Monday, July 27th, 2026

Butwal–Palpa tunnel nearing completion, traffic operation targeted for October



BHAIRAHAWA: Construction work on the under-construction tunnel along the Butwal–Palpa section of the Siddhartha Highway has been accelerated with the aim of bringing it into operation from October.

The project has stated that structural works inside the tunnel, access roads, and security arrangements are being carried out simultaneously. According to the project, physical progress has reached 68 percent, while financial progress stands at 58 percent.

The tunnel, being constructed under the Engineering Procurement and Construction (EPC) model with a five-year construction period, places full responsibility for design, approval, and construction on the contractor.

Project Chief Rajesh Poudel said the work has been expedited in line with the target of opening the tunnel for traffic by October. He added that the construction company will also be responsible for operation, maintenance, and security for five years after completion, with this period treated as the Defects Liability Period (DLP).

He said the project faced delays in the initial phase due to legal and technical complications, including documentation issues, tree-felling permits, and budget management challenges, as the EPC model is relatively new in Nepal. According to him, these issues are now being resolved, and extension and milestone adjustments are in their final stage.

Approval has been obtained for laying rigid pavement on the access road leading to the tunnel. The project also plans to undertake rock shed construction and slope protection works in vulnerable areas after the tunnel becomes operational. A safe pedestrian pathway will be built within the rock shed, along with drinking water facilities in surrounding areas.

Although the initial estimated cost of the project was around Rs 10 billion, the contract was awarded for approximately Rs 7 billion through a competitive bidding process. The project aims to ensure safer travel and reduce loss of life and property, as this section of the Siddhartha Highway is considered highly vulnerable to landslides and erosion.

Publish Date : 25 May 2026 12:37 PM

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