A complete draft of Agreement between India and Nepal
India and Nepal inked an Agreement on twentyfifth day of April 1954, according to that india was desirous of constructing a barrage, head-works and other appurtenant work about 3 miles upstream of Hanuman Nagar town on the Kosi River with afflux and flood banks, canals and protective works, on land lying within the territories of Nepal, for the purpose of flood control, irrigation, generation of hydroelectric power and prevention of erosion of Nepal areas on the right side of the river, upstream of the barrage.
Nepal has agree to the construction of the said barrage, head-works and other connected works by and a the cost of the Union, in consideration of the benefits hereinafter appearing.
1. Both Countries agree as follows:
(i) The barrage will be located about 8 miles upstream of Hanuman Nagar town.
(ii)The general layout of the barrage, the areas within afflux bank, flood embankments.
2. Preliminary Investigations and Surveys
(i) Nepal shall authorise and give necessary facilities to the canal and other officers of the India or other persons acting under the general or special orders of such officers to enter upon such lands as necessary with such men, animals, vehicles, equipment, plant, machinery and instruments as necessary and undertake such surveys and investigations required in connection with the said Project before, during and after the construction, as may be found necessary from time to time by the Chief Engineer, Public Works Department (Kosi Project ) in the Irrigation Branch of the Bihar Government. These surveys and investigations will comprise aerial and ground surveys, hydraulic, hydrometric, hydrological and geological surveys including construction of drillholes for surface and sub-surface explorations; investigations for communications and for materials of construction; and all other surveys and investigations necessary for the proper design, construction and maintenance of the barrage and all its connected works mentioned under the Project.
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(ii) Nepal will also authorise and give necessary facilities for investigations of storage or detention dams on the Kosi or its tributaries, soil conservation measures such as check dams, afforestation, etc., required for a complete solution of the Kosi problem in the future.
3. Authority for Execution of Works and Occupation of Land and other Property.
(i) Nepal will authorise the Union to proceed with the execution of the said Project as and when the Project or a part of the Project receives sanction of the said Union and notice has been given by the Union to Nepal of its intention to commence work on the Project and shall permit access by the engineer(s) and all other officers, servants and nominees of the Union with such men, animals, vehicles, plants, machinery, equipment and instruments as may be necessary for the direction ad execution of the project to all such lands and places and shall permit the occupation, for such period as may be necessary of all such lands and places as may be required for the proper execution of the Project.
(ii) The land required for the purposes mentioned shall be acquired by Nepal and compensation thereof shall be paid by India in accordance with provisions.
(iii) Nepal will authorise officers of the India to enter on land outside the limits or boundaries of the barrage and its connected works in case of any accident happening or being apprehended to any of the said works and to execute all works which may be necessary for the purpose of repairing of preventing such accident: compensation, in every case, shall be tendered by India to the proprietors or the occupiers of the said land for all damages done to the some through Nepal in order that compensation may be awarded.
(iv) Nepal will permit India to quarry the construction materials required for the Project from the various deposits as Chatra, Dharan Bazar or other places in Nepal.
4. Use of water an power
(i). Without prejudice to the right of Government to withdraw for irrigation or any other purpose in Nepal such supplies of water, as may be required from time to time, India will have the right to regulate all the supplies in the Kosi River power at the Barrage site in to generate power at the same site for the purpose of the Project.
(iii) Nepal shall be entitled to use up to 50 percent of the hydro-electric power generated at the Barrage site Power House on payment of such tariff rates as may be fixed for the sale of power by India in consultation with Nepal.
5. Sovereignty and Jurisdiction
India shall be the owner of all lands acquired by Nepal under the provisions of clauses 3 hereof which shall be transferred by them to India and of all water rights secured.Provided that the sovereignty rights and territorial jurisdiction of Nepal in respect of such lands shall continue unimpaired by such transfer.
6. Royalties
(i)Nepal will receive royalty in respect of power generated and utilized in the Indian Union at rates to be settled by agreement hereafter. Provided that on royalty will be paid on the power sold to Nepal.
(ii) Nepal shall be entitled to receive payment of royalties from India in respect of stone, gravel and ballast obtained from the Nepal territory and used in the construction and future maintenance of the barrage and other connected works at rated to be settled by agreement hereafter.
(iii)India shall be at liberty to use and remove clay, sand and soil without let or hindrance from lands acquired by Nepal and transferred to the India.
(iv) Use the timber from Nepal forests, required for the construction shall be permitted on payment of compensation.
Provided to compensation will be payable to Nepal for such quantities of timber as may be decided upon by Nepal and India to be necessary for use on the spurs or other training works required for the prevention of caving and erosion of the right bank in Nepal.
Provided likewise that no compensation will be payable by India for any timber obtained from the forest lands acquired by Nepal and transferred to India.
7. Customs Duties
Nepal shall charge no customs duty or duty of any kind during construction and subsequent maintenance, on any articles or materials required for the purpose of the project and the work connected therewith or for the bona fide use of the India.
8. Compensation for Land and Property
(i) For assessing the compensation to be awarded by the India to Nepal in cash (a) lands required for the execution of the various works as mentioned in clause 3(ii) and (b) submerged lands, will be divided into the following classes:
1. Cultivated lands
2. Forest lands
3. Village lands and houses and other immovable property standing on them.
4. Waste lands (i) All lands recorded in the register of lands in the territory of Nepal as actually cultivated shall be deemed to be cultivated lands for the purposes of this clause.
(ii) The India shall pay compensation
(a) to the Nepalfor the loss of land revenue as at the time of acquisition in respect of the area acquired and
(b) to whomsoever it may be due for the Project and transferred to India.
(iii) The assessment of such compensation, and the manner of payment shall be determined hereafter by mutual agreement between Nepal and India.
(iv) All lands required for the purposes of the project shall be jointly measured by the duly authorised officers of Nepal and India respectively.
9. Communications
(i) Nepal agrees that India may construct and maintain roads, tramways, ropeways etc. required for the Project in Nepal and shall provide land for these purposes on payment of compensation .
(ii) Subject to the territorial jurisdiction of Nepal the ownership and the control of the metalled roads, tramways, and railway shall vest in India. The roads will be essentially departmental roads of the irrigation Department of India and any concession in regard to their use by commercial and non-commercial vehicles of Nepal shall not be deemed to confer any right of way.
(iii) Nepal agreed to permit, on the same terms as for other users, the use of all roads, waterways and other avenues of transport and communication in Nepal for bona fide purposes of the construction and maintenance of the barrage and other connected works.
(iv) The bridge over Hanuman Nagar Barrage will be open to public traffic but India shall have the right to close the traffic over the bridge for repairs, etc.
(v) Nepal agrees to permit the use of telephone and telegraph in the project area to authorised servants of Nepal for business in emergencies provided such use does not in any way interfere with the construction and operation of Projects.
10. Use of River Craft
All navigation rights in the KosiRiver in Nepal will rest with Nepal. The use of water-craft like boat launches and timbe rafts within two mils of the Barrage and headworks shall not be allowed except by special licence under special permits to be issued by the Executive Engineer, Barrage. Any unauthorised watercraft found within this limit shall be liable to prosecution.
11. Fishing Rights
All the fishing rights in the KosiRiver in Nepal except within two miles of the Barrage shall vest in Nepal of Nepal. No fishing will be permitted within two miles of the Barrage and Headworks.
12. Use of Nepali labour
India shall give preference to Nepali labour, personnel and contractors to the extent available and in its opinion suitable for the construction of the Project but shall be at liberty to import labour of all classes to the extent necessary.
13. Administration of the Project Areas in Nepal
India shall carry out inside the Project areas in the territory of Nepal functions such as the establishment and administration of schools, hospitals, provision of water-supply and electricity, drainage, tramway lines and other civic amenities.
14. Nepal shall be responsible for the maintenance of laws and order in the Project areas within the territory of Nepal. Nepal and Union shall, from time to time consider and make suitable arrangements calculated to achieve the above object.
15. If so desired by India, Nepal agrees to establish special court or courts in the Project area to ensure expeditions disposal of cases arising within the Project area. India shall bear the cost involved in the establishment of such courts, if Nepal so desires.
16. Future Kosi Control Works
If further investigations indicate the necessity of storage or detention dams and other soil conservation measures on the Kosi and its tributaries, Nepal agree to grant their consent to them on conditions similar to those mentioned herein.
17. Arbitration
If any question, differences or objections whatever shall arise in any way, connected with or arising out of this agreement or the meaning or operation of any part thereof or the rights, duties or liabilities of either party, except as to decisions of any such matter as therein before otherwise provided for, every such matter shall be referred for arbitration to two persons-one to be appointed by Nepal and the other by India-whose
Decision shall be final and binding, provided that in the event of disagreement between the two arbitrators, they shall refer the matter under dispute for decision to an umpire to be jointly appointed by the two arbitrators before entering on the reference.
18. This agreement shall be deemed to come into force with effect from the date of signatures of the authorized representatives of Nepal and India. Respectively.