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Reconstruction Budget Yet to Reach Crisis-Hit Ilam

After a disaster incident on October 4 and 5, 2025, which resulted in the deaths of 39 people, the federal government declared Ilam a “disaster crisis-affected” district for three months on October 9. However, with 22 days still remaining before the end of this declared period, social organizations have drawn the government’s attention, stating that Ilam, now the only district among the country’s 77 still designated as “crisis-affected”, has yet to receive any budget or programs for reconstruction.

The Ilam District Chamber of Commerce and Industry, Federation of Nepali Journalists, Federation of NGOs, Hotel Entrepreneurs’ Association, Contractors’ Association, Purveli Jeep and Taxi Entrepreneurs’ Association, and the Tourism Promotion Stakeholders’ Committee jointly issued a press statement on December 15, 2025, urging the government to immediately begin reconstruction work. According to data from district-level government offices, Ilam requires approximately Rs. 12 billion for reconstruction following the disaster.

“The government sent Rs. 50 million to Ilam’s local levels about a month ago for immediate reconstruction work (such as road maintenance and landslide clearance). But since then, the files sent by sectoral offices to their line ministries have not even been opened by the government,” said Chetnath Paudel, President of the Ilam Chamber of Commerce and Industry. “On the one hand, there is very little time left before the end of the fiscal year, which is already causing delays in the procurement process. On the other hand, elections to the House of Representatives have been announced for March 5, 2026. Under these circumstances, questions are being raised as to whether the declaration of Ilam as a ‘disaster crisis–affected’ district will become meaningless.”

The District Disaster Management Committee has repeatedly sent letters to the Ministry of Home Affairs and the National Disaster Risk Reduction and Management Authority, requesting support along with details of damage and reconstruction needs. However, so far, the federal government has neither made any decision nor allocated any budget or plans for reconstruction. Chief District Officer Sunita Nepal, who also serves as the coordinator of the District Disaster Management Committee, stated that no information has yet been received regarding budget allocation or plans for Ilam from the federal government. “The District Disaster Management Committee and sectoral offices have already sent the required reconstruction programs to their respective ministries,” she said. “It may still be in process, but we have not received any confirmation of budget or plans so far.”

According to her, details of 400 houses damaged by floods and landslides were sent, of which 380 have received the first installment for temporary housing. Twenty temporary shelters have been constructed by various organisations. The federal government had announced Rs. 50,000 per household for temporary housing, and half of this amount (Rs. 25,000) has been released in the first phase. While the first installment has reached the respective municipalities, some local governments have been unable to distribute it. Victims have complained that discrepancies in names and details have prevented the distribution of temporary housing assistance in some cases.

Roads have suffered the greatest damage in Ilam due to the disaster. The Ilam Road Division sent a reconstruction plan worth approximately Rs. 7 billion to the federal Department of Roads, but sources say the “file itself was returned.” It is reported that the ministry asked for revisions, citing the proximity of elections and stating that large-budget projects could not be implemented at this time. The Road Division Office stated that the department instructed them to submit only those projects that could be completed within the current fiscal year. “We submitted a file to the department that included both immediate and long-term reconstruction plans,” said Division Chief Pawan Bhattarai. “Of the total estimated budget we proposed, around Rs. 1 billion would be required for works to be completed within the current fiscal year.”

After the department returned the first file and asked for a revised submission, the division submitted another proposal worth Rs. 750 million, he said. “But if even that budget does not arrive immediately, there will not be enough time to proceed with procurement and implementation,” he added. “Only if the Rs. 7 billion we requested is released right away can we proceed with procurement. If it arrives in Falgun, the situation will not allow the work to be carried out.”

On December 11, Minister for Physical Infrastructure and Transport Kulman Ghising, Secretary Keshav Kumar Sharma, Director General of the Department of Roads Dr. Bijay Jaisi, Home Secretary Rameshwar Dangal, and Executive Chief of the Authority Dinesh Raj Bhatt visited Ilam to inspect the disaster damage. They had also committed to bringing both immediate and long-term plans necessary to help Ilam recover from the disaster.

However, as nearly three months have passed with little change in the situation, victims and the general public in the district have begun to feel disillusioned. “If they are going to keep raising hopes and then disappointing Ilam by citing elections and various other reasons,” said landslide victim Bir Bahadur Rai, “then the declaration of a disaster crisis–affected area seems to have been made only to appear popular.”

Dilli Khanal, District President of the Contractors’ Association, expressed dissatisfaction over the lack of expected progress in rebuilding Ilam after the disaster. “There is a real possibility that the ‘disaster crisis–affected’ declaration will remain limited to paper,” he said. “All stakeholders must coordinate and cooperate to reconstruct the damaged structures in Ilam.”

Former President of the Ilam branch of the Federation of Nepali Journalists, Biplav Bhattarai, stated that civic vigilance is now necessary. “When Ilam was declared a disaster crisis-affected area, there were high expectations among residents that recovery would become easier,” he said. “But so far, no concrete work has been carried out in line with the declaration. With elections scheduled for Falgun and the monsoon approaching thereafter, the likelihood of Ilam remaining in its current condition is increasing.”

Tourism and hotel entrepreneur Bijay Rai said that although the crisis-affected declaration raised hopes for swift reconstruction, the current situation has been disappointing. “With no concrete progress in rebuilding roads and other structures even after nearly three months, the entire district has been affected,” he said. “Ilam’s tourism sector has also suffered, and reconstruction must be expedited.”

Local resident Keshav Khanal said it is time to question the meaning of the three-month crisis-affected declaration. “Citizens must now exert pressure to rebuild Ilam,” he said. “The people of Ilam need to take a collective initiative.”

According to statistics, the floods and landslides on the night of October 4 caused damage exceeding Rs. 11.81 billion in Ilam. Chief District Officer Sunita Nepal stated that the damage amounts to more than Rs. 11 billion.

Under the Road Division, landslides affected 11 different projects, causing damage worth Rs. 6.96 billion. Under the Infrastructure Development Office, 62 roads suffered damage amounting to Rs. 2.3465 billion, 25 bridges sustained damage worth Rs. 850 million, and six buildings were damaged, amounting to Rs. 40 million.

According to the District Administration Office, under the Nepal Electricity Authority, HT lines, LT lines, and transformers of five projects were damaged, causing losses worth Rs. 24,735,952. Similarly, under the Water Resources and Irrigation Development Division, 16 river control projects suffered damage worth Rs. 134,669,000; five landslide control projects incurred losses of Rs. 17,422,000; and 72 irrigation projects were damaged, amounting to Rs. 177,159,000.

Likewise, under the Veterinary Hospital and Livestock Service Expert Center, 2,520 livestock and poultry were lost, amounting to Rs. 23,576,000, and 244 sheds and ponds were damaged, causing losses worth Rs. 19,754,000. Under the Drinking Water and Sewerage Management Department, Dhankuta Field Unit Office, 29 drinking water projects suffered damage worth Rs. 287,500,000, while under the Drinking Water and Sanitation Division Office, Bhadrapur, Jhapa, 223 projects incurred losses amounting to Rs. 280,100,000, according to Chief District Officer Nepal.

Similarly, under the Agriculture Knowledge Center, 3,409 farmers suffered losses to food and cash crops cultivated across 892.32 hectares, amounting to Rs. 274,995,750. Under the National Tea and Coffee Development Board’s Tea Expansion Program, 25 tea gardens suffered losses worth Rs. 47,550,000.

Under Nepal Telecom, damage to 10 optical fibre and cable lines amounted to Rs. 508,000. Under the Irrigation and Water Resources Management Project, Gainde Jhapa, 31 projects were damaged by landslides, causing losses worth Rs. 329,016,000. However, as reconstruction work has not progressed even after nearly two and a half months, residents of the district have begun to express growing anger.

Manoj Adhikari

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