Energy Ministry Budget Spending Stalls at 3%, Spurring Push for Reform

Energy, Water Resources and Irrigation Minister Biraj Bhakta Shrestha has directed subordinate departments to overhaul project execution after the ministry spent only 3.08 percent of its budget two and a half months into the fiscal year. Speaking at an internal review, Shrestha urged officials to discard the habit of rushing capital expenditure at year-end, calling instead for strict project calendars, prompt tendering, and predictable systems. Energy Secretary Dr. Jagdishwor Karmacharya similarly warned that depressed capital spending threatens delivery across critical infrastructure sectors.

Administrative focus had shifted over the previous month toward seasonal disaster response. Shrestha stated that authorities must devise a dedicated recovery plan to rebuild damaged assets while simultaneously advancing development schemes. Despite the low spending, the ministry noted progress on policy milestones, including submitting draft water resources and renewable energy legislation to the Cabinet, drafting the Budhigandaki Development Authority framework, and preparing rules to enable private-sector participation in electricity trading and transmission line management.