Nagdhunga Tunnel Project Awaiting Operation (Photo Feature)

The Nagdhunga–Sisnekhola tunnel, Nepal’s first highway tunnel, connecting Kathmandu and Dhading, has reached its final stage of preparation for operation. Widely seen as a transformative project in the country’s transport infrastructure, it is expected to mark a new era in road connectivity.

The project was officially launched in November 2019 by then Prime Minister KP Sharma Oli, with an initial estimated cost of around Rs 22 billion. However, due to geological challenges, design changes, and other factors, the cost has risen to over Rs 27 billion.

Constructed with concessional loan assistance from the Japanese government, the project was executed by Japan’s Hazama–Ando JV. Initially targeted for completion within about 42 months (by 2022/23), delays caused by technical and geographical issues pushed the timeline, and by 2026, construction has largely been completed, with some slope stabilization and finishing works still ongoing.

The contract to operate the tunnel has been awarded to a Chinese-linked joint venture (Yusin–ART) for a five-year period. Authorities have also finalized operational preparations, including toll systems and safety measures.

The Ministry of Physical Infrastructure and Transport has already published toll rates in the official gazette. According to the approved structure, light vehicles such as cars, vans, and pickups will pay Rs 65 when entering Kathmandu and Rs 60 when exiting. Larger vehicles, including buses and trucks, will be charged higher rates depending on size and axle configuration.

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