Dispute of the Contracts: A Case from Sikta Irrigation Project, Banke, Nepal

Abstract

Purpose: Government of Nepal (GoN) is implementing many small, medium and large type of Irrigation Projects. Sikta Irrigation Project (SIP) is the National Pride Project implemented by the GoN. The command area of the project has 42766.00 ha and the beneficiary of the project have 46715 households consisting of 4,49,588 population of  Banke district. The overall objective of the study is to assess the consequences of delay and dispute of the selected contracts of Sikta Irrigation Project, Banke, Nepal.

Design/Methodology/Approach: Using secondary data of the contract the mean planned duration is compared with mean actual duration to analyze delay analysis and Disputes of the contract have been interpreted based on standards of contract using content analysis.

Findings/Result: The mean planned duration of the contracts under the study is 17.42 months and mean actual time 32.28 months with a standard deviation of 7.72 months and meantime variance is 13.46 months behind the schedule and meantime overrun is 14.85 months. Dispute resolution of only Papu costal JV has been analyzed. The contracts need to be rectified in terms of time by proper scheduling and resource leveling based local calendar. Hope the new amendments (PPMO 10th) of time extension will be helpful for the timely completion of contracts.

Originality/Value: Action research to enhance the performance of Projects by avoiding Disputes.

Paper Type: Analytical Policy Research.