RPP’s Tamang resigns from key party posts

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KATHMANDU, Aug 9 – Buddhiman Tamang, Central Working Committee (CWC) member of Rastriya Prajatantra Party (RPP) today resigned from three party posts protesting "lack of trust and discipline and light-hearted approach" to serious issues.

He submitted his resignation to the party’s Central Committee meet that concluded today. He quit from the party’s Central Committee, Central Working Committee and the party’s parliamentary committee.

Speaking to The Kathmandu Post, Tamang, who is also a lawmaker in the Lower House, said that the party top brass failed to control the anomalies, accusing the party leaders of not showing the required seriousness to arrest the growing discipline.

Party sources said that Tamang was cut up with the top brass for failing to take action against party General Secretary Pashupati Shumsher JB Rana and Central Committee member Rabindra Nath Sharma who, along with four others, had defied the party whip and backed the party’s rebel candidate in the National Assembly elections held on June 27.

Although the official candidate Lok Bahadur Thapa Magar won at the voting, Rana and five others had voted for Jog Mehar Shrestha, the party’s rebel candidate.

Meanwhile, the RPP today passed its political report presented by the party’s General Secretary during the party’s four-day long CWC meeting that concluded today.

The meeting urged to seek a solution to bring an end to the "polarisation" between the parliament and the Maoists. The party said that the various problems faced by the nation could be solved under the system of constitutional monarchy and multi-party democracy. RPP also condemned a tendency of the politicians to disregard the constitutional monarchy, and relating the King with the Maoists.

It also called for a change in the present system due to the "abuse of parliamentary norms". The party hoped that the talks between the government and the Maoists would succeed and urged the rebels "to stop all acts of violence that are still going on".

UML proposes constitutional amendment

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KATHMANDU, Aug 9 – The main opposition CPN-UML today formally presented the party General Secretary’s proposals on constitutional amendments, which was endorsed by the party in its 22nd Central Committee meet, in the House of Representatives today.

Lawmaker Urmila Aryal of the party today demanded amendment in the Constitution to facilitate the formation of national government under the Chief Justice to monitor the general elections, transparency in Palace Affairs and the parliament’s control over it and the supremacy of the Prime Minister over the Royal Nepalese Army.

Aryal said that the army should be brought under direct civilian control. She also demanded that even the special courts like the one of the army and the one dealing with forest should be brought under the Supreme Court.

Meanwhile, earlier during the Zero Hour today, Speaker Taranath Ranabhat issued a ruling to the government on the "mushrooming" financial cooperative societies, asking for the details on their status and activities to present to the House in a week. Dilli Raj Khanal of the UML alleged that out of the 1600 such odd societies, only about 45 were registered with the Nepal Rastra Bank. He also said that people have already been cheated by some of these societies which have disappeared with their deposits. Khanal alleged that a sum worth Rs 250 million rupees were already looted by the disappearing financial cooperatives.

The Speaker also drew the attention of the Ministry of Culture, Tourism and Civil Aviation towards the plight of Nuwakot Palace and alleged corruption in educational projects run by the Ministry of Education and Sports (MoES).

Harilal Joshi of Nepali Congress drew applause and even the concern of the Speaker while accusing the MoES of indulging in malpractice in doling out education funds by categorizing accessible areas as rural ones and vice versa.

Ramesh Lekhak of NC, also urged the government not to shrink the fund for development works in the name of austerity measures. "If the government expands the administrative machinery by reducing the relief measures, it will a wrong message to the people." Lekhak said the move was against the spirit of decentralization. He also urged the government to take steps to control floods and ensure clean drinking water for the citizens.

UML CC meet ousts Oli from Election Dept

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KATHMANDU, Aug 9 - The Central Committee meeting of the main opposition party CPN-UML concluded on the sixth day today dislodging party stalwart KP Oli from the powerful position of party’s election department chief.

The position of Oli is taken over by Bharat Mohan Adhikari, according to a press release issued here. The meeting today also re-structured various responsibilities within the party organisation. Oli refused to comment on the issue when contacted. Oli has abstained himself from the meeting for last three days after the issue of Pradeep Nepal’s resignation from the CC member, got way in the discussion.

Responsibilities of the party’s CC members Devraj Ghimire and Guru Baral who are considered close to Oli have been narrowed down while that of Ishwor Pokharel and others close to Madhav Nepal, the party’s General Secretary, have been added with more responsibilities.

Ghimire who was earlier the party incharge of Mechi Zone has been given the responsibilities of Youth, Teachers and Engineering Fraction Chief while Baral’s earlier role as Eastern Regional Co-ordinator has been demoted to the post of regional secretary. Pokhrel who was earlier in charge of Valley Coordination Committee, has been posted to the Secretary of the Party’s Central Secretariat and the chief of Party’s Planning and Monitering Department.

The party’s CC meeting on Wednesday rejecting the resignation tendered by Pradeep Nepal from the CC member had decided to take action against five CC members including Oli as well. The party then had also asked Oli along others to quit from the Public Accounts Committee (PAC) for "falsely blaming" Bhim Rawal, another CC member on the issue of China South West Airlines (CSWA) deal.

The meeting today also passed seven point agenda. The meeting decided to urge the government to take effective steps to solve the problems faced by the people from inundation and flood due to the construction of the barrage and embankment by India in the border areas.

The meeting also urged both the government and the Maoist to maintain sincerity in the dialogue through all party consensus. CPN-UML also urged the Maoist not to resort to any rebellious activities after the ceasefire agreement with the government.

India-built reservoirs threaten Nepali settlements

By Lokendra Bista

DARCHULA, Aug 9 - Nepali water resources experts and geologists studying the Dhauli Ganga Hydroelectric Project being constructed by India have warned that the two huge reservoirs would adversely effect the Nepali villages located downstream of the project area.

The reservoir sites are located about 15 to 25 km north of Khalanga, the district headquarters of this far-western frontier district. Dhauli Ganga is one of the major tributaries of the Mahakali River that marks the boundary between the two South Asian neighbours.

After making an on-the-site inspection, experts and officials in the technical team claimed that they discovered several fissures on the high mountains right above the reservoirs that would help generate 280 megawatts of hydropower for neighbouring India.

"The mountains can cave in at any time and the flashflood triggered by the reservoir outburst can wash away several Nepali villages and settlements downstream of the river banks," a technicians in the team told The Kathmandu Post. The team is preparing a detailed report on the possible impacts of the reservoir outburst in the Nepali settlements.

Although Indian geologists in their initial feasibility studies claimed that the project would not pose any landslides and other threats to settlements in the downstream area, the Nepali team came up with statements that challenge the Indian claims.

Geologists in the Nepali team said that there appeared deep and long cracks on the high mountains on both sides of the reservoirs due to the continued use of powerful explosives while developing the power project.

Various structures of the hydel project are being developed in Ailagadh, Chhirkilla and Sobala areas on the Indian side, which lies on the other side of Khalanga.

Nepali experts assert that the Indian side need not bother about the consequences of possible reservoir outburst as there are no more human settlements downstream of the river on their side.

But it is the Nepali villages, situated on the fertile banks of the snow-fed Mahakali river, that are likely to be washed away in case the heavy landslides splash into the reservoir filled with millions of cubic metres of water.

The Nepali technical team also found evidences of soil erosion in several places along the link-road to the construction site.

Considering the presence of several fissures on the mountains, the main construction company - National Hydropower Company (NHPC) - and other contractors have shifted their camps to safer areas.

The contractors have gone on to warn their employees against staying in their quarters built in the immediate downstream area of the reservoirs during the night.

A confidential project source told The Kathmandu Post that around 200 employees working under a Korean construction company - Samsung - have so far abandoned the site due to fears of impending mountainslide in the area.

Local representatives from Naji, Basedi and Tigdam areas said that the Nepali authorities had not taken any preventive measures to protect its people from the possible outburst of the man-made lakes despite the fact that the area lies in the earthquake prone zone.

Two Nepali labourers working in the megahydel project recently died after being buried on the landslide, according to SK Agrawal, the project’s Chief Engineer, adding that more than 2,000 Nepalis were working in the project.

PAC members condemn UML decision

KATHMANDU, Aug 9 (PR) - Members in the parliamentary Public Accounts Committee (PAC) today condemned the decision of the main opposition CPN-UML to take action against their lawmakers who are in the Committee.

The Central Committee of CPN-UML on Wednesday had decided to take action against five lawmakers of the party, who are members of PAC, for ruling that a Central Committee member of the party Bhim Rawal was involved in financial irregularities while leasing a jetliner from the China South West Airlines (CSWA).

Rawal was the then Minister of Civil Aviation and the PAC while investigating the case had ruled that there was financial irregularities while signing the deal with CSWA which was against the interest and benefit of Royal Nepal Airlines Corporation.

PAC members said such rulings by the party would draw the activities of the parliamentary committees into controversies that could lead to these parliamentary bodies turning defunct in the days to come.

"We stand by the decision we had passed on the case," said PAC Chairman Subash Nemwang, who is a Central Committee member of CPN-UML. Besides Nemwang, other PAC members targeted and "punished" by the party include Khadga Prasad Oli, the second most powerful leader of the party.

CPN-UML has been critical of the PAC decision and conducted its own probe into the case. The probe as expected cleared Rawal of all irregularity charges. The issue was raised by members of the ruling Nepali Congress referring to the investigation of the infamous Lauda Air case that eventually led to the ouster of Girija Prasad Koirala as the prime minister. PAC had ruled that there were financial irregularities while signing the deal and the government was involved in it. Meanwhile, a Nepali Congress lawmaker accused CPN-UML of displaying double standards on this case.

Lack of competition may lower BPC price

By Bhaskar Sharma

KATHMANDU, Aug 9 - The latest controversy surrounding the test case privatization of the 30-Megawatt Butwal Power Company, one of the very few profitable state-owned ventures, has raised doubts over the government’s seriousness in pursing its policies fairly.

The controversy evolved when the privatization cell, Ministry of Finance, scrapped the technical bid of the Independent Power Company (IPC/PLC), a British-American power developer, leaving only the Norwegian Interkraft in the race for the 75 per cent shares of the BPC. Rival local business houses have promoted the power developers. While the Chaudhary Group promotes the IPC/PLC, Jyoti Group is the Nepali partner for Interkraft.

And now with only one horse in the race, who would emerge as the winner is all too obvious. It is necessary that competition prevails. If not, it would be the government that will emerge as the ultimate loser.

The bid revocation may not have drawn criticism had it been announced earlier. The IPC/PLC’s technical bid was cancelled almost six months after it was submitted to the privatization cell, Ministry of Finance. And the last minute ouster comes on flimsy grounds.

First, the power developer, the Privatization cell argues, failed to provide a covering letter. Second, part 1 and 2 of the technical bids contained no signature. However, government officials concede that the covering letter could be given at a later stage. And it is unlikely that the bid could be revoked on only such fragile grounds.

Another reason, why the current controversy flared up is the decision of the Finance Ministry to open the financial bid of the successful bidder. A notification was sent to both the bidders on Monday saying that the bid of the successful bidder would be opened on Wednesday. However, the very next day, the opening of the financial bid was postponed by a week.

And this is exactly that builds gounds for suspicion. Though the Finance Ministry says that the postponement was because of the possible absence of a "principal" government official, it seems more likely that the decisions were taken in a haste. Moreover, the decision to open the bid was taken without consultation with the Ministry of Water Resources.

This is not the first time in the BPC’s privatization shrouded in controversy. The IPC/PLC had revoked its bid even in 1999, alleging of "irregular circumstances surrounding BPC’s privatization." Responding to the first tender call, the anglo-American power developer had quoted US$ 10 million for the 75 per cent shares, which is Rs 109 per share. Interkraft had, at the same time, quoted US$ 8.25 million, which is equivalent to Rs 90 per share.

However, under the present circumstances, if the final bidder offers less than the previous bids, question arises as to what the government would do? The government has the right to ask the bidder to increase the quoted price. But if the bidder refuses, the government would be left with no choice. The government in December 1999 had scrapped the first call for BPC’s privatization only to recall the tender last September. Since then, it extended the tender period thrice. The transfer of the BPC to private hands was marred by controversy right from the beginning amid intensive lobbying from both the parties.

Above all, mounting controversy in BPC’s privatization is likely to send a negative message to all potential investors in Nepal. Though unrelated to this present event, the recent withdrawal by Credit Agricole Indosuez, a French banking group, also testifies the unfavourable climate that Nepal has for investment.

NAM felicitates Kantipur daily

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KATHMANDU, Aug 9 - Nepal Aadibasi Mahasangh ( NAM), the forum of the indigenous people in Nepal, felicitated Kantipur daily, a sister publication of The Kathmandu Post, here today for its coverage with priority the news and views of the country’s indigenous people.

Editor of Kantipur, Yuvaraj Ghimire received a letter of compliment with a purse of Rs 5,000, which he immediately handed as an assistance to NAM, amidst a programme oraganised to mark the World Indigenous Day.

On the occasion, scholar Harka Gurung and human rights activist Padma Ratna Tuladhar were also felicitated for their valued contribution to forwarding the indigenous movement in Nepal.

Speaking at the programme, Prime Minister Sher Bahadur Deuba expressed his commitment to alleviate the social status of the indigenous people, realizing the need of the strong position of the indigenous people for the development of the nation.

However, the leaders of the different indigenous communities criticized the government for not launching any programmes to observe the "Decade of the Indigenous People" as declared by the United Nation.

The UNO has declared 1994-2004 as the Decade of the Indigenous People.

Earlier in the morning a cultural procession of the indigenous people went around the thoroughfares of Kathmandu to mark the day.

NHS submits memorandum

KATHMANDU, Aug 9 (PR) - Representatives of Nepal Heritage Society (NHS) today submitted a memorandum against the construction of a barrage near Nepal-India border to the Prime Minister of India Atal Behari Vajpayee via Ambassador of India to Nepal.

President of NHS Ukesh Raj Bhuju, former president Karna Shakya, cultural scholar Satya Mohan Joshi and two other representatives from Buddhist associations visited the Indian Embassy and hundred over the memorandum to Ambassador Deb Mukharji Thursday afternoon.

The construction of the 10-kilometre long earthen embankment, east of Rassiyal-Khurd Lautan barrage and the south of Bhairahawa, the district headquarters of Rupandehi, will block the natural flow of water in the Danav River, a recently published report says.

Experts fear that the barrage and its supportive embankment will inundate over 200 villages of the 18 Village Development Committees affecting one million people in Marchawar area.

The memorandum has urged the government of India to take immediate decision to dismantle the barrage and ensure once again the age-old ties of the two countries and respect each other’s feelings of good neighbourlyhood between the two peoples and their cultural heritage.

Quoting the joint communiqué issued at the close of the then Nepali prime minister’s visit to India, it says, Nepal and India share a rich cultural heritage and the two prime ministers of Nepal and India agreed that conserving of such sites would be mutually beneficial.

It adds, "Any attempt to change this historical and cultural structure shall be considered by international community as a crime thousand times greater than what the Talibans did in Afghanistan by destroying the Buddhist statues there some time back for which both Nepal and India had strongly condemned it."

The memorandum further says the entire Buddhist community has confirmed that thousands of hectares of territories have been inundated and the people living in the area have been rendered homeless, resulting in great hardship and difficulties.

"We therefore demand that all activities relating to unilateral construction of the barrage should be stopped forthwith to prevent submergence of Lumbini, the World Heritage Site and the adjoining villages of Nepal.