The construction of the 216 MW Upper Trishuli-1 Hydropower Project in Mailung, Rasuwa, has been halted after workers protested over wages issues.

Workers employed by the Nepal Water and Energy Development Company, which is constructing the project, vandalised the office and vehicles on Saturday. They protested after the contractor, Power China, allegedly reduced wages and benefits without prior notice.

The main developer, Korean company Korea Energy, holds a 90 percent stake in the project. Power China reduced their basic wage from Rs15,550 to Rs12,800, leading to dissatisfaction, said Dinesh Shrestha, a worker from Ramechhap.

Clashes between workers and Power China employees escalated, resulting in the injury of four Armed Police Force personnel. During the confrontation, the offices and vehicles of Nepal Water and Energy, the main Korean construction company Doosan, and Power China were vandalised, according to the police.

A Korean Energy official said workers resorted to vandalism after Power China failed to pay them for leaves.

Construction work was suspended after the vandalism, and workers returned home. The $640 million project, which started in 2022, aims to be completed by December 2026.

(With inputs from Kantipur TV’s reporter Raj Krishna Shrestha from Nuwakot.)