Evaluation of Project Performance and Sustainability in the Nepal Road Infrastructure Sector

Infrastructure construction considering environmental and social aspects supports sustainable development. However, the implementation of mitigation measures is often neglected. This may affect the performance of a project, as well as the sustainability of the infrastructure. This research examines the environmental and social aspects considered in road infrastructure projects in Nepal and their effect on project performance. The data of road and bridge construction contracts are analyzed to evaluate the time and cost performance of projects in relation to environmental and social considerations. The comparative study of projects financed by the Government of Nepal (GoN) and foreign financing institutions was performed using descriptive statistics and the Mann–Whitney U test considering the non-normal distribution of data. The results showed that international financing institution-supported projects have a more robust institutional, governance, and resource management approach with proper environmental and social consideration. Finally, this research suggests the use of proper institutions, governance mechanisms, and resource management to improve performance and achieve sustainability.