GMR trouble in Nepal resolved: Menon

February 18th, 2009 - 6:14 pm ICT by IANS  

Kathmandu, Feb 18 (IANS) Work has resumed at the project site of Indian company GMR Energy in western Nepal after obstruction by locals since Sunday, Indian Foreign Secretary Shivshankar Menon said Wednesday at the conclusion of his two-day visit to this Himalayan country.
“Work has resumed. The problem has been put behind,” Menon said.

GMR Energy, which won a contract last year to develop the 300 MW Upper Karnali hydropower project in Nepal, ran into trouble after villagers stopped work, saying they had not been informed.

The project spans three remote districts - Achham, Dailekh and Surkhet, all three being strongholds of the ruling Maoist party.

The obstruction came after a local committee of villagers issued a statement last week, warning they would stop work if their demands were not met.

Local dailies quoted GMR officials as saying that the obstruction was causing a loss of Nepali Rs.10 million (Rs.623,800) per day.

GMR Energy officials reportedly wrote to the chief district officers of the three districts, asking for security.

Last year, when Menon had visited Nepal with Indian External Affairs Minister Pranab Mukherjee, some leading Indian ventures in Nepal, including United Telecom, Dabur Nepal and Nepal Lever, had apprised the officials of security and labour problems.

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