The joint committee, represented by the ruling Nepali Congress and CPN-UML and opposition parties—UCPN (Maoist) and Rastriya Prajatantra Party (Nepal), were obstructing work on the project for abiding by its dictation. The political alliance had written to the Chinese contractor — Guangxi Hydroelectric Construction Bureau — asking it not to start work without its go-ahead, and to consult it before signing any sub-contract or procuring construction materials. The alliance had also directed the contractor to include its members in the recruitment process while hiring workers.

The political cadres even vandalised a tanker supplying oil to the project, as the supplier was not chosen by the alliance. The contractor then reached out to Prime Minister Sushil Koirala to complain, following which Koirala directed the authorities concerned to ensure smooth work on the project.

Announcing the annulment of the joint committee at project site in Jambu, the parties stated they would cooperate with the contractor to develop the project.

Yudhir Paudel of Nepali Congress said the parties scrapped the alliance realising that its acts could affect the project adversely. “We are ready to help in the project construction provided the company lives up to its commitment,” said Paudel.

Saral Sahayatri Paudel, a cadre of the UCPN-Maoist, said they would not interfere in the project construction.

The hydropower project, mainly promoted by Chilime Hydropower, plans to complete the construction by 2016.