Compensation Rates Fixed for Budhi Gandaki Hydropower Project-Affected Residents in Gorkha

Gorkha: Compensation rates have been finalized for residents of Chumnubri Rural Municipality affected by the Budhi Gandaki Hydropower Project, a major 341 MW semi-reservoir-based (peaking run-of-river) project currently being developed by the private sector company Sahaas Urja.

According to Him Pathak, Managing Director of Sahaas Urja, a compensation rate of Rs. 300,000 per aana has been set for land located within residential areas in Ward No. 3, Salleri—the dam construction site. For plots smaller than four aana, the rate has been fixed at Rs. 400,000 per aana, while land outside the settlement area has been valued at Rs. 150,000 per aana.

The total land required is estimated to be around 80 ropani, and the recent meeting, which included local representatives, project officials, and community members, did not finalize compensation for houses. The valuation of homes will be based on a technical report prepared by the rural municipality, according to Pathak.

A total of 26 households will be displaced by the project, and discussions are underway regarding resettlement options, said Rural Municipality Chair Nima Lama. “Some families may be resettled in Philim, others in Jagat. The final decision, however, is still pending,” he added.

The compensation meeting was attended by Chair Lama, Vice-Chair Lakshmi Gurung, Ward Chair Ramkumar Gurung of Ward 2, members of the executive body, ward members, as well as representatives from major political parties including the Nepali Congress, CPN-UML, and CPN (Maoist Centre). Residents from Salleri, Bhaluwan, Jagat, and Nagchet were also present.

The 341 MW Budhi Gandaki project, being implemented by Sahaas Urja, is set to become Nepal’s largest private-sector hydropower project. The dam will be constructed at Salleri, with electricity generated from a powerhouse at Taatopani, Dharche–3, through a 6.8 km underground tunnel.

Electricity will be transmitted via a 45 km long transmission line to the Ratamate Substation in Nuwakot, connecting to the national grid. The total estimated cost of the project stands at Rs. 70 billion.