Built with Chinese Loans, Nepal’s Pokhara International Airport Hits Turbulence | Exclusive – News18

Nepal’s Pokhara International Airport built with Chinese loans is facing several technical and engineering-related problems, CNN-News18 has learnt. An in-depth study conducted by the Centre for Social Inclusion and Federalism, a think tank from the country, added that designs prepared by a Chinese company for the airport were not scrutinised by the Civil Aviation Authority of Nepal (CAAN) and its leadership.

The study has highlighted several other issues. The lack of planning and coordination around the airport, and the safety issues such as clearance of the landfill site, both during and after its inauguration, suggest a willful disregard towards passenger safety, the study says. CAAN officials also changed pilot rules after the Yeti Airlines crash in January, but it was evident that the pilot was allowed to test a new approach path with passengers on board, which should not have been cleared by the air traffic control officials.

This points to a foundational weakness in CAAN, in that it is both the regulator as well as service provider, which has been one of the key reasons outlined by the European Union in its ban on Nepali airlines.

The study also revealed that the airport was inaugurated without fixing all necessary equipment and sufficient preparations following pressure from above.

The airport was inaugurated in haste, which was confirmed by the fact that the government decided to set up a customs office at the new airport only a week after its inauguration, the study said.

Pokhara International Airport has already become a debt trap. The earnings are disappointing, and the airport is struggling to meet its financial obligations.

To cover the expenses incurred in the construction of the airport and its capital interest, the new airport alone needs to earn 11.4 million dollars or 1 trillion 50 billion rupees annually.

This poses a significant challenge, as in the next three months Exim Bank China will require a monthly interest payment of 3.2 million dollars, adding further pressure and burden on the airport’s finances.

Chinese lenders, the Export-Import Bank of China, have taken over the Ugandan Entebbe International Airport and other assets in the country over the failure of the government there to repay a loan.

The loan terms and payback period are exactly the same as for the Pokhara International Airport.

CAAN officials and leadership are responsible for the current plight of Pokhara International Airport, according to the study. The airport was built under project director Pradip Adhikari who was also the lead for another disputed project, Gautam Buddha International Airport. He hit the headlines for facilitating meetings with Chinese contractors during the Nepal Prime Minister’s China visit.

Adhikari, who is currently serving as director general of CAAN, was recently criticised for impulsive decisions and directives.

A few weeks back, he introduced some rules restricting rescue flights in the Karnali region. There were reports in national and international media that many people lost their lives in the absence of medical rescue.

According to local media reports, Adhikari, a civil engineer, has close proximity to Chinese contractors, is manipulating the political leaders, and engages in media trials.

This is the first time in Nepal’s aviation history that CAAN has been dragged into so many disputes and issues which have damaged its international image, a former director of the authority said.

Of late, Adhikari has been lobbying for the construction of Nijgadh International Airport, neglecting the concerns of environmentalists and without considering its economic viability, said sources.

As Pokhara International Airport and Gautam Buddha International Airport are becoming ghost airports, it is uncertain how the new airport could be a successful project.

Though many questions have been raised about the CAAN leadership, Prime Minister Pushpa Kamal Dahal ‘Prachanda’ has not taken any action against Adhikari.