over active membership in ruling Nepali Congress further worsened with Sher Bahadur Deuba's statement today which accused the central leadership of disregarding the agreement reached in working committee of the party.

Deuba has warned that such attempts intended to influence the outcome of the tenth convention of the party would push the party towards a split. The tenth general convention of NC slated to be held early next year will chose the party president and pass the party's policies for the next five years.

The statement signed also by prominent pro-Bhattarai leaders - Chiranjivi Wagle, Khum Bahadur Khadka and Bijay Gachhedar-has indirectly criticised the party president for backing the repeated indifference towards the agreements reached in the central committee of the party. "The continuous challenges to the agreements cannot go on without backing of the central president," said the statement. "The disregard for the understandings could even lead the party towards division and disintegration."

The Deuba-camp has condemned the decision to send the list of active members to the districts without any discussions about them in the central level Election Committee of the party.

Superstition: Takes life, seeks life

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MALANGAWA, Nov 1 - A 65-year-old man was beaten to death accused of being a sorcerer, police said.

According to the police, Jit Bahadur Blon- the victim from Parwanipur VDC-7, was severely beaten on Monday accused of making Awatar Singh Syangtang's 10-year-old son sick through evil practice.

Police Inspector from Haripur Area Police Station Yuba Narayan Vaidhya said that the victim died late on Tuesday due to lack of immediate attention.

The police said that Aite Singh Ghalan, Lal Bahadur Lo, Man Bahadur Lo and Awatar Singh Syangtang from the same VDC were involved in the beating.

One of the accused, Aite Singh, has handed himself over to the police whereas the rest of the accused are still at large, the police said.

Meanwhile, a report from Janakpur said that 60-year old Ram Jhari Devi from Baniniya VDC-8 was forced to revive a two-month old baby who died three days ago. The locals accused her of being a witch who, they claimed, killed the baby after looking closely at him.

The dead body was exhumed in order to bring the baby back to life. A large crowd of people gathered on Tuesday at Fekan Thakur's home to watch the revival. However, the hapless Devi was seen weeping in front of the dead baby.

Locals also have the strong belief that she is proficient in the art of killing and bringing the dead back to life. Locals related an event in which the victim Devi had brought a dead water buffalo back to life in a few hours.

VDC Chairman Jhgaru Yadav said that a village-level all party meeting was held on Wednesday to discuss the issue. However, Chairman Yadav does not believe that a dead body can be brought back to life.

Leopard killed to spare goats

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SANDHIKHARKA, Arghakhanchi, Nov 1 - A man from Mareng VDC-9 killed a leopard on Tuesday that was about to pounce on his herd of goats.

Sombahadur Sijwal struck the leopard over the head when the wild beast pounced on his son Thamman Bahadur who was trying to protect his herd of goats from the attack. The beast died on the spot after Som Bahadur struck on its head, he said.

The dead leopard was brought to the District Forest Office in district headquarters. However, the son, Amman Bahadur, sustained minor injuries to his head and hands whilst trying to chase after the beast.

The population of leopard has been growing following the hand over of the jungle to the communities, District Forest Office said.

Researchers to date Valley's changes

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KATHMANDU, Nov 1 - A nine-member team of professors and students from Japan and Nepal has embarked on a three-year-long research project to study environmental changes and tectonic events recorded five thousand years ago in sediments of Kathmandu valley, which was once a lake.

The project which started in November last year aims at elucidating the history of monsoon climate throughout the last 2.5 million years, recorded in the Kathmandu basin sediments and its linkage to the rising height of the Himalayas. The research also aims to find the geological history of the paleo-Kathmandu lake.

According to legends, the water of the lake was sent away by Manjushree, a Hindu god, and the valley was formed. "We are going to find out how the water of the lake was sent away," said Professor Dr Harutaka Sakai, a geologist at Department of Earth Sciences in Kyushu University, Japan and the team leader of the study from the Japanese side. The team leader from the Nepalese side is Dr Bishal Nath Upreti, Head of Department of Geology at Tri-Chandra College, Kathmandu.

For the purpose of the study, the team has picked three drilling sites in the valley - compound of Department of Geology at Tri-Chandra College, compound of Disaster Prevention Promotion Centre in Jawalakhel and a small area in Ravi Bhawan height.

Till now, they have drilled 65 meters in TC College, 45 meters in Jawalakhel and are drilling in Ravi Bhawan. They have drilled 160 meters down to date in Ravi Bhawan. According to studies, a one meter layer of soil corresponds to a time span of 10,000 years. In such a way, they will study the nature of the soil being extracted and will find out facts about the environmental and climatic condition as back as 2.5 million years ago.

According to Dr Upreti, study of pollen of different plants such as pinus, sal and alnus (uttis) will lead to conclusions about the climatic condition at that time.