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Kathmandu Tender Cancellation: KMC Cancels Five Public Works Bids

A Kathmandu tender cancellation announced by Kathmandu Metropolitan City has paused bidding for five public works projects across the capital, covering bridge, hospital and water tank works. The official notice was published by the Public Works Department on 8 September 2026, following a decision of the municipal executive dated 17 September in the Nepali calendar year 2083. All five calls for bids were still within their submission periods when they were withdrawn.

The five cancelled calls covered some of the city’s most visible infrastructure works. They include the construction of a motorable bridge over the Bagmati River at Pingalasthan in KMC 08, a motorable bridge over the Bishnumati River at Shova Bhagwati connecting wards 15 and 17, the reconstruction of the Swasthya Prabardhan Kendra building in KMC 04, a mini hospital at Kankeswori in KMC 19, and an overhead water tank at Kimdol Danda in KMC 15. Contractors who had downloaded bidding documents for these packages will now have to wait for fresh invitations.

Kathmandu tender cancellation notice published by Kathmandu Metropolitan City Public Works Department showing five cancelled tender contracts
The official tender cancellation notice published by Kathmandu Metropolitan City.

Why the Kathmandu Tender Cancellation Happened

According to the notice, the cancellation rests on two official developments. First, the Public Procurement Monitoring Office informed the metropolis that amendments to the Public Procurement Rules 2083 have been published in the Nepal Gazette, which means the standard bidding documents must be revised before any new call can go out. Second, the electronic government procurement system, known as e-GP, has been flagged as carrying a high security risk and is currently under repair and maintenance. The monitoring office has advised public bodies to suspend use of the existing e-procurement system until further notice. Acting on these letters and its own decision of 17 September 2083, the Public Works Department cancelled the five calls.

Which Projects Are Affected

  • 24-34-082-083-NCBW-PWD-KMC: Construction of Motorable Bridge over Bagmati River at Pingalasthan, KMC 08
  • 01-01-083-084-NCBW-PWD-KMC: Construction of motorable bridge over Bishnumati River at Shova Bhagwati Connecting Ward 15 and Ward 17 of KMC
  • 01-02-083-084-NCBW-PWD-KMC: Re-Construction of Swasthya Prabardhan Kendra Building KMC-04
  • 01-03-083-084-NCBW-PWD-KMC: Construction of Mini Hospital at Kankeswori, KMC-19 PHASE II
  • 02-04-083-84-NCBW-PWD-KMC: Construction of Overhead Tank at Kimdol Danda, KMC-15

What This Kathmandu Tender Cancellation Means for Contractors

For construction companies, the Kathmandu tender cancellation means bids already being prepared cannot be submitted, and any bid security tied to these packages will need to be recovered through the normal process. Fresh bidding documents are expected once the standard templates are updated in line with the amended procurement rules, so firms should watch the Public Works Department and the national e-bidding portal for reissued calls.

For residents, the practical effect is a delay to projects that many neighbourhoods have been waiting for. The two river bridges would improve motorable access across the Bagmati and Bishnumati corridors, while the mini hospital at Kankeswori and the overhead tank at Kimdol Danda are directly linked to health services and drinking water supply. The metropolis has not announced revised timelines, but the notice makes clear the cancellations are procedural rather than a rejection of the projects themselves.

What Happens Next

The notice suggests new tender calls will follow once the bidding documents are revised and the e-GP platform is restored to secure operation. Until then, contractors are advised to rely only on official announcements from Kathmandu Metropolitan City and the Public Procurement Monitoring Office, and to disregard unofficial claims about the status of these five packages. Industry observers say the episode underlines how dependent Nepal’s public procurement has become on digital systems, and how quickly rule changes can ripple through the pipeline of municipal works.

Read the full official notice on the Kathmandu Metropolitan City website.

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