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FEDERALISM
DIALOGUES
Series 8
PROPOSED
LUMBINI-AWADH-
T H A R U W A N
PROVINCE
28-30 June, 2010
Proposed Lumbini–Awadh–Tharuwan Proposed Kirat Province Province Report Report
a
Nepal

Published by :
Centre for Constitutional Dialogue (CCD) - 2011
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Disclaimer: These proposed provincial Federalism Dialogue reports have been prepared
by UNDP/SPCBN/CCD to support a fact-based discussion of the fourteen province proposal
presented by the Constituent Assembly (CA) Committee on State Restructuring and Division of
State Powers (CSRDSP) in February 2010.
Non-Endorsement: The preparation of these Federalism Dialogue reports in no way is intended
or should be construed to be an endorsement by UNDP or the CCD of this particular proposed
federal model or any recommendation in Nepal’s on-going debate on its future federal structure.
b Federalism Dialogues Series 8

FEDERALISM
DIALOGUES
Series 8
PROPOSED
LUMBINI-AWADH-
T H A R U W A N
PROVINCE
28-30 June, 2010
Proposed Lumbini–Awadh–Tharuwan Province Report
i

TABLE OF CONTENTS
Map of proposed 14 provinces ....................................................................................................................... iii
Introductory Note ................................................................................................................................................. 1
1. General Introduction...................................................................................................................................... 9
2. Overview of Proposed Lumbini–Awadh–Tharuwan Province Federalism Dialogue............10
3. Major Issues......................................................................................................................................................12
4. Introduction to Dialogue............................................................................................................................14
A. Background
B. Venue and Date
C. Participants
5. Dialogue Proceedings..................................................................................................................................15
A. Day I
B. Day II
C. Day III
6. Evaluation Summary.....................................................................................................................................31
7. Recommendations........................................................................................................................................32
Annexes
Program Agenda...................................................................................................................................................34
List of participants................................................................................................................................................36
Presentation by local resource person..........................................................................................................39
Group Work Outcomes.......................................................................................................................................48
Map............................................................................................................................................................................53
ii Federalism Dialogues Series 8

Baitadi
Dadeldhura
Kanchanpur
Humla
!
SIMIKOT
Darchula
Khaptad
Bajhang
Mugu
Bajura
Jadan
!
DIPAYAL SILGADHI
Jumla
Doti
Kalikot
Dolpa
Achham
Karnali
Dailekh
Jajarkot
Kailali
!
BIRENDRANAGAR
Rukum
Surkhet Myagdi
Bardiya
Salyan
Rolpa
Baglung
Banke
Lumbini-Awadh-Tharuwan
Magrat
Pyuthan
Gulmi
! GHORAHI
Dang
Arghakhanchi
Palpa
Kapilbastu
Rupandehi
As proposed by the Committee
on State Restructuring and
the Division of State Power
Mustang
Manang
Tamuwan
Kaski
Lamjung
Gorkha
Parbat
Syangja
TANSEN
! POKHARA
Tanahu
Dhading
Narayani
!
!
Nawalparasi
BHARATPUR
Chitawan
Rasuwa
Tamsaling
Sindhupalchok
Nuwakot
Dolakha
!
KATHMANDU Kathmandu CHAUTARA
Solukhumbu
!
Newa
Bhaktapur
Sankhuwasabha
Taplejung
Kavrepalanchok
Lalitpur
Ramechhap ! SALLERI
Makwanpur
Sunkoshi
Parsa
Sindhuli
! KAMALAMAI
Bara
Rautahat
Sarlahi
Udayapur
Sherpa
Okhaldhunga
Mithila-Bhojpura-Koch-Madhesh
Mahottari Dhanusa
Siraha
! TRIYUGA
! JANAKPUR
Saptari
Kirat Limbuwan
Khotang
Bhojpur
Terhathum Panchthar
Dhankuta
Ilam ! ILAM
Sunsari
Morang
Jhapa
Proposed Lumbini–Awadh–Tharuwan Province Report
iii

iv Federalism Dialogues Series 8

Introductory Note to Nepal’s Federalism
Dialogues
March-December 2010
Under the initiative of the Center for Constitutional Dialogue (CCD) and
the Civil Society Outreach (CSO) programme of UNDP/Nepal, federalism
dialogues were held in all of Nepal’s proposed fourteen provinces. The
main objective of the programme was to organize informed and reasonbased
dialogue between experts and provincial level stakeholders
(political party leaders, civil society members, ethnic activists etc.)
about the concept and global experiences of federalism in general and
the federal structure for Nepal proposed by the Constituent Assembly
(CA)’s Committee on State Restructuring and Distribution of State Power
(CSRDSP), in particular.
A strength of the programme was that
participants carried out a critical review
of CSRDSP’s overall proposal for a federal
division of Nepal, and also provided specific
feedback on their own particular provinces.
At the outset, the experts informed the
participants about different aspects of
federalism. The dialogue was organized so
that the experts presented their lectures in
four sessions during the first day and a half,
and the participants shared their thoughts
during the remaining day and a half.
Participants’ opinions and considerations
are largely covered in the subsequent 14
volumes. This introductory section covers
the lecture notes, prepared and presented
by the experts (Prof. Krishna Khanal and Prof.
Krishna Hachhethu) during the dialogues.
I. Nepal: Journey towards a
Federal Path
I. 1. Understanding federalism
- A single entity in the global map
of countries but incorporating the
existence of two political units,
each with their separate territory,
administration and political
structure.
- Rule by both the center and the
provinces. Rule by the province is
confined to its territory, but rule
by the center covers the entire
country.
- A constitutional division of power
between the center and the
provinces.
Proposed Lumbini–Awadh–Tharuwan Province Report 1

- Self rule within the provinces and
shared rule at the center.
- No unilateral change in the
rules either by the center or by
the provinces. Changing the
rules requires a constitutional
amendment in which both the
center and the provinces will have
a role.
I. 2. Federal countries are constituted
by the ‘coming together’ of previously
independent political units (i.e. USA,
Switzerland etc) to achieve a common
goal, or by the ‘holding together’ of earlier
sub-political/administrative units (i.e. India,
Belgium, Spain, Austria etc) to manage social
diversity. There are altogether 28 federal
countries in the world.
I. 3. Logic and rationale for transforming
Nepal into a federal country
Three major reasons why Nepal is
moving towards a federal path:
- To address the rising aspirations
of identity of Nepal’s ethnically,
linguistically, culturally and
regionally diverse social groups,
and to manage the country’s
diversity.
- To create a strong foundation
for democracy by constituting a
political structure at the provincial
level.
- To create political economy units
for expansion and distribution of
services to the people.
I. 4. Transition towards federalism in
three stages
Stage 1: Constitutional division
of power between center and
provinces;
Stage 2: Designing new laws
and amending existing laws to
implement a federal structure;
Stage3: Creation of the political
and administrative structure of
the provinces.
I. 5. Possible consequences of heading
towards a federal path
- Expansion of the bases of state
authority to the provincial level to
address the collective aspirations
of caste/ethnic groups.
- Increase in the sense of ownership
of the state and nation of Nepal.
- Speed up in economic
development.
- Increase in the role of regional
parties and decrease in the role of
national parties.
- Center may remain strong as its
jurisdiction extends throughout
the entire country.
- Possible ethnicization in politics
and adverse impact on social
harmony.
- Possible reduction in the interprovincial
mobility of citizens.
- Provincial politics may have
serious problems of nepotism,
favoritism and corruption if not
properly handled.
- Creating a culture conducive to
federalism is the most challenging
task.
2 Federalism Dialogues Series 8

II. Review of the CA Proposal on
Federalism in Nepal
II. 1.
Federal units constituted
primarily on the basis of identity
but most proposed provinces are
multicultural
- Identity and capability are the
two main criteria for constituting
federal units. Identity in Nepal at
the time of designing the federal
units is largely constructed on an
ethnic and regional basis.
- Creation of 14 provinces is
primarily on the basis of identity.
Names of provinces are primarily
based on ethnic identity.
- Provincial boundaries were drawn
through deconstruction of the
present territorial boundaries of
29 districts (where necessary) and
the territory reformulated to suit
the creation of cultural territories.
However, most provinces appear
to be multicultural, as shown in
table below.
Caste/ Ethnic Status of the 14 Proposed Provinces
Caste and Ethnicity %
S. N. Name of Population Area Hill Indigenous Madheshi Other Majority Caste/ Target group
province
Sq Km caste People
ethnicity or
dominant
group
1 Limbuwan 933,000 9,000 34 64 - 1 Hill Caste Limbu (27)
2 Kirat 896,000 8,000 38 59 - 1 Hill Caste Rai (34)
3 Sherpa 89,000 5,000 21 78 - 1 Sherpa Sherpa (36)
4 Mithila- 6,940,000 14,000 15 24 49 12 Madheshi Madheshi (49)
Bhojpura-
Koch
Madhesh
5 Sunkoshi 699,000 5,000 47 51 2 - Hill Caste Chhetri (26)
6 Tamsaling 1,419,000 10,000 35 65 - - Hill Caste Tamang (44)
7 Newa 1,702,000 1,000 40 56 1 2 Hill Caste Newar (36)
8 Narayani 1,766,000 8,000 54 43 2 1 Hill Caste Brahmin (27)
9 Tamuwan 571,000 12,000 47 50 2 - Hill Caste Gurung (32)
10 Magarat 2,012,000 15,000 56 41 2 - Hill Caste Magar (34)
11 Lumbini- 3,765,000 15,000 33 36 23 8 Hill Caste Tharu (26)
Awadh-
Tharuwan
12 Karnali 987,000 18,000 80 15 - 4 Hill Caste Chhetri (42)
13 Jadan 48,000 15,000 60 35 - 4 Hill Caste Bhote
Lama(35)
14 Khaptad 1,151,000 14,000 95 1 - 3 Hill Caste Chhetri (54)
Proposed Lumbini–Awadh–Tharuwan Province Report 3

II. 2.
There was unanimity towards
adopting a parliamentary system
at the provincial level
- Provincial government: Chief
Minister would be elected by
provincial legislature. (Committee
for the Determination of the Form
of Government).
- 28 items under the jurisdiction of
the province (including provincial
level administration, fiscal
management, taxation and other
services).
- 27 items under concurrent list
between the center and the
province.
- Provincial Legislature: A
35-member unicameral legislature
to be elected by a mixed electoral
system with equal weight to both
FPTP and PR. Those elected by
PR should be inclusive of social
groups (Committee for the Form
of Legislature).
- 20 items under the jurisdiction of
the local government.
- 20 items under the jurisdiction of
the autonomous area.
The CSRDSP’s proposal seems to be
guided by the principle of centralized
federalism as its proposals provide for:
- Provincial Judiciary: Appointment
of Chief Justice and Judges of
provincial courts by a special
committee (decided by High Level
Task Force).
1. Residuary power vesting in the
center.
2. One constitution, not many
constitutions.
- Provincial Administration: One
administrative system but
recognition of two structures
(central and provincial) at
three levels, giving priority in
recruitment to the people of
the concerned province/area
(Committee for the Determination
of the Form of Government).
3. Power of the center to dissolve
provincial government and
legislature.
4. Subordinate role of Upper House
(a house of provinces).
5. Constitutional Court – the final
body of dispute resolution – under
central jurisdiction.
- Two-tiered political/administrative
structure at the provincial level:
provincial and local government
and special structures.
6. A provision of mandatory
approval by 2/3 majority of central
legislature for revision of name
and boundary of province and
autonomous areas.
II. 3.
Division of Power between center,
province and local government/
autonomous regions
- 30 items under the jurisdiction
of the center (including defense,
security and foreign affairs, foreign
aid and international trade, currency
and national revenue, central level
administration, fiscal management,
and other services etc.).
II. 4.
7. Centralized revenue collection
and distribution system.
Provisions for self rule are vague
and ambiguous
1. Right to self determination is
granted to indigenous groups,
indigenous nationalities and
Madheshis, and is limited to the
extent of no right to secede.
4 Federalism Dialogues Series 8

II. 5.
II. 6.
2. Prime political rights at both
provincial level (non-mandatory)
and autonomous area level
(mandatory).
3. Referendum in case provincial
legislature’s decision (by twothirds
majority) to revise the name
and territory of province is not
approved (by two-thirds majority)
by the central legislature. The
same provision is provided for
creation of a new province or the
merger of two and more provinces
into a single province.
4. Special structures – Autonomous
Regions, Special Areas and
Protected Areas – under
jurisdiction of provincial laws.
Provision for decentralized local
government
Committee for the Form of Legislature
decided: 70% of the seats would be
elected on the basis of MMC electoral
system with provision of inclusive and
proportional representation of different
social groups. For the remaining 30%
of the seats, a list PR system ensuring
election of those communities that are
left out by direct election.
Committee for the Form of Government
decided: Executive Committee of the
local government is constituted by:
5-7 members in Village Committee;
5-9 members in Municipal
Committee; and 5-11 members in
Metropolitan Committee. Direct
election of Chair and Vice-Chair of the
local government but nomination of
members of the executive committee
of local government on the basis
of parties’ seats and strength in
legislative body of local government.
Provision is made for special
structure for tiny minorities
A. Autonomous areas for tiny
minorities living in a geographical
area (22 ethnic autonomous areas
identified).
B. Protected areas for most
marginalized and vulnerable
groups.
C. Special areas for most backward areas.
Political/administrative structure and
functions of these special areas are yet to
be designed. Jurisdiction of autonomous
area is 20 items, including (1) exploration
and management of mineral resources,
(2) language, culture, script and religion,
(3) harnessing and utilization of natural
resources, and (4) customary courts –
which are not listed under jurisdiction of
local government.
An elected body of an autonomous area
has rights related to executive, legislative
and judiciary to the extent that they
should not contradict the provincial law.
II. 7. Some points that need to be
considered are:
1. Absence of provision of minority
rights at provincial level.
2. Inclusive and proportional
representation and quotas for
women and Dalits (3% and 5%
more than the size of the Dalit
population at the federal and
provincial levels respectively), and
their special rights.
3. A system of sub-provisions for
large provinces, like Mithila-
Bhojpura-Koch Madhesh and
Lumbini-Abadh-Tharuwan.
4. Framing of local units, including
Autonomous or Special or
Protected Areas as one political/
electoral/developmental and
administrative area to avoid dual
rule in one particular area.
Proposed Lumbini–Awadh–Tharuwan Province Report 5

5. Need for a clear provision
concerning what extra rights
an Autonomous or Special or
Protected Area enjoys over other
local government units.
III. New Dimension of Nepali
Nationalism: Rights of
Minorities
III. 1.
In a country like Nepal, with
caste/ethnic, linguistic and regional
diversity, federalism serves nation
building in the following ways:
III. 2.
- Recognition of identity
- Provincial autonomy
- Political management of diversity
- Rights of minorities
- Learning to live together
The CA Constitutional Committee defines
the Nepali nation as a multiethnic,
multilingual, multicultural society
in which people are bound together
with common aspirations and respect
for the national interest, independence
and integrity. Nepal is an independent
sovereign state characterized
as a republic, secular, inclusive,
multi-ethnic and oriented towards
socialism.
Aspirations of the indigenous
nationalities and other social groups
from a federal structure:
- Identity and autonomy based on
caste/ethnicity, language, culture
and region.
- Constitutional provision for social
justice and positive discrimination
to end all kinds of discrimination
against ethnic groups, women,
Dalits, Madheshis and other
III. 3.
marginalized groups.
- Reservation for excluded groups
in proportion to the size of their
own populations.
- Inclusive and proportional
representation of all caste/ethnic
groups.
- Right to self determination as a
fundamental right.
- Political prime rights.
- Prime rights for indigenous
nationalities over land, water and
forests.
- Constitutional provision ensuring
rights as provided by ILO 169, UN
Declaration and international law.
- Mother tongue as medium of
education and also for right to
information.
minority groups
Provisions on the rights of
The CA refers to minorities as those groups
that have been discriminated against and
marginalized by the state. It also includes
those deprived and marginalized groups
that are numerically lower in terms of
caste/ethnicity, language and religion.
- Positive discrimination: though
providing equal rights to citizens
in the application of law and
distribution of opportunities, the
state can legally make specific
provisions for those who are
backward socially, culturally and
economically. The groups that
are identified as being entitled
to receive benefits from positive
discrimination are broad and
vague as they include all groups
except adult urban citizens.
- Political prime rights for the
targeted group for the post of
6 Federalism Dialogues Series 8

chief executive at the provincial
level and in autonomous regions.
- Indigenous nationalities are
entitled to special opportunities
for the protection and promotion
of their language and culture,
and for their development and
empowerment.
- Indigenous groups, indigenous
nationalities and Madheshis have
the right to self determination.
So far as rights granted by ILO
169 are concerned, this applies
to those peoples who have been
living in the country since before
the construction of the present
territory of Nepal and who have
been left out of the mainstream of
development.
- Discrimination against Dalits
is a social crime and subject
to punishment. In addition to
a provision for reservations,
affirmative action and inclusive
proportional representation
in proportion to size of their
population, the representation of
Dalits in the state apparatus will
be higher by 3% at the central
level and 5% at provincial level.
- Concerning women, provisions
are made for gender equality,
reservations, affirmative action,
sexual and maternity rights,
and inclusive representation at
all levels of the state apparatus
in proportion to the size of the
population.
- All mother tongues are
national languages, but for
the present Nepali alone is the
official language of the central
government. In the future, other
languages may also be recognized
as official languages of the central
government provided the Linguistic
Commission recommends and the
central legislature approves. At
provincial and local levels, the local
languages could also be used as
official languages.
- Proposals are of made for 11
constitutional organizations, some
of which relate to the excluded
groups, i.e. a Women’s Commission,
Dalit Commission, Indigenous
Nationalities Commission,
Madheshi Commission, Muslim
Commission etc.
IV. Fiscal Federalism
IV. 1
Understanding Fiscal Federalism
Fiscal federalism includes (1) income
and expenditure of all the three levels
of government: central, provincial and
local; (2) sources of their income: self,
shared and grants; (3) equalization
through extraction of more revenue
from developed provinces and
distribution of more grants to
underdeveloped provinces.
IV. 2. Sources of income
1. Central government: customs,
antasulka, VAT, institutional tax and
fees for different services;
2. Provincial government: income
tax, property tax, professional tax,
malpot, registration fees, vehicle tax,
entertainment tax, advertisement
tax, tourist fee, agriculture income
tax, and other service taxes;
3. Local government/Autonomous
Area: rent tax, property tax,
vehicle tax, malpot tiro, tourism,
advertisement tax, registration fees
(land/home), and other fees.
Other income of the three levels of
the government is shared income, i.e.
royalties from natural resources (i.e.
hydropower, mines, forests etc.) and
Proposed Lumbini–Awadh–Tharuwan Province Report 7

tourism. The proportion of sharing
will be decided later by law. The
present state of sharing by local
government is 50% in hydropower,
30% in tourism, 5-90% in registration
fee (land and property), 50% in mines
and 10% in forests.
In addition, each of the three
levels of government receives
aid and grants, i.e. foreign aid for
the central government, grants
from the center to the provinces
(provincial governments are entitled
to receive foreign aid directly but
this requires pre-approval of the
central government), and grants
from both center and provinces to
local governments and autonomous
areas. The present state of grants to
local government is 5-8% in annual
budgetary allocations, and/or 3% of
total national income.
IV. 3. Proposal for centralized revenue
collection and distribution system
The central government earns more
than provincial governments. The figure
for national revenue and its sector-wise
distribution is: VAT: 30%, institutional
tax: 18%, commodity tax from foreign
trade: 17%, and Antasulka: 9%. As all
these sources of income fall under the
jurisdiction of the central government,
more than three-fourths of the total
national revenue goes to the central
government treasury. In addition, foreign
aid, which contributes around 25% of
total budget and more than 50% of the
development budget, also falls under the
earnings of the central government.
So a centralized revenue collection
system is likely to be a characteristic
of Nepali federalism. This is also
true in Australia, where the central
government earns 69 % of national
revenue. Canada provides a different
model – a decentralized revenue
collection system – in which about
55% of the national revenue is earned
by provincial and local governments.
Germany and Belgium give another
different model – a system of
centralized revenue collection but
decentralized distribution.
Centralization of distribution is likely
to be a feature of Nepali federalism
because at present the contribution
of local government to total national
income is only 5%.
IV. 4. Principles of equalization
The proposed 14 provinces are
asymmetric in their levels of
development. 85% of national
revenue is collected from 7 out of the
total 75 districts, and the remaining
15% is collected from the other 68
districts. 45 districts (60% of the total
of 75 districts) are unable to generate
sufficient revenue to finance their
total expenditures.
To ensure economic equalization of
the provinces over time, the model
of federalism in Nepal should be
cooperative and interdependent at
both levels, with (1) a vertical relation
between the center and provinces,
and (2) horizontal relations among
the provinces. Taking into account the
imbalanced economic development
among the proposed provinces,
there should be provisions to extract
more from developed provinces
and distribute more to the least
developed provinces, and to provide
unequal distribution of grants in favor
of the least developed provinces.
The question of economic
equalization is taken up by different
mechanisms – by an independent
expert commission in India, by an
intergovernmental council in Pakistan,
by the federal legislature in the USA and
by the federal government in Canada.
8 Federalism Dialogues Series 8

1. GENERAL INTRODUCTION
Nepal is in a transitional phase, moving from a preexisting unitary form of
governance to a federal structure. The Committee on State Restructuring
and Distribution of State Power (CSRDSP) of the Constituent Assembly
(CA) has published a concept paper recommending a federal structure
comprised of 14 provinces. However, the general public as well as the
people involved in the political movement, the ethnic movement and
others are still not clear about federalism, its opportunities, challenges,
functioning and implementation. Recognizing the need for discussion
on federalism throughout the country, the Center for Constitutional
Dialogue (CCD), in collaboration with UNDP’s Civil Society Outreach/
Support to Participatory Constitution Building in Nepal (CSO/SPCBN)
initiative, initiated a series of fourteen federalism workshops, one in
each proposed province, between March and December 2010.
The primary objectives of the workshops were
to share fact-based information, initiate local
discussions and seek recommendations with
district representatives, local political party
cadre, civil society leaders, marginalized
people and local government concerning
the following aspects of federalism:
• forms and structures by which
federalism may be designed;
• proposed powers of provinces,
autonomous regions and local
governments;
• individual and collective minority
rights, fiscal federalism, indigenous
rights;
• relationships among central,
provincial, autonomous regions and
local governments;
• CSRDSP’s preliminary draft and
report; and
• practical problems and challenges in
implementing the federal structure.
Proposed Lumbini–Awadh–Tharuwan Province Report 9

2. OVERVIEW OF THE PROPOSED LUMBINI-
AWADH-THARUWAN PROVINCE
FEDERALISM DIALOGUE
The eighth UNDP/CCD Federalism Dialogue was held from 28 to 30
June 2010 in Ghorahi (Dang district) in the proposed capital of the
Lumbini-Awadh-Tharuwan province. As in the previous dialogues, the
participants were drawn from district level leaders of the major political
parties, ethnic activists, civil society leaders and local journalists.
The proposed Lumbini-Awadh-Tharuwan
province includes all the VDCs and
municipalities of Kanchanpur, Kailali, Bardiya,
Banke, Dang, Kapilvastu and Rupendehi
districts, as well as 37 VDCs of Nawalparasi
district (west of Daunne hills). Ghorahi, Dang
is proposed as the capital of the province.
One of the attractions of this dialogue was
the presence of the distinguished, nationallyrecognized
Prof. Abhi Subedi as an observer.
After observing the field-based Federalism
Dialogue process for one and half days,
he remarked that he could see the postmodern
politics emerging at the grassroots
level, something that the Kathmandu-based
political leadership can ignore only at their
own risk.
The resource persons focused their efforts on
presenting the work of the CA Committee on
State Restructuring and Distribution of State
Power (CSRDSP), along with basic principles
and practices of federalism, and engaged the
diverse range of participants in an informed
and reason-based debate.
Participants were eager to learn about the
plans for state restructuring through the
new constitution due to be adopted by the
CA. Though significant cynicism exists about
the CA’s ability to frame a new constitution
in the present political imbroglio, the
participants were patient and participated
actively throughout the entire workshop.
Most participants’ knowledge of the status
of the constitution-making process and the
work of the CA committees is generally based
only on party statements, the demands and
claims of activist organizations, and media
reports. This was reflected in their opening
remarks and arguments, but in the course
of the presentations and more detailed
discussions, they realized the gaps in their
perceptions and came to better understand
the actual issues of moving toward
federalism through the constitutional
design process.
The participants’ group work, both at the
macro-level relating to CSRDSP’s preliminary
draft and at the micro-level of practical
issues for the proposed province, was very
useful as an opportunity to verify the CA
reports with people in the province.
One positive side of the dialogue process
10 Federalism Dialogues Series 8

is that the participants considered and
debated on the strength and weaknesses
of the proposed 14 provinces, autonomous
regions, and system of government based
on facts and figures, rather than ideology or
party politics.
Some specific observations from the
Lumbini-Awadh-Tharuwan Dialogue
include:
• Participants raised concerns about
the number and name of the
provinces. Most participants did
not like the multiple names of the
Lumbini-Awadh-Tharuwan province
and suggested that only one name be
used as in other provinces.
• Participants expressed concern
regarding the distribution of VDCs
and municipalities based on the
ground reality. Since some of the
Magar populated VDCs of Dang
district are demographically closer to
the Magarat province, they suggested
for shifting them to Magarat. Similarly,
some of the Tharu VDCs of Surkhet
district should be included in this
province.
• Tharu activists now realize that they
need to differentiate their interests
from other Janjatis and Madheshis,
particularly in the context of the new
federal design. On issues related to
self-rule, their interests differ from
those of the Madheshis.
• The inclusion of Rupendehi and
Kapilvastu districts in the proposed
province has diluted the Tharu
identity, as well as the prospect of their
leadership role in the governance
of the proposed province. However,
some participants want to include
Chitwan and Nawalparasi since those
districts have historical links with
Tharuwan.
• The Madheshi perspective did
not figure clearly. The Madheshi
participants’ argument for ‘One
Madhesh Province’ remained
unsupported by others.
• Participants found that the CA
Committee did not equally apply the
standards it fixed while creating this
province on the basis of ‘identity’ and
‘capacity’.
• They also raised serious concerns
about the distribution of powers,
particularly on revenue-sharing as
being overly centralized while the
provinces are left at the mercy of
the center. They clearly want a more
decentralized federation.
• The group work showed the economic
potential of the province provided
there is enough constitutional power
to manage the provincial affairs
locally. The proposed structure of
the local government was severely
criticized. Participants found it even
weaker than the present structure
and suggested a thorough revision of
the local government structure.
• The participants found the proposed
right to self-determination provisions
ambiguous and cosmetic. They
want clear constitutional provisions
for the right to self-determination
and observance of ILO 169 in the
allocation of provincial powers.
• The participants appreciated the
CSRDSP report’s proposed provisions
for customary courts. However, they
cautioned that only those customary
practices should be encouraged that
maintain respect for universal human
rights, the dignity of women and fair
treatment of children.
Proposed Lumbini–Awadh–Tharuwan Province Report 11

3. MAJOR ISSUES
Concern with the long name of the province: Participants are
dissatisfied with the name given this province, which is unlike others.
Although they realize that the name recognizes the ethnicity, language
and regions of this part of the country, they pointed out that according
to the principle of restructuring the state; there must be at least a high
density of the particular ethnic group if a majority is not possible.
However, this province has neither a high density nor a majority of
Tharus, nor of another indigenous group. The principle of geographical
contingency and caste/ethnic proximity was not taken into consideration
while structuring this province as was done for Limbuwan or Tamuwan.
Therefore participants suggested on the one hand giving geographical
continuity by including related VDCs in the Magarat or Karnali provinces
to establish the majority of the Tharu ethnic community. On the other
hand, they suggested that to recognize ethnic identity more than one
province can be created in the Tarai area.
Muslim issues were highlighted: As
expected, the issues of the Muslim
community were raised during this dialogue.
Participants noted that while Limbuwan
province has been created to recognize the
identity of the 1.5% Limbu population, the
collective rights of the 4% Muslim population
has not been recognized. They criticized
the draft constitution as unfriendly to the
Muslim community. Muslim voices were
raised high to recognize their actual identity
in the constitution. If the Muslims living in
the Tarai area are recognized as Tarai people,
then what is the identity of Muslims living in
12 Federalism Dialogues Series 8

the hills? This issue requires the attention of
all concerned to ensure their rights in federal
structure.
Discourse on the right to selfdetermination:
The participants were eager
for clarity on the concept of the right to
self determination because they have been
confused about the definition given by
different political parties. Thus they wanted
to know whether this right grants the
right to secede from the state and likewise
whether ILO 169 supports the right to self
determination for indigenous people. The
indigenous participants other than Tharu
wondered if ILO 169 ensured the right to
water, land and forest only to the Tharu
community in Lumbini-Awadh-Tharuwan
province. This would deprive other ethnic
communities of the use of the natural
resources of the province. The continuous
discourse on the right to self determination
in past dialogues in different provinces
emphasizes the need to include the right
to self determination as an important
component of the Federalism Dialogues. This
will not only help clarify for people the right
to self determination in the international
and national contexts, it will also promote
knowledge about the provision of this right
in the draft constitution.
laws that promote the development of
human beings should be continued in the
future. The possibility was also raised that
one particular ethnic community’s practice of
its customary law could hinder the traditions
and culture of another community, thus
creating conflicts among different ethnic
communities. The constitution should have
provisions to deal such possible situations.
Clear provisions for sharing of power:
Participants requested clear provisions for
the allocation of power between the local
government and autonomous regions in the
federal structure. Otherwise conflict could
arise in the future in the practical application
of power between these two levels of
government. This points to the need for
proper allocation of power between different
levels of government and the importance of
preserving and promoting minority rights
in the province. Similarly, underdeveloped
provinces should be ensured of a share
of revenue from the center from revenue
collected from developed provinces.
Legalization of the ethnic traditional
law: Tharu participants were interested in
establishing their traditional customary law
in the formal legal system. However, they
were also aware that only those customary
Proposed Lumbini–Awadh–Tharuwan Province Report 13

4. INTRODUCTION TO THE DIALOGUE
A. Background
The UNDP/CCD held its 8th federalism workshop
for the proposed Lumbini-Awadh-Tharuwan
province in the proposed capital, Ghorahi. This
province has been created to recognize the
ethnic identity, language and historical area
of the local Indigenous people. It includes 373
VDCs (including 12 municipalities) from eight
districts: Nawalparasi, Kapilvastu, Dang, Bardiya,
Rupendehi, Kailai, Banke and Kanchanpur.
According to the 2001 census, the province has
a population of 37, 65,000, including Hill Hindus
(33%) and Dalits (6%), Tharu (26%), other Janjatis
(10%), Tarai people (23%) and Muslim (8%).
The objective of the workshop was to sensitize the
participants to the concept of federalism and federal
structure, its advantages as well as challenges in
relation to the general context of Nepal and to explore
the existing facts on opportunities and challenges for
the implementation of federal structure. The program
aimed to provide social and political activists with
general insights into various dimensions of federalism
from the experts, and promote discussion on the local
context, enabling people to make recommendations
to the Constituent Assembly to address their needs.
The program was designed to take forward the
momentum of dialogues on federalism in relation to
the general context of Nepal as well as particular local
contexts.
Tharu
38%
Participation by Ethnicity
Muslim
5%
Brahmin
25%
Chhetri
5%
B. Venue and Date
The three-day provincial Federalism Dialogue was
organized in Ghorahi of Dang district between
28 and 30 June 2010 in the seminar hall of Rapti
Hotel with the partnership of BASE (Backward
Society Education) Dang. The workshop was
residential to give people a suitable environment
and sufficient time for interaction and discussion.
C. Participants
The 79 participants included representatives
from various political parties, social organizations,
human right organizations, indigenous and
ethnic organizations. Among the participants
38% were Tharu, 30% were Brahmin/Chhetri,
16% were from Hill Indigenous communities,
6% were Dalit, 5% were Muslim, 4% were high/
middle caste Madheshi and 1% were Newar.
Women constituted 14% of the total participants.
Representing the various political parties were
six participants from Nepali Congress, three
from CPN-UML, three from Madheshi Janadhikar
Forum, and two from Rastirya Janamorcha. In
addition many participants were members of the
Bar Association, Fatima Foundation, indigenous,
women’s and Dalit organizations, and college
professors. The name list of the participants is
provided in Annex II.
Participation by
Gender
female
14%
MC(
Middle
caste
Madhesi)
4%
Newar
1%
Dalit
6%
IN
(Indigeno
us)
16%
Total participants = 79
male
86%
14 Federalism Dialogues Series 8

5. DIALOGUE PROCEEDINGS
A. DAY 1: 14 May 2010
Day l was devoted to exploring the general concept of federalism, its
applicability in other countries and its journey in Nepal.
Inauguration
Prof. Krishna Hachhethu opened the
dialogue by saying that in order for the
constitution making process to be more
participatory people must know about the
actual information provided in the report
of the Committee on State Restructuring
and Distribution of State Power and other
committees’ reports. Defining the gathering
as a mini-parliament of the province, he
emphasized that people should have the
opportunity to express their thoughts and
suggestions about making their constitution.
Prof. Krishna Khanal stated, “It is an historic
time for the country and people should have
a discourse about establishing federalism
that is based on knowledge and information.”
Hopefully, this informed discussion will help to
decide on one name for this province, which
the leaders have been unable to do. He added
that this grassroots level discussion brings the
thoughts of local people into the constitution
making process, and through the media will
include even more people.
Prof. Abhi Subedi said that federalism is in
everyone’s interest because the different
systems practiced in the past failed to ensure
the rights of Indigenous people, Dalits
and women. An informed dialogue with
the involvement of experts is required to
establish a federal system. The CSO/SPCBN
grant manager Mr. Surendra Chaudhary
concluded that according to the international
practice of developing federalism people
should have the opportunity for discussion
before and after the draft constitution is
written. Thus, only after collecting people’s
thoughts and suggestions should the final
constitution be developed. The opinions
of the people will be delivered to the CA
through CCD and by the professors through
their discussions with different political
parties and interaction with media.
Expectation Collection:
The participants were interested in
learning about the concept and benefits of
federalism and its international application
so that an appropriate federal system can be
developed for Nepal. They wanted to discuss
the basis for federalism in Nepal and receive
information on state restructuring, and the
administrative structure of the provinces.
The participants were eager to know about
the specific role of the center and provincial
governments, the distribution of power,
and the balance in relations between
the center and the provinces. They were
concerned about the use of economic and
natural resources in the federal structure.
Proposed Lumbini–Awadh–Tharuwan Province Report 15

They wanted information on the right to
self-determination, minority and Dalit rights,
ethnic autonomy, and an independent
judicial structure to understand how
federalism will be inclusive and ensure
people’s rights.
The participants wanted to be clear that
decentralization and distribution of power
will not be a reason for parts of the country
to secede in the future. They questioned
whether developing a federal structure is a
political issue or a technical issue, and what
kind of economic and resource management
was appropriate for federalism. The question
arose whether federalism was to protect
feudalism or accept capitalism. Participants
hoped for scientific analysis of consensus,
understanding
unanimity in federalism.
and
Participants wanted to
know how the provinces
could cooperate with
each other. They
hoped to discuss the
appropriateness of the Lumbini-Awadh-
Tharuwan province, how it was constructed
and whether it could be designated by a
single name.
Presentation on Federalism, an
introduction to Nepal’s Federal Future
To address ethnic
diversity and
geographical complexity,
federalism is necessary.
- Padam Gurung
Constituent Assembly has named them
Pradesh (Province). The center makes laws
for the entire country and the provinces can
make their own rules and laws. Within their
jurisdiction as provided by the constitution
of the nation, neither the center nor any
province can interfere with one another in
formulating the law. However, he clarified
that no province can change its border
line according to its own aspiration. Thus, a
federal system is characterized by shared rule
in the center and self rule in the province.
Sharing the international practices, Prof.
Khanal said that the United States of
America is the first federal country. About
two hundred and thirty-five years ago, 13
different independent sovereign states
joined together to form
a federal country. This
process is called “joining
together”. Countries like
India, Spain, and Belgium
previously had one law
for the whole country
and later created different
states under one federal structure to manage
their diversity. This process is called “holding
together”. He emphasized that, “Federalism is
a product of compromise and is a continuous
process where the door for agreement is
always open.”
Prof. Khanal said the process of developing
a federal structure has already begun
although the final constitution is yet to be
developed. Conceptually, federalism is a
structure of more than two units enjoying
individual autonomy. The units are called
by different names in the world, and our
Analyzing the requirement for federalism
in Nepal Prof. Khanal stated that Nepal
has considerable diversity in ethnicity,
culture and language. Following the
international practice of using federalism
to manage diversity, Nepal is in the process
of becoming a federal state. Secondly, to
16 Federalism Dialogues Series 8

ensure democracy to people living in the
country, their right to access should be
ensured. This decentralization of power is
guaranteed by the federal structure, as it
establishes government at the local level
and strengthens the democratic process in
the country. Thirdly, to address the unequal
Human Development Index the development
and opportunities in the country must be
decentralized. Although the political and
administrative infrastructure presents some
limitations to developing a federal structure,
and the increase in ethnic issues may affect
national unity, Prof. Khanal concluded that
federalism will hasten development in Nepal
by having the local government address
people’s aspirations locally.
A. It is not true that only federalism ensures
development. Governed under a unitary
system, countries like Japan and Norway are
among the most developed in the world. In
our context, however, we could not practice
decentralization properly and failed to
allocate power to the local level. Nepal’s
problems could have been addressed on
time but it has become too late to handle
them as the problems have increased and
cannot be addressed by the current system.
To answer why federalism is necessary, there
is no any mathematical formula but in our
context federalism is necessary to address
the diversity of ethnicity, language, culture,
and religion.
Participants raised
some questions to
Prof. Khanal about the
implementation of a
federal system in Nepal.
Some of them are as
follows:
Q. Is Nepal ready to adopt a federal
system? Will federalism lead to secession
of provinces from the country? -Lokendra
Lamsal
A. The principle of federalism is not based on
secession. The principle of federalism in itself
is not dangerous. Whether secession results
from federalism depends on the leadership
in the country.
Q. Comparatively, does a federal or a
unitary system bring more development to
a country? Why is federalism necessary in
Nepal? -Churan Chaudhary
We need federalism with
internal sovereignty.
- H.B. Thapa
Q. Will 14 provincial
structures ensure the
rights of the Nepali
people? For self rule is the
structure of 14 provinces
sufficient or not? - Saugat
Chaudhary
A. The infrastructure for federalism is largely
lacking in Nepal. The proposed provincial
capitals do not have enough infrastructure.
However, there are examples of countries
that have developed by bringing the
responsibility and power to the local level.
So we can be hopeful that by practicing
federalism, Nepal will be developed.
Federalism is the destination for our country
and the people who are questioning
federalism are actually providing a platform
for discussions on federalism, which is good
preparation for establishing federalism in the
country.
Proposed Lumbini–Awadh–Tharuwan Province Report 17

More queries about federalism in the context
of Nepal are included later in the report.
Presentation on the Federal Structure at
the Provincial Level
Prof Hachhethu outlined that the previous
constitutions developed in 2007, 2015
and 2047 BS provided for a centralized
system which did not promote equal
development for all. Nepal is a pluralistic
society with diversity in the prospects for
development. Thus, over time the issue of
the rights of various groups has been raised
and consequently an appropriate political
structure to ensure people’s substantial
rights has been proposed by the Interim
constitution.
In the process of
establishing
federal
the
structure
the CA CSRDSP
has
proposed
14 provinces to
recognize
the
identity of different
ethnic communities
in the country.
In
designating
the provinces it considered geographic
factors and caste/ethnic proximity as major
components. Therefore 29 districts have
been remapped to establish a majority or
domination of a particular ethnic group in
particular provinces. This Lumbini-Awadh-
Tharuwan province has been created
by including 373 VDCs (including 12
municipalities) of eight different districts.
However, in this province the CSRDSP did not
consider the two basic principles of creating
the provinces because the Tharu, the major
ethnic group, constitutes only 26% of the
province’s population, and is the second
largest population group. To be honest on
principles adopted by the CSRDSP, the hill
VDCs of Kapilvastu to Kanchanpur should
be included in adjoining provinces, and
similarly the Magar populated VDCs should
be included in Magarat province. Prof.
Hachhethu concluded that the principles
followed to create Limbuwan, Newa, and
other provinces were not applied to this
province and consequently, the Tharu
population is dominated by the people of
hill origin.
While recognizing the rights
of the minority, the issues of
class difference like the issues of
farmers labor groups and so on
also should raised.
-Shiva Prasad Kharel
Regarding the administrative structure
in the federal system, Prof. Hachhethu
explained that the
Committee for the
Determination of the
Form of Government
proposed
a
p a r l i a m e n t a r y
system
of
government in the
province and the
Committee for the
Determination
Legislature proposed a mixed electoral
system. In the 33-member provincial
legislation, half of the members will be
elected by direct election and the other
half by proportional representation. To
ensure social inclusion in the proportional
representation it proposed a social quota
system reflecting the social structure of the
particular province. For the judicial system,
the Judicial Committee of the provincial
legislature proposed the chief justice and
of
18 Federalism Dialogues Series 8

other judges of high court and appointment
will be made by the provincial legislature by
a majority, as opposed to the current practice
of appointment by the constitutional council.
The committee has also proposed a linked
system of provincial administration with
central administration.
Prof. Hachhethu concluded that
although federalism obviously demands
decentralization, the CSRDSP members
have been influenced
by the unitary system.
Thus the center has more
power than the provincial
government,
including
residual powers. Although
the proposal mentions
the word main law of the
province, there is no mention of a provincial
constitution. Further the upper house in the
center is the house of provinces, but has fewer
members than the lower house, and financial
bills will not be presented in the upper house.
He encouraged more discussion on how to
bring about decentralization of power in real
terms in the future federal structure.
Discussing the provincial level structure,
the participants expressed their opinions
and disagreements. Mr. Lekendra Lamsal
corrected the draft report, stating that
Kanchanpur district has 19 VDCs, including a
municipality, rather than 21 VDCs and none
of its VDCs belong to hilly areas. Likewise Mr.
Shiva Subedi suggested correcting the data
of Rupandehi, stating that the district has 69
VDCs and 2 municipalities.
Some specific queries about the
provincial level structure are listed below
along with Prof. Hachhethu’s responses:
Q. Why does the proposal contain two
words—Indigenous and l Indigenous
janajati? -Basanta Oli
Economic potential and
viability are important
aspects in federalism.
- Laxman Tharu
A. Although the words Indigenous and
janajati have been used as synonyms, but
a logic of separating these two phrases in
the CSRDSP’s report to satisfy assertion of
identity by Khas of Mid
and Far-west Nepal who
are a genuine indigenous
people of Karnali and
Khaptad
provinces.
International conventions
have
Indigenous
established
rights.
Indigenous rights must be clearly defined to
avoid any confusion in the future.
Q. How has the Muslim community been
included in the 14 different provinces?
Considering their population of 40 lakhs in
the country, how the state will address their
issues in the federal structure? -Maimunna
Siddiqui
A. The 1.5% Limbu population and 0.77%
Sherpa population have been recognized
to create provinces in the federal structure
but the 4% Muslim population has not been
recognized, even though Muslims live in
huge numbers in the areas of Bara, Parsa,
Rautahat, Kapilvastu and Banke, and 43%
of the Muslim are under the poverty line.
The CA members did not provide enough
attention to the collective rights of this
community, except for the provision of a
Muslim commission.
Proposed Lumbini–Awadh–Tharuwan Province Report 19

Q. On the one hand we talk about democracy
with proportional representation, and
on the other hand one province has been
allocated to 68 lakhs population and
another to a population of 48 thousand.
How does this ensure proportional
representation? -Metmani Chaudhary
A. The international practice of federalism
shows that the allocation of population and
development is not same in all provinces.
However, the population of the province must
be reflected in politics no matter how large
the population of any group. The number of
Constituencies has been distributed on the
basis of population numbers for the lower
house. This may affect the representation for
the upper house which is a house of province
in the legislative assembly.
Q. Why has the CSRDSP report not included
the rights of the Tharu although the rights of
Madheshis, Women and Dalits are specifically
mentioned? -Rajendra Chaudhary
A. The provisions for women, Madheshis and
Dalits are described in specific section but
not for Tharus.. Thus there is need to lobby
to ensure the Tarai Indigenous rights in the
constitution. However, before that the Tharu
need to determine whether they are among
the 69 Indigenous communities already
listed by the government or different.
Q. If the political party with the absolute
majority in the legislative assembly can
appoint the Provincial chief justice, how
can people with other political beliefs
receive justice in the province? -Baburam
Bishwokarma
A. The appointment of the judiciary by
the largest political party in the legislative
assembly is there in some countries..
However, there is a need to make provisions
for checks and balances in applying power,
and the legislative assembly should be kept
out from promotion and dismissal of judges.
Other questions concerning the federal
structure in the provincial level are included
later in the report.
B. Day 2: 29 June 2010
Day ll was spent in discussion on some particular issues of federalism.
Presentation on Federalism: Nation
building and Minority Rights
Prof Khanal summarized different
understandings of the word “Nation” in
different time periods in Nepal. For the
late King Mahendra, the nation meant
the land while for B. P. Koirala the nation
meant the people. Nation and nationality
relates to sentiment and gives a sense of
belonging, which cannot be changed, while
the state is more related with the rights of
the people living in it. Thus to develop a
state, all the people living within it must
be accommodated. From the point of view
of ensuring people’s rights, Prof Khanal
noted that the framework developed by
King Prithivi Narayan failed to include the
diverse people of the country. Consequently,
20 Federalism Dialogues Series 8

etween 2036 and 2046 BS the ethnic voices
became organized and developed and
since 2047 Nepal has been recognized as a
democratic country. To address the needs
and aspirations of Nepal’s diverse people
and to ensure their rights, federalism has
been adopted in the country.
About the relation of federalism with the
development of the state Prof. Khanal said
that federalism ensures the sharing of state
power with the provinces by recognizing the
identity of minority groups. It guarantees self
rule to ensure social justice and special rights
for the minorities. He stated that the concept
of minority has two dimensions; group that is
small in size and a group that is discriminated
against on the ground of language, religion,
gender etc. In our context, the term primarily
relates to discrimination. Thus he concluded
the draft reports have provided for positive
discrimination for minorities like Dalits,
women, Indigenous people and other
groups based on language or religion.
In discussion after the presentation, Mr.
Shiva Prasad Kharel stated that while
recognizing the rights of minorities, the
issues of class difference like the issues of
farmers, and the classifications of workers
should also be raised. Furthermore, to
ensure minority rights in the autonomous
regions, Mr. Churna Chaudhary emphasized
making clear provisions for the distribution
of power between the local government and
autonomous regions so as not to create any
conflict in implementation.
The participants asked many other
questions about minority rights:
Q. In the context of Nepal can we be clearer
on the term multi-national as used in the
preamble of the thematic committee report
defining Nepal as a ‘multi-national’ state?
A. In Nepal, the use of the words ‘nationality’
and ‘state’ is not much different. For example,
people in the Indigenous movement have
defined themselves through nationality
(Nepalese federation of Indigenous
people). Literally, the ‘state’ relates with the
distribution of power whereas ‘nationality’
relates to belief. As a commercial term, we
also speak of multinational companies like
Toyota, Pepsi, and Honda which operate
in many countries, but this is different. This
term ‘multi-national’’ should be understood
contextually in Nepal.
Q. According to the ILO convention 169 it is
said that the right to land, water and forest
is ensured only to Tharus in the province.
What provision can be made in this regard
for other people living in this province?
-Sahaj Ram Yadav
A. ILO 169 does not talk about the right to
self determination. It has come into existence
to protect the traditional knowledge of
ethnic groups as the customs of the country.
As a signatory of ILO 169, the state has the
responsibility to protect traditions and
culture. The state should take the consent
and suggestion of a particular ethnic group
when using its traditional land, water and
forest and implementing any development
project in its area. But any disagreement with
the ethnic group does not prevent the state
from make any laws for the country.
Q. The different definitions given by
the political parties for the right to self
determination have created confusion.
Proposed Lumbini–Awadh–Tharuwan Province Report 21

What does this right to self determination
actually mean? -Saugat Chaudhary
A. Different definitions for the right to self
determination are given not only by the
political parties but by other ethnic groups
in the country. Some Maoists compare it
with the right to divorce as explained by
Lenin and recognize the right to secede,
although this was never practiced. It has
influenced the Indigenous movement in
the country. There is a difference between
national self determination and the right to
self determination by an indigenous group
for the recognition of their identity.
Other questions related with the minority and
their rights are included later in the report.
Presentation on Fiscal Federalism
Prof Krishna Hachhethu stated that the
capability of the provinces is one of the
principles for designating the provinces.
Thus, the financial issue is an important
factor for developing federalism. Although
the pace of development is not the same in
all provinces, there is a need to consider the
issue of equal development of all provinces
in a federal structure.
According to the principle of federalism, the
provinces and center are interdependent.
Thus the Committee on State Restructuring
and Distribution of State Power has proposed
a detailed list of the sources of revenue for
the center, provinces and local government,
and also has a list of shared sources for each
level of government. He stated that analyzing
the list indicates that the proposed fiscal
system continues the current fiscal system
and promotes a centralized fiscal system
in the country. Such a centralized system
can result in imbalanced development and
create disparities among the provinces.
Prof Hachhethu encouraged discussion
of decentralized revenue collection and
decentralized expenditures for the fiscal
system in Nepal. A decentralized revenue
collection system will allow collecting
revenue at the provincial level and give power
to make expenditures more appropriately
than the current practice. To promote the
development of underdeveloped provinces,
the center should provide aid especially to
those provinces.
Expressing the opinion of the participants,
Mrs. Radha Sah suggested making the state
restructuring more scientific by joining the
northern and southern areas of the country
to address the issue of poor provinces
like Karnali. Pasupati Yadav said that the
distribution of resources should be done on
the basis of the size of the population and
the development of regions. Shiva Subedi
emphasized that unless the capability of the
provinces is considered in creating different
provinces the budgets will continue to
be frozen due to their inability to meet
expenses, as in the current practice.
The participants raised many other
questions related with fiscal federalism:
Q. Why are the proposed 14 provinces
developed in a manner different from the 14
zones of the current structure? -Radha Sah
A. Federalism has been promoted in the
country due to the Indigenous and Madhesh
Movements and thus the issue of ethnic
identification is a major factor to be considered
22 Federalism Dialogues Series 8

in establishing federalism. Structuring the
country on north-south lines would not give
balanced representation to the Madhesh
people and they would never get reasonable
access to the state political power.
Q. If provinces refuse to contribute revenue
to the center in the future federal structure,
how that can be handled? Lokendra Lamsal
A. A cooperative spirit of federalism must be
developed in the country. The constitution
has proposed some provisions like a
constitutional court and Inter-provincial
commission to deal with provincial conflicts.
There will be a constitutional structure to
deal with provincial and local/autonomous
regional conflicts in the future.
Q. How will the food grains of the Tarai
and the herbs of the Hills be exchanged in
the federal system in the future? -Lokendra
Lamsal
A. The exchange of goods is related with
governance issues. Although everything
cannot be explained in the constitution,
it can give an outline to guide the law. It
encourages an interdependent provincial
relations and thus interprovincial trade has
been included in the list of responsibilities of
the provinces in the proposal.
Additional questions from participants
about fiscal federalism are included later in
the report.
Group Work 1: Exploring the facts about
different facets of federalism in context
of Nepal
The participants were divided into five
groups to discuss issues related with
federalism. The topics of the group
discussion were: the basis for restructuring
the state, distribution of power between
center and province, minority rights in the
province, local government and its services
and inter provincial relations.
Basis for restructuring the state: The
first group highlighted eight points as the
basis for restructuring the state. These were
culture, ethnic and historical contingencies,
linguistic and regional similarities, distinct
populations, geographical accessibility,
economic potential and interdependence,
political and administrative convenience,
and the sustainability of the state. On the
basis of language, culture and history,
the participants have analyzed that the
Loharpani VDC of Dang should not be
included in this province. They are of the
opinion that although they would like a huge
production of grain and the production of
hydro electricity in their own province, that
is not possible. In restructuring the state,
sustainable peace should be taken into
account at first.
Distribution of power between the
center and the state: The second group
emphasized that it is important to think
about why federalism has come into
existence in Nepal. If the provinces are
not provided their rights and developed,
they may raise their voices for secession.
Therefore in distributing the power between
the center and the provinces, the provinces
should be provided enough rights to raise
taxes while at the same time there is a need
to fix the share of the center from the income
of the provinces.
Proposed Lumbini–Awadh–Tharuwan Province Report 23

They listed the powers of the center as:
defense and army, Central Bank, Monetary
and fiscal policy, International and diplomatic
relations, International extradition, and
Supreme Court/Constitutional court. They
listed the powers of the provinces as:
Royalties from natural resources, Provincial
court, family court and child court, and
Patent design and Copyright.
A large number of powers were given to
both central and provincial levels. These
include: Police, criminal law and investigative
services, Media and post, Customs and
tourism taxes, Civil Service, Citizenship and
passport, Electricity and irrigation projects,
Health policy, Transportation, Trade, etc.
Rights of the minority Thirdly, presenting
the rights of the minority in the province, the
group emphasized that the development of
awareness is very important for the economic
development of the minority groups.
In addition, special programs should be
designed for the development of minorities
like the Chepang. There should be provisions
like ethno political territories or affirmative
action for the population of backward groups.
Similarly, VDCs where a particular ethnic group
has a large population, such as Yadavs in
Rampur, Belar etc. should be provided the right
of autonomy in that area.
General rights of the minority that the
group identified were the provision of subautonomous
regions, a special reservation
policy, inclusion in every sector of the state, and
provision of prime rights. The group proposed
strengthening and renovating the traditional
occupations to make them economically
independent, providing land for the landless
and making available easy loan for minorities.
They said the state and central government
should develop package programs to address
the subjective needs of excluded ethnic
groups. The group recommended special
programs to increase awareness, and to end
all types of discrimination. They also said the
existence of the rule of law must be ensured.
Local Government and its services: The
fourth group presented their aspiration to
make the new structure a good one. Thus
they suggested structuring the districts
as an administrative unite, which are not
proposed by the Committee on State
Restructuring and Division of State Power.
However, if this level is eliminated due to
the lack manpower, then the VDCs should
be empowered through a constitutional
provision of the rights of VDCs.
The Ward Committee would be the lowest
level of government, and should be decided
on the basis of population and geography.
It should be composed of 5 members
including one chair and 4 other members.
The following would also be formed on the
basis of population and geography: Goan
Palika- including 5-7 wards, Nagar Palikaincluding
11-15 wards, and Maha Nagar
Palika including 18-35 wards. In all cases
leadership will be chosen on the basis of
60% direct election and 40% nomination.
The Ward Committees should establish
service centers to promote tourism
development.
Interprovincial relations: The last group
principally recommended the formation of
a ministry with sound technical knowledge
24 Federalism Dialogues Series 8

to deal with the interprovincial problems.
The central government should be provided
with the authority for mediation in case the
issue cannot be solved by the provincial
ministerial level.
The group also listed the following
recommendations for interprovincial
relations: no restrictions on the conduct
of interprovincial business; no dual
taxation on goods exchanged between
two provinces; minimum export duties
between provinces; using and protecting
the irrigation, electricity, roads, religious
and tourist places on the basis of common
understanding; negotiation on borders and
natural resources, and no encroachment on
natural resources. They also recommended
an annual meeting of provincial heads to
discuss issues of security and illegal activity
between provinces. They suggested that
there should be free migration between
provinces but that dual property should not
be kept in two provinces.
The detailed list of the finding of the group
discussions identified by the five different
groups is included in Annex V.
C. Day 3: 30 June 2010
Day 3 was devoted to discussing on vivid issues of the proposed
Lumbini-Awadh-Tharuwan province.
Contextual Analysis of Proposed Lumbini-Awadh-Tharuwan Province
by local resource persons Mr. Dev Narayan Chaudhary and Mr. Rajendra
Prasad Chaudhary:
Presentation of Dev Narayan Chaudhary
Mr. Dev Narayan Chaudhary presented the
geography, historical background, economic
aspects, social context and challenges
and opportunities of the Lumbini-Awadh-
Tharuwan province. Geographically, the
province extends from the Gandaki River
in the east to the Mahakali River in the
west, covering eight districts: Nawalparasi,
Kapilvastu, Rupendehi, Banke, Bardiya,
Dang, Kailali and Kanchanpur.. Most of the
province covers the lowlands of the mid and
western Tarai Bhavar region with only a few
VDCs in hilly areas. Most of the land is flat and
has hot weather. The Mahabharat and Chure
range lie to the north and the Dunduwa hills
spread east from the western boundary.
Incorporating both Tarai and Hill districts,
the province is multi-cultural, multi-ethnic
and multi-religious, and each of the eight
districts has its own rich history, with
historical sites of different principalities.
Dang is significant in the history of the Tharu
Monarchy; Kapilvastu has the birth place
of Buddha in Lumbini; and Banke, Bardiya,
Kailali and Kanchanpur are mentioned as
Naya Muluk (new country) in Nepal’s history.
Proposed Lumbini–Awadh–Tharuwan Province Report 25

Tharu, the province’s major ethnic group,
have a long history in the region, living in
previously malaria infested areas. As their
population grew, they began clearing the
once dense forests for agriculture. Other
communities began settling permanently
after the eradication of malaria, leading to
rapid population growth.
Economically, the natural and human
resources, arable land, industry, trade, tourist
attractions and transportation facilities
may serve as the backbone and basis of
development for this province. It is rich in
forest and water resources, biodiversity,
agricultural land, minerals, coal, rocks etc.
It has good transportation infrastructure
connecting the east and west of the country
with link roads to the major cities and towns,
and borders India. The province also has
several industrial and trade centers. There
is a great potential for development if the
natural and human resources of the region
could be tapped.
The province is also rich in cultural diversity,
with 33% of the population being of hill
origin, 26% Tharu, 23% Tarai caste groups,
10% Janjati, and 8% Muslim. Each caste
and ethnic group has its own cultural and
traditions, and social tolerance is high.
With its many opportunities for development,
the province only needs to formulate and
implement appropriate policy. Despite
the opportunities, there are also several
challenges. Mr. Chaudhary listed the
following: political instability and problems
of administrative efficiency; problems of
controlling population growth, foreign
intervention, and migration from other parts
of Nepal leading to deforestation; extensive
use of rivers by provinces at higher elevations
which could affect irrigation; challenges of
natural and human resource management;
challenges regarding the formulation and
implementation of plans and policies.
Presentation of Rajendra Prasad
Chaudhary
Mr. Rajendra Prasad Chaudhary presented
an analysis made from the perspective of the
Tharu community living west of Dang. The
presentation disagrees with the CA SCRDSP
recommendation for 14 provinces and
recommends 16 provinces. He presents the
past history of encroachment, injustice and
ill-treatment against Tharus and affirms that
the proposed demarcation of the province
serves to lower the percentage of Tharus in
the province, recommending that several
non-tharu clusters be incorporated in other
provinces. He speaks of the need to ensure
that the Tharuwan that was exploited by
the hills in the past will not be exploited by
Madheshis in the future.
He recommends the following reconstruction
of the Tarai provinces: the creation of a
Tharuwan province west of Dang, with the
elimination of certain VDCs as noted above;
the creation of a province called Awadh or
Lumbini integrating Kapilvastu, Rupandehi,
Parasi and some Tharuhat areas; the creation
of a Mithila province in districts with a
majority Mithila culture and language; and
the creation of a province, possibly called
Birat, in the eastern Tarai where there is
uniformity of language, culture, social and
economic structure.
Mr Chaudhary argues against the state
26 Federalism Dialogues Series 8

providing special rights under the name of
Madheshis, saying these should be based
on ethnicity, and asserting that proportional
representation on the basis of ethnicity is
necessary at all levels. This is also true for
Women’s rights, which should be based on
proportional representation on the basis of
ethnicity to ensure that Dalit and Indigenous
women also benefit from the opportunities.
The headquarters of any province should
be made on principles of equal distance
and proximity suitable for all, even if new
infrastructure needs to be created.
Regarding tax collection, clear criteria should
be fixed for the percentage the lower level
must give the upper level, and how much the
upper level must allocate for the lower level.
If no criteria are fixed, this will be politicized
and the lower levels exploited.
Local government should be formed with
consideration of the social traditions of the
location, and Mr. Chaudhary gave examples
for this. He noted that the provisions for
local government should be clarified and
large enough to provide for true democracy.
Members should be elected.
Mr. Chaudhary provides many further
specific recommendations for the formation
of a federal structure, including the
administrative set up, control of taxation and
economic policy, provision of security and
so on. These are based on discussions with
Tharu intellectuals, politicians and prominent
groups, who hope their recommendations,
will be taken seriously so that the new
constitution, once promulgated, will not
have to be amended soon.
Group Work 2: Exploring different facets
of federalism in the context of Lumbini-
Awadh-Tharuwan province
The second round of group work discussed
the following issues concerning Lumbini-
Awadh-Tharuwan province: history and
geography, political and administrative
structure, natural resources and economic
potential, judicial system and customary
law, and identification of minorities and their
rights.
History and geography: The first group
presented a detailed list of historical
monuments and social, cultural and religious
sites of different ethnic communities in
each of the districts and of the province.
Specifically, participants listed a large
number of temples and palaces, as well
as some gumbas and a masjid. Analyzing
the history of Kapilvastu the participants
asserted that Mayadevi, the mother of
Buddha is Tharuni because her ornaments
are very similar to the traditional ornaments
of Tharu women.
In addition, the list includes Chitwan
National Park, Banke Bardiya national forest,
and many rivers.
Political and administrative structure: The
group proposed a multi-tiered structure,
including 58 Goan Palikas, 15 Nagar Palikas
(Metro and sub-metro municipalities),
autonomous regions, special and protective
areas .
The Goan Palikas will be based on a
minimum 50,000 population, with
appropriate geography and infrastructural
facilities. They will be divided into 15 wards,
Proposed Lumbini–Awadh–Tharuwan Province Report 27

governed by 5-member committees. The
Executive Committee of the Goan Palikas
will include 23 members, including the
15 ward presidents, 6 members elected
by proportional elections and a directly
elected president and vice president.
A Goan Sabha representative council
will have 83 members, including the 75
members of the ward committees, and
the 8 additional members of the Executive
Committee. The structure of Goan Palika
should not be under the Nagar Palikas but
parallel to them. The Provincial Legislature
should include 40 members chosen by
direct election (1 representative per lakh)
and 25 members chosen by proportional
representation. The upper house should
have 35 members, 10 selected by the
goan palika presidents and 25 from the
different ethnic communities, special and
protective regions.
Communities like the Raute, Raji, and Majhi
should have protective regions developed
for them. One participant requested
including the Mahnaur system of the Tharu
community.
Natural resources and economic
possibilities: The third group found a
great economic potential from the natural
resources found in the province. These
include monuments that are listed as world
heritage sites, such as Lumbini, Tilaurakot
and Devdah, leading to the possibility of
tourism development. They also listed
many other potential tourist sites including
temples and national parks. The province
is rich both in agricultural land and water
resources. There is the potential for hydropower
production and if the water resources
are used properly for irrigation the province
could become a treasure of food grains
in future. Cash crops, livestock, fishery
production are agricultural possibilities.
Mining and industrial development are also
possibilities.
Judicial system and customary law:
Participants analyzed the customary law
practiced by different ethnic communities,
including Muslim, Tharu, Magar and Yadav.
They pointed out some practices, such as
traditional conflict resolution and traditions
that promote social justice, that should be
recognized legally, and others that should
be eliminated for the development of
human beings. These include discriminatory
practices and the custom of not sending
girls to school. They agreed that traditions
and practices that are supportive for the
development of the province should be
promoted, and those that are contradictory
to the law of the country should not be
recognized.
Identification of minorities and their rights:
In developing the list of minority group, and
their locations in the province the fifth group
also identified backward communities that
should be provided with protected regions
and given special rights. These include
Raji, Kumal, Raute, Sunaha, and Kusunda.
Special policies should be developed and
implemented in these regions. The group
stated that the Gurung, Magar, Tamang,
Muslim, Newar, Rai/Limbu and Dalit
communities should be included on the basis
of proportional representation according
to population size for development, and
provision of services.
28 Federalism Dialogues Series 8

The detailed findings of the group
discussions are included in Annex V.
Additional Questions and Answers raised
during discussions
Q. What country adopted the federal
system for the first time in history? - Ashok
Yadav
A. the United States of America was the first
federal country. Federalism established with
the aspiration for economic development
and to overthrow European colonialism.
Q. Is federalism an ism or a process? Without
federalism has self rule been practiced in
the world, and would this be possible for
Nepal? -Om Pun
A. Federalism is both principle and process. Two
layers of government i.e. center and province,
and three organs under each level of government
is a compulsory principle of federalism. Certain
countries in the world provide for separate
parliaments without being federal countries. This
is like, UK with separate legislature of Scotland,
Ireland and Wales.
Q. If the historical basis was considered
to recognize ethnic identity and create
Limbuwan province then why was a Tharu
province not created? Considering the
East and West Madhesh, where is the real
Madhesh and who are the Madheshis?
-Ganga Tharu
A. We cannot conclude that the draft report
failed to consider the recognition of identity,
but it did not state that Nepal is an ethnic
federal country. Regarding the issues of the
Madhesh, while recognizing one identity,
other identities should not be degraded.
Q. In the current practice the released
budget could not be spent and has been
frozen at the end of the fiscal year. Without
analyzing their capacity to spend money,
how have provinces like Jadan been
created? -Shiva Subedi
A. Although the recognition of identity and
capability are the basic principles to create a
province, the capability of the provinces was not
given much priority in creating the provinces.
Among the 14 provinces, 8 recognize ethnic
identity, 4 addressed the sentiments of the Khas
Aryan Hindu community and 2 are considered
on the basis of the identity that combines
ethnicity, language and region. Analyzing
the local situation it can be concluded that
rather than looking at the existing capability
of the province, it must be understood that
those capacities could not develop due to the
previous centralized structure and system of
the government.
Q. Considering the ethnic proximity of the
Magars, 481 VDCs of 14 districts have been
included in the Magarat province. Why
cannot the Tharu populated VDCs of Chitwan
district be included in the Lumbini-Awadh-
Tharuwan province?- Sreeman Chaudhary
A. Once the principle of geographical
contingency and caste ethnic proximity has
been considered to create the province, there
is a need to review and determine whether
the Tharu populated VDCs in Chitwan are
geographically connected to the Lumbini-
Awadh-Tharuwan province.
Q. In the process of establishing socialism
in the country, will the state be responsible
for the people like unemployed youth, and
senior citizens?- Shiva Subedi
Proposed Lumbini–Awadh–Tharuwan Province Report 29

A. Sometime it is difficult to ensure the rights
if the scope is too large. This is an issue that is
included in the fundamental rights. However,
there are many words like Madheshi that
have been included in the constitution
without clear definition. Special reservations
provided for different groups add up to more
than one hundred percent of the total seats,
which is mathematically incorrect. Thus
there is a need for clear definitions of legal
terms in the constitution.
Q. How can the Tharu practice of “Matamat
pratha,” that gives justice in society, be
included in the formal judicial system of the
state? -Shram Lal Chaudhary
A. Many practices of customary law and
customary governance exist in Tharu society.
They must be given legal recognition.
Q. Considering the history of the Yadavs,
why can they not be included among the
list of Indigenous people from the Tarai as
the Tharus are? -Ashok Yadav
A. There is a different definition for the
indigenous janajati and indigenous people.
The indigenous are groups that also include
the Hindu caste people and the indigenous
janajatis are outside the Hindu caste
hierarchy. Thus Yadav are indigenous but not
janajati while Tharus are indigenous janajati.
Closing session
At the end of the third day the participants
expressed their thoughts and suggestions
about the Federalism Dialogue. Ms. Radha
Sah said, “This dialogue has given us a lot of
information about federalism.” As a women’s
representative she continued, “Hopefully,
the changed structure of federalism will
empower the common people and also
recognize the identity of all people in
the country.” Likewise Mr. Laxman Prasad
Tulachand commented, “The inclusion
of Tharu leaders from different political
parties would be helpful for conducting a
meaningful dialogue and making decisions.”
Dialogue facilitator Professor Krishna Khanal
said, “The political parties of the country
must finally decide on these issues.” Speaking
of the importance of context, Professor
Krishna Hachhethu said, “It is not possible
to include exactly what is written in ILO
169, but it can be accepted according to the
country’s requirement.” He also encouraged
the participants to be thoughtful about
certain words like ‘autonomous regions’ and
‘protective areas for different communities’
which can have different meanings to avoid
creating future conflicts. These need to be
defined properly.
Making his concluding remarks, the grant
manager of CSO/SPCBN, Mr. Surendra
Chaudhary said, “In this discourse on
federalism we must listen to others
and respect the identities of others as
well.” He assured the participants that
all the suggestions collected during the
federalism discourse will be shared with the
constitutional committees and membership
of the CA, and that the professors will also
share their thoughts through articles in
different newspapers.
CA member Ms. Rukmini Chaudhary
remarked, “This dialogue has been
conducted very well and I believe that the
leaders of different political parties will
discuss what they have learned at the local
level.” Mr. Dilli Chaudhary, the president of
BASE, co-organizer of this dialogue, said,
“This dialogue has given the opportunity
to discuss each other’s problems and find
solutions together.”
30 Federalism Dialogues Series 8

6. EVALUATION SUMMARY
Among the total of 79 participants 44 completed the evaluation forms
Analyzing the information indicates that of these, 98% found the subject
matter and content useful/good in the situation when the country is
in the process of developing federal structure, and that 98% found the
presentations and facilitation to be satisfactory/good. All respondents
found the management satisfactory/good. The participants’ assessment
of the workshop is summarized in the table below:
Evaluation of workshop from participants
Workshop subject matters and content
Not useful % Useful % Good %
1 2 32 73 11 25
Presentation/ facilitation
Unsatisfactory % Satisfactory % Good %
1 2 28 64 15 34
Management
Unsatisfactory % Satisfactory % Good %
0 0 32 73 12 27
Proposed Lumbini–Awadh–Tharuwan Province Report 31

7. RECOMMENDATIONS
Participants suggested clearer, more understandable and more
elaborate presentations. They asked for more discussion and interaction,
saying the time was not sufficient, and that the workshop should be
longer. Impartial facilitation by the facilitator should give all participants
enough opportunity to share their opinions. They recommend making
the participants more inclusive in terms of district, gender and caste,
and also suggested that more representatives of political parties should
be included. At the same time, they felt the number of participants was
very high and should be limited to 40 participants only. They suggested
having workshops in more rural areas as well.
Additional recommendations on conduct
of the workshop were:
• The suggestions should be handed
over to the CA.
• Group division should be done with
all districts included.
• Opinions of all participants should
be heard and participation should be
inclusive.
• The discussion should be done on the
basis of subject matter.
• The presenter should not be biased
on the basis of caste.
• Experts from economics as well as
geography should be included to
facilitate the dialogue.
• The reading materials should be
provided in advance.
Participants also made suggestions
concerning the name and structure of the
province, and federalism in general.
• There should be two separate
provinces ─ Awadh and Tharuwan
• There should be at least 4 provinces in
the Tarai region.
• The province should be called
Tharuhat.
• The name of the province should be
Siddhartha.
• Prime rights should be given to those
who are marginalized and backward
in the region.
• The management of federalism
seems costly.
32 Federalism Dialogues Series 8

ANNEX
Proposed Lumbini–Awadh–Tharuwan Province Report 33

ANNEX I
Federalism Dialogue in
Proposed “LUMBINI-AWADH-THARUWAN” Province
Program Agenda
DAY ONE: 28 June
08:30 – 09:00 Registration
09:00 – 09:30 Opening
SPCBN Representative,
UNDP
Highlights of Objectives
Grants Manager or Program
Officer, UNDP
09:30 – 11:00 Federalism, an Introduction
to Nepal’s Federal Future
Professor Krishna Khanal,
T.U
11:00 – 11:30 Tea Break
11:30 – 13: 00 Discussion on Prof. Khanal’s
presentation (Federalism,
an introduction to Nepal’s
federal future)
13:00 – 14:00 Lunch
14:00 - 15:00 Federal Structures at the
Provincial Level
Professor
Krishna
Hachhethu, T.U.
15:00 – 15:30 Tea Break
15:30 – 17:00 Discussion on Prof.
Hachhethu’s presentation
(Federal structures at the
Provincial Level)
17:00-17:30 Film Screening: The
Challenges of Diversity-The
Federal Experience
DAY TWO: 29 June
08:00 – 0900 Breakfast
09:00 – 9:45 Federalism, Nation Building
and Minority Rights
Professor Krishna Khanal,
T.U
9:45-10:30 Discussion
10:30-10:45 Tea break
10:45 – 11:30 Fiscal Federalism: Forms
and Authorities
11:30-12:15 Discussion
Prof. Krishna Hachhethu
12:15-12:30 Break into small groups for
12:30 – 13:30 Lunch
detailed discussion
• Review on the basis
of province formation
as proposed by
Committee on State
Restructuring and the
Distribution of State
Power
• Distribution of power
between province and
local government
• Minority rights in
provincial structure
• Local government /
autonomous region
and service provision
• Interprovincial relations
34 Federalism Dialogues Series 8

13:30 – 15:00 Group work
Each small group will work
to reach agreement on
their task.
15:00 – 15:30 Tea break
15:30 – 17:00 Presentation by each
group followed by floor
discussion
DAY THREE: 30 June
08:00 – 0900 Breakfast
09:00 – 10:00 Contextual Analysis of
Specific Federal State Issues
Local resource person
10:00 – 10:45 Discussion
10:45-11:15 Tea Break
11:45-12:15 Small Group Discussions
on Critical Local Provincial
Issues
• History and geography
and Discussion
15:30-16:30 Planning for the Future:
Next Steps
16:30-17:30 Plenary discussion with
Professor Krishna Khanal
and
Professor
Krishna
Hachhethu
17:30 Closing Remarks
UNDP
SPCBN
Representative
Representatives from
Workshop
12:45 – 13:45 Lunch
• Political and
administrative structure
• Natural Resources and
economic probabilities
• Judicial system and
customary law
• Rights of minorities
13:45-15:30 Small Group Presentations
Proposed Lumbini–Awadh–Tharuwan Province Report 35

ANNEX II
LIST OF PARTICIPANTS
S.No. Name Sex Ethnicity District
Designation/
Organization
Contact No.
1 Kamal A. Siddiqui M Muslim Kapilvastu SISA 9848033145
2 Nama Raj Adhikari M Brahmin UNDP 9846156004
3 Gopal Nepali M Dalit Dang RDN 9847834247
4 Punita Chaudhary F Tharu Dang LFP-MW 9857820274
5 Raj mati F Tharu Kailali Tharuhat 98484480
6 Sahaj ram M MC Dang 9847904313
7 Babu Ram B.K. M Dalit Dang
8 Sita Ram Chaudhary M Tharu Banke Banke District bar 9748010433
9 Sajida Siddiqui F Muslim Dang SISEA Nepal 9857830282
10 Krishna Bdr. Gurung M IN Rupendehi NCP (United) 9747038873
11
Krishna
Tiwari
Narayan
M Brahmin Kapilvastu MNF 9757000018
12 Sitaram Ravidas M MC Kapilvastu ML 9747020618
13 Chandra Pd. Tharu M Tharu Dang Tharu Kalyankari Sabha 9847870326
14 Phularam Tharu M Tharu Bardiya MJF Democratic 9841093564
15 Ashok Yadav M MC Dang MJF Nepal 9847847721
16
Surya man Prakash
Chaudhary
M Tharu Nawalparasi
Tharuhat
Samiti
Sangarsha
9847053342
17 Geeta Thapa F IN Nawalparasi MJF Democratic 9807514530
18 Lokendra Lamsal M Brahmin Kanchanpur Janamorcha 9749504450
19 Niru B.K. F Dalit Kanchanpur Jatiya Samata Samaj 9848780721
20 Bishnu Prasad M Tharu Dang
21 Ganga Tharu F Tharu Dang
Sanghiya Loktantrik
rastriya Manch
Sanghiya Loktantrik
rastriya Manch
9748517233
9847848596
22 Atiullah Manihar M Muslim Dang UML 9847847876
23 Chul Ram M Tharu Kailali Tharu Sangh 9848429868
24 Brij Bdr. Chaudhary M Tharu Kailali CPN UML 9848482906
25 Ishwari Pd. Kharel M Brahmin Kanchanpur CPNUML 9848722156
26
Rajendra
Chaudhary
Pd.
27 Lila Gambhir M Tharu Dang
28 Kam Haiyalal M Tharu Bardiya
M Tharu Dang 9740501551
Tharuhat
Samiti
Tharuhat
Samiti
Sangarsha
Sangarsha
974652389
9848113676
36 Federalism Dialogues Series 8

S.No. Name Sex Ethnicity District
Designation/
Organization
Contact No.
29 Malti Sodari F Brahmin Bardiya 9848023428
30 Ram Kumar Tharu M Tharu Bardiya NFN 9848055559
31
Shram
Chaudhary
Lal
M Tharu Dang TINF 9857820595
32 Bipul Pokharel M Brahmin Dang Press Union
33 Churna Chaudhary M Tharu Dang BASE 9857821243
34 Om Prakash Pun M IN Kailali Maoist 9749008036
35 Basant Gurung M IN Kanchanpur NEFIN 9848720608
36 Sarada Chaudhary F Tharu Kanchanpur Maoist 9749505511
37 Indra Rawal M Chhetri Bardiya CPNUML 9848052062
38 Renu Singh F MC Banke NC 9848020640
39 Sonu Kumar M MC Banke NC 9728143796
40 Binod Kr. Upadhaya M Brahmin Rupandehi Maoist 9857023001
41 Top Bdr. Khadka M Chhetri Banke HRPLSC 9858021702
42 Gor Bdr. B.K. M Dalit Kailali Janmorcha 9749023349
43 H.B. Thapa M IN Dang Rastriya Janamkuti Party 9857820674
44 Shil. Chanda Pun M IN Dang NC
45 Laxman Tharu M Tharu Kailali
Sanghiya
Manch
Loktantrik
46 Ramesh Sharma M Brahmin Kapilvastu Ex DDC President 9847283898
47 Sumitra Sharma F Brahmin Kapilvastu NC 9847083862
48 Radha Shah F Chhetri Dang Preofessor
49
Laxman
Tulachan
Pd.
M IN Kailali President 9749006617
50 Dilli Bdr. Chaudhary M Tharu Dang BASE 9858020750
51
Saugat
chaudhary
Bir
M Tharu Dang RINDC 9847845671
52 Kirti Paudel M Brahmin Dang NID 9847869946
53 Dron Budhathoki M Brahmin Dang NID 9847831494
54 Abhi Subedi M Brahmin 9851075813
55 Drona Budhathoki M Brahmin Dang NID 9847831494
56 Yubaraj Giri M Brahmin Rupendehi NC 9847035626
Proposed Lumbini–Awadh–Tharuwan Province Report 37

S.No. Name Sex Ethnicity District
57 Shiva raj Subedi M Brahmin Rupendehi UML
Designation/
Organization
Contact No.
58 Kamal N. Chaudhary M Tharu Rupendehi NCP United 9747043678
59 Maimoona Siddiqui F Muslim Banke Fatima Foundation 9848053212
60 Umesh Pd. Bista M Brahmin Kanchanpur NBA 985875933
61 Padam Bogati M Brahmin Kanchanpur NC 974954980
62 Lal Bdr. Rana M IN Bardiya NMA 9848059357
63
64
Puran
Pd.
Chaudhary
N a g j e e t
Karmacharya
M Tharu Kailali
Tharuhat Swadesh Rajya
Parishad
9848422915
M Newar Banke Planete 9848087363
65 Khadak Chaudhary M Tharu Kailali Tharuhat Autonomous 9849078696
66 Netra K.C. M Chhetri Banke BBC 9858020450
67 Kirti Poudel M Brahmin Dang NID 9847869946
68 Tek Bir Ghartim M IN Dang NMA 088-560086
69
70
71
Deepak Thapa
Magar
Mukta Budha
Magar
Khadka Bdr. Budha
Magar
M IN Dang Rastriya Janamukti Party 9847846308
M IN Rolpa Rastriya Janamukti Party 9847846320
M IN Dang 082-560459
72 Jaggulal Chaudhary M Tharu Dang UMLA 9748524307
73 Bimal Yogi M Brahmin Dang Professor 9847845905
74 Dandi Ram B.K. M Dalit Dang NID 9847825256
75 Nishan raju Kafle M Brahmin Dang Shanti Bal.. 9847903902
76
Purna
Chaudhary
Bdr.
M Tharu Dang BASE 9847079825
77 Khadun Magar M IN Dang 982560494
78 Parbati Chaudhary F Tharu
79 Rukmini Chaudhary F Tharu Dang CA 9841081697
38 Federalism Dialogues Series 8

ANNEX III
Presentation by local resource persons Dev Narayan Chaudhary
and Rajendra Prasad Chaudhary
The proposed Lumbini-Awadh-Tharuwan Pradesh:
Prospects and challenges
- Dev Narayan Chaudhary
Reader, Department of Geography
Mahendra Multiple Campus , Dang
The map of unitary Nepal has been
restructured and delineated into 14
proposed federal autonomous units of
democratic republic of Nepal. Among the
14 proposed federal units, Lumbini-Awadh-
Tharuwan province is one of them. The
major basis for the delineation of federal
units is ethnic identity and resource capacity
of the proposed unit. And, Lumbini-Awadh-
Tharuwan has the following special identity
and resource capacity.
1. Geographical specificity:
Geographical specificity, identity and
resource capacity are the important
aspects of each state. This province
lies in the southern plains of the
country and is spread east-west from
Gandaki River in the east to Mahakali
River in the west, with a narrow width.
This proposed province consists of
eight districts (Kanchanpur, Kailali,
Bardia, Banke, Dang, Kapilvastu,
Rupendehi and Nawalparasi), their
municipalities and 373 Village
Development Committees (VDCs).
Most parts of this province cover the
lowlands of the mid and western Terai
Bhavar region. Only a few VDCs fall in
the hilly areas. The Mahabharat and
Chure range lie to the north of this
province while the Dunduwa hills,
which are the part of the Chure range,
are spread eastwards from its western
boundary.
2. Historical aspect: Since that it
covers both Tarai and hill districts,
this province has the historical
significance of being multi-cultural,
multi-ethnic and multi-religious.
Each district has its own historical
significance. The ruins of the palace of
the Tharu king Digisharan in Sukaura
of Dang District bears testimony
to the historical significance of the
region. Lumbini, the birthplace
of Lord Gautam Buddha, with the
ruins of Shakya palace has its own
significance. Likewise, Bankey,
Bardia, Kailali, Kanchanpur have
been mentioned as naya muluk (new
frontiers) in Nepal’s history. Other
districts of the proposed province
also have historical sites, temples,
and the ruins of palaces of different
principalities.
This region was once covered
with dense forests. Tharus lived in
this malaria infested land. As the
population of Tharus grew, they
cleared the forests and turned it into
Proposed Lumbini–Awadh–Tharuwan Province Report 39

agricultural land. From that time
on Tharus have been the dominant
group in this region. Other caste
groups of the region include Bahuns,
Chhetris, Magar, Yadava, Newar,
Muslulman, Dalits, Janjati and other
marginalized communities. Because
of the fear of Malaria, the people
inhabiting in this region used to
go to the hills during summer and
migrate to lowlands in winter. After
the abolition of malaria they started
to live here permanently. With the
migration of hill people from Salyan,
Pyuthan, Rukum, Rolpa, Aghakhachi,
Gulmi districts in the plains there
was rapid population growth here.
The special historical features of this
proposed province include adequate
arable land, dominance of Tharu
community from historical times,
and cultural, religious and linguistic
diversity. The religion, language, and
ethnic diversity and their distinct
identity may have given the CA
Committee on State Restructuring
and the Distribution of State Power
the reason to delineate the Lumbini-
Awadh-Tharuwan Province on the
basis of the unique features. And, the
adoption of the criteria appear right.
3. Economic aspect: Natural resources,
human resources, arable land,
industry, trade, tourism attractions
and transportation facilities in the
proposed province may serve as the
backbone of economic development
for the region.
a. Natural resources: Natural
resources are the backbone of
development of a province. No
state can flourish in the absence
of such resources. This proposed
province appears rich from the
perspective of natural and human
resources. Apart from forests,
arable land, water resources,
biodiversity, coal and stones are
abundantly found here.
Forests: Most parts of this
(proposed) province are
covered with forests.
Water resources: This proposed
province boasts of major
river systems such as River
Mahakali, Seti, Bheri, Babai,
Rapti, Tinau,Narayani and
several other rivulets and
streams.
Biodiversity: Because of dense
forests, the region is rich in
flora and fauna.
Arable land: The region is rich in
arable, fertile land.
Minerals: Despite inadequate
survey, the region is believed to
have several mineral deposits,
stones, coal, limestone, slates
etc
If the natural and human
resources of the region could be
tapped, there is a great possibility
of development here.
b. Agriculture, industry, trade,
tourism and transportation:
The arable land, industry, trade,
tourism and transportation
facilities in this region may serve
as the backbone of development
for this province.
i. Agriculture: This proposed
province has abundant arable,
fertile land.
ii. Industry:
Dhangadi,
Nepalgunj,
Butwal,
Krishnanagar are the major
industrial centers of this
province
iii. Trade: Mahendranagar,
Dhangadi, Gularia, Nepalgunj,
Krishnanagar, Butawal,
40 Federalism Dialogues Series 8

Kawasoti etc are the trade
centers of this province. There
are also smaller markets here.
This province also has several
trade routes from where
exports and imports of goods
are done.
iv. Transportation: From the
point of transportation
facilities, this province is easily
accessible and there is a great
possibility of development of
transportation facilities. The
East-West Highway passes
through this region. And, there
are several link roads which
connect major cities and towns
of the province. This network
of roads may contribute to the
development of the province.
4. Social aspect: This proposed
province is rich in terms of cultural
diversity.
a. Population and settlement
areas: The population of this
province is multi-cultural, multilingual,
and multi-religious.
The present population of this
province is 3,765,000, which is
sub-divided in the following way:
(a) Pahadey (hill people)
with 6% Dalits 33%
(b) Tharu 26%
(c) Terai caste groups 23%
(d) Janjatis (ethnic groups) 10%
(e) Muslim 8%
b. Culture: The proposed province
is culturally rich with diverse
caste groups, including Brahmin,
Chhetri, Tharu, Magar, Newar,
Muslim, Yadav, Janjatis and other
marginalized groups. Each caste
and ethnic group has its own
culture, traditions, norms and
values. Social tolerance is also
found here and different cultural
groups exhibit tolerance and
respect each other. They mingle
with each other’s festivals and
cultural and religious ceremonies.
5. Challenges and opportunities:
a. Opportunities: There is a great
opportunity of employment and
development in the proposed
province because of the region’s
geographic specificity, state
of industry, trade, arable land,
tourism potentials, transportation
facilities, and natural and human
resources. The province only
needs to formulate appropriate
policy and implement it.
b. Challenges: Despite the
opportunities, the province is also
faced with several challenges.
i. Challenges resulting from
political instability in federal
states and problems relating to
administrative efficiency
ii. Problems of controlling population
growth, foreign intervention,
problems of migration from other
parts of the country
iii. Problems arising from extensive
use of rivers (and control over its
flow) by provinces with higher
elevation before they flow to this
province.
iv. Challenges pertaining to
natural and human resources
management.
Proposed Lumbini–Awadh–Tharuwan Province Report 41

v. Challenges regarding the
formulation of plans and policies
and their implementation.
Presentation by
Rajendra Prasad Chaudhary
Deukhar, Khadkapur, Dang
Lumbini-Awadh-Tharuwan Province
The CCD organized a three-day ‘Federalism
Dialogue’ workshop at Ghorahi of Dang
on June 28 to 30, 2010, where extensive
discussions were held among the
representatives of eight districts. We the
Tharus living westwards from Dang have
studied the recommendations of various
Constitutional Committees made in course
of drafting the new Constitution for a
new Nepal, and during the review of the
recommendations by the Committee on
State Restructuring and Distribution of
State Power we have found some positive
as well as some negative aspects. As a
result, promoting the positive aspects, we
recommend reforms/improvements in the
following areas:
1. Demarcation of State or Province
The nationality and national integrity of the
country shall remain intact and become
strong when there is a state of people with
same aspirations, same norms, values,
culture and traditions. But it is very difficult
for a country like Nepal because it is multiethnic,
multi-cultural, multi-lingual and
multi-religious country.. Though the CA
Committee determined the basis for the
structure and demarcation of the states as
per the context that came about with the
political revolution waged by the people
today demanding states along with their
identity, the state restructuring has not
been done accordingly, and so we have
recommended dividing Nepal into 16
instead of the proposed 14 states. If big states
are formed just on the logic that it would
otherwise be difficult for them to become
self-reliant and would be expensive, then
new States may have to be formed within
a few years the new Constitution has been
enforced, and thus the existing proposal
would not be lasting. So, considering the
possible complexities we have proposed for
division into 16 states. Instead of Lumbini-
Awadh-Tharuwan, it should be called only as
Tharuwan State. This naming has also been
mentioned by the Nepali Congress, UML and
Maoist parties in their respective election
manifestoes. And there are other reasons to
it as well.
a. The historical origin and continuity
of the Tharus living west of Dang
has been found to be in Dang itself.
Except some Desauri and Rana Tharu,
the ancestors of majority of the Tharus
have come from Dang to live in Banke,
Bardia, Kailali and Kanchapur.
b. The ruins of the royal palace of the
Tharu King Dangisharan can be seen
in Sukaura of Dang.
c. The Ghodaghodi tal or lake used
as pasture for the horses used by
Dangisharan King and the devsthal
there still exists. It also carries touristic
and religious importance. Every year
in the month of Magha, a big fair is
held.
d. The traditions, culture, tone and
42 Federalism Dialogues Series 8

language of the Tharus living west
from Dang is the same.
e. The Tharus of the west from Dang
have a history of converting the
barren, far away jungles here into
arable land, and making it suitable for
human settlements.
f. Even when India tried to induce by
giving privileges to the Indian Tharus
living in the nearby Indian bordering
region, the number of Tharus leaving
their territory and going to Indian
territory to live is very low. The
Marbadis have even been found to
have been depositing the income
made from trade not in banks in
Nepal but in Indian banks.
g. A high number of Tharus are found to
have moved towards the west from
Dang after Malaria was abolished and
the Land Reforms policy enforced in
2021 B.S. Because after Malaria was
abolished, the entry of people from
the north and south is found to have
increased in the Tharuhat region.
h. The traditional administrative,
judicial and financial system of the
Tharus was encroached. This includes
Praganna, Badaghar, Mahatawa,
Mahajum, Adhari. As the scientific
criteria to establish the wages of the
Kamaiya or bonded labourers was
different from the social norms, they
were deprived from development,
and thus exploited.
i. Nepali was made the administrative
language, and the Tharus did not
know it. They could not share their
problem in Nepali language and
since the people of the hill origin
who represented the administration
did not understand Tharu language,
the Tharus suffered injustice and
ill-treatment. Therefore, Nepali,
Tharu and Awadhi should be the
administrative languages of the State.
j. A republic has already been declared,
and as part of a conspiracy during
restructuring of the state in the
new Constitution, to show a lower
percentage of the Tharus and to
fulfill political ambitions, the VDCs
of Dang where there is no Tharu
settlement has been included in the
Tharuhat, whereas considering their
geographical, cultural and social
aspect they would be more suitable
to the Magarat province, with more
Magar settlements. The VDCs include
Lohar, Pani, Kavre, Syuja, Saigha and
Hansipur. Likewise, despite having
80 per cent of Magar settlements the
Sugurkhal, Pandin, Nigasasa, Sahajpur,
Khairasa and Sadepani VDCs have
been included in Tharuwan. It would
be good to include these six VDCs in ?
If this is done, then the population of
Tharus would reach 40 per cent, and
as a result they will not have to be
deprived from many economic and
administrative privileges given by the
Centre.
2. There seems to be a big conspiracy
behind naming Kapilvastu, Rupandehi
and western part from Daunne of Parasi
as Lumbini-Awadh-Tharuwan. Likewise,
Proposed Lumbini–Awadh–Tharuwan Province Report 43

there is a ploy in incorporating Chitwan in
Narayani. If the restructuring of the State
is maintained as recommended then one
cannot say that the Tharuwan that was
exploited from the hills yesterday would
not be exploited again by the Madheshi
community. Because among the
Madheshis the Brahmin, Chettri, Thakuri,
Kayastha, Gupta, Marwari, Joshiman are
ahead.
3. A province should be formed by
integrating together Kapilvastu,
Rupandehi, Parasi and some Tharuhat
areas. Because concentration of Awadhi
language and Awadhi culture can be
found in these area. This province should
be named Lumbini (Awadh or Lumbini),
and would be better to have Awadhi
language and Nepali language the
administrative language of the Province.
4. Since the language, culture, tradition,
social structure, economic resources
etc of five districts including Parsa to
Bara, Rautahat, Sarlahi, Mahottari and
Dhanusha are same, and since there is
a majority of Mithila culture and Mithila
language, a separate Mithila province
should be formed.
5. Likewise, since the language, culture,
traditions, social structure, and economic
source of Siraha, Saptari, Sunsari, Morang
and Jhapa is the same, and there is
uniformity in the language, a separate
province should be formed and named as
Birat province or any appropriate name.
6. Though the written history and research
of the Tharus have just begun, the culture,
customs, social tradition and practices
show that the Tharus have been living in
the Tarai region since 10,000 years ago,
and as a result they have been accepted
by all as indigenous nationalities.
Before wiping out the existence of any
ethnic group, if the culture, costume
and traditions of that ethnic group
are wiped out, then the ethnic groups
would become extinct itself. It is due to
this reason that the Yogi-Brahmin who
came from India along with the publicity
of Hindu religion and Hindu priest like
Shankaracharya have been encroaching
upon the culture. Two Siddhababas who
came from Rupandehi put an end to the
Tharu tradition at Chughera Dang, the
devsthal of the Tharus, and then initiated
worshipping as per the Nath community,
and thus fully putting an end to the
worshipping as per the Tharu traditions.
Likewise, another Yogi or the one called
Bhubaneswor Das arrived at Deukhuri
Gobardiha, constructed a hut, displayed
some Yoga miracles to the Tharus and
tried to convert them into his disciples
and put an end to the Tharus traditional
way of worshipping. However, the Tharu
landlord there did not become his
disciples and managed to preserve the
tradition.
7. Though all states are named by one word
or by name of the locality, the Tarai has
been named by three and four words
together, and this may be an effort to
create a divide following the the British
diplomacy called “divide and rule”. One
cannot rule out the conspiracy behind
it, by creating a big province, and letting
them fight among themselves, while you
fulfill your interests.
44 Federalism Dialogues Series 8

8. The Madheshi comprises the Madheshi
Brahmin, Thakuri, Kayastha, Chhetri
and others. Majority of the Muslims
also live in the Madhesh. Privileges as
a Muslim, and also as Madheshi would
be double benefit, so there should be a
clear definition. Even in a great country
like India, there is Indian history of
the Brahmin, Chhetri, Thakuri Chhetri
and Gupta, Madwari (in trade) ruling
(governing). If these Madheshis are
included in the Tharu region, then one
cannot rule out that the Tharus who were
exploited economically and politically
by the Brahmin, Chhetri and Thakuris
previously would not be exploited
by the Madheshis again tomorrow.
Therefore, the privileges to be received
from the State to the Madheshi should
be provided not under the name of the
Madheshi, but on the basis of explanation
of the ethnicity. Though the Tharus are
the indigenous nationalities in Lumbini
and Birat states, they are in the minority,
so unless a provision of full proportional
representation at all levels is made on the
basis of ethnicity then the forming of the
new State shall yield nothing.
9. In order to ensure the rights and wellbeing
of Madhesih it would be good
to include it under the policy and
directives of the state, rather than under
Fundamental Rights of the Constitution.
10. Women’s rights have also been included
under Fundamental Rights. This is just
a ploy of the men from the caste that
has always been at the helm of state
power to maintain their dominance.
Because they are aware that the
indigenous nationalities, Dalit women
lack awareness and education, and so it
will be ultimately women from their own
community who would benefit from the
opportunity, and would continue their
dominance in central power and state
power by establishing their majority
with the help of the women. So even if
the special rights of fundamental rights
of women are ensured, a provision of
fully proportionate representation on
the basis of ethnic population should be
established.
11. A decision to determine the headquarters
(capital) of any state/province should be
made on the principle of equidistance
and proximity suitable to all. Once
decided and if it is unsuitable it would be
hard to shift it, and there shall be protest
and revolt. And if we determine the state
headquarters now with the argument
that there is no infrastructure for it
elsewhere then it shall become like the
story of King Mohammad Tuklak to shift
capital from the basti to the daulat.
12. Regarding the collection of tax by the
local government or state government
or central government, there should
be clear criteria of what percentage the
lower level (of Government) should give
to the upper level, and how much the
upper level should allocate for the lower
level. If decision is taken to allocate funds
without any fixed criteria then it will be
politicized, and the lower levels will be
exploited.
13. The local government should be formed,
and the local bodies be established
Proposed Lumbini–Awadh–Tharuwan Province Report 45

also considering the social traditions of
that location. For example, as per Tharu
traditions the Katakandar, Bhalbhansa,
Mahatawa, Aghari, Pradhan, Mahajum,
Deshbandhya Guruwa, Guru and the
like traditions of the village should be
recognized. Deukhuri was divided into
6 Praganna—Badka Path, Chhap, the
later one South of Rapti, North of Rapti
the Fuhura, Majhameriya and Jogiya
praganna. These Praganna was headed
by the Chief Official and a Mahajum
under them. For worshipping, there was
a provision of Deshbandhya Guruba and
Guruba. The Chief Official used to made
provisions for irrigation, and also would
settle disputes within the Praganna,
announce fine and punishment. This
tradition still exists in the villages
(Deukhuri). Likewise, this provision
also exists in Banke, Bardia, Kailali and
Kanchanpur.
14. While constituting the local Government,
a proposal has been made to include 5-7
members at the village level, and up to
11 in the town level. But looking at the
geographical structure, the village unit
seems to be bigger, so low numbers
would lead to low participation, and thus
weaken democracy. Again, the provisions
regarding the village level and that of the
judiciary is not clear. If we are to form a
village-level executive along with judicial
powers, then 5 to 7 or of 11 people would
be fine, but if budget formulation, control
and enforcement is to be done by a single
body then there could be possibilities of
irregularities and corruption. Provision of
balance of Power and control mechanism
is essential, because exploitation starts
and has started from the village itself.
Since the process of formation of the
local Government is a presidential
system, it would be just like throwing
away one king and replacing with
another king. Imposing a presidential
system means to ignore democracy. So,
election of the members should be held
by incorporating every village region.
15. Giving autonomy to the state: A good
explanation and interpretation of political
autonomy and financial autonomy
should be made, and a decision should be
taken on which areas the state should be
given autonomy. Haphazard allocation of
powers in the name of autonomy would
make it difficult for the Centre to control
and ensure adherence to directives, and
such anarchy/chaos could also lead to a
situation of ‘State separation’.
16. There should be a clear outline of tax
collection and distribution of taxes.
Though something has been mentioned
about this in point no. 11, what I wish
to say here is that a provision for tax
collection by the Provinces and the
Centre should be made by allocating
separate headings. Common areas like
developing a passport and awarding
citizenship or license to foreign trade,
revenue etc should be carried out by the
Province as per the rule of the Centre, but
it should be clear what percentage the
Province would get for doing so.
17) From the security point of view, border
security, army, military management
etc should fall under the Centre while
provinces should have their own civil
46 Federalism Dialogues Series 8

police. The administration of the existing
civil police should be given to the
Provinces, but the Armed Police should
remain under the authority of the Centre
as a Reserve Force.
18. The Centre should adopt a single policy
to deal with all the Provinces; otherwise,
like sons distancing themselves from
the family for not receiving equal
treatment from their father in par with
their brothers, the Provinces may also
disintegrate themselves from the Centre.
19. Every state should be given autonomy
in economic policy and tax collection
provisions. Like, despite a unitary and
one-party government in China, the entire
country including autonomous Tibet, have
been divided into 6 economic zones, and
are allowed to develop their own economic
policy. As a result, even though the impact
of the economic recession fell on a country
like the United States of America, China
was successful in maintaining a 9 per cent
economic growth rate. So there should
be limitations only in the main economic
policy, while autonomy should be granted
in others. Like, in agriculture policy the
province should be independent. We
cannot bring balance in foreign trade by
increasing gross production. Economic
transformation of the country would not
be possible in the absence of trade balance.
Likewise, peace and development will also
not be possible without a strong economic
situation.
20. If there is a provision for a President in the
Centre, then the provision of a Governor
in the province is mandatory. The
appointment of the Rajyapal or Governor
should be held on the recommendation
of the Provincial Government not on the
recommendation of the Chief Minister.
If the appointment is made on the
recommendation of the Chief Minister,
then there could be misappropriation in
the appointment, and chances of bribery.
21. If the Legislative, Executive and the
Judiciary don’t exist independently, then
democracy would become meaningless,
and it shall become autocratic. So even
though the Chief Justice is appointed
on the recommendation of the Judicial
Council or any other body, the provision
to remove them should be only through
impeachment.
22. Even though the formation of the
Commissions and appointment of the
Commissioners is done politically, the
appointment of the members should be
done on the basis of fully proportionate
representation of the ethnic population.
Unless this is done, the Corruption
Prevention and Public Service
Commission or the Election Commission
cannot work in an impartial manner.
The above recommendations have been
drawn out through discussions with
Tharu intellectuals, Tharu politicians and
the prominent groups. We hope that our
recommendations are taken positively, and
would contribute to the new Republican
Constitution, and we pray that a situation
does not arise when the Constitution has to be
amended soon after it has been promulgated.
Proposed Lumbini–Awadh–Tharuwan Province Report 47

ANNEX IV
Group work outcomes
First group work outcome:
Group A: Base of restructuring the State
• Cultural
• Ethnic historical contingency
• Linguistic and regional
• Distinct population
• Geographical accessibility
• Economic possibility and
interdependence
• Political and administrative
convenience
• Sustainability of the state
Group B: Distribution of power between
center and province
Both
• Center
• Defense and army
• Central Bank, Monetary and fiscal
policy
• International and diplomatic
relations, including extradition
• Supreme Court/Constitutional court
• Police – Both
• Media, Postal – Both
• Custom and tourism tax – Both
• Civil service
• Statistics
• Electricity and irrigation project
• School and library
• Central health policy
• Federal provincial legislature
• Interprovincial business, exchange,
Harbor, Quarantine
• International and interprovincial
airways
• Provincial, national rail and highways
• National investigation
• Citizenship and passport
• Weight and measurement
• Mine excavation
• Borderline policy
• Arms and amenities
• Criminal laws
Provincial
• Royalty of natural resources
• Provincial court, family court, child
court
• Patent design and Copy right
Group C: Rights of Minority
• Provision of sub-autonomous region
for minority
• Reservation policy
• Provision of prime right
48 Federalism Dialogues Series 8

• Strengthen and renovate traditional
occupations to make them
economically independent, and
provide land for landless and easy
loans for minorities.
• Provision of inclusion in every sector
of state
• Ensure the existence of rule of law
• Special program to increase
awareness
• State and central government should
develop package programs to address
the needs of excluded ethnic groups.
• Special program to end all type of
discrimination
Group D: Local Government and its
services
Ward Committee (Lowest level of
government)
• The lowest level, ward committee,
of the local government should be
decided on the basis of population
and geography.
• The ward committee should be
composed of 5 members including
one chief and 4 other members.
Goan Palika/ Nagar palika/ Maha
Nagarpalika (on the basis of population
and geography)
• Goan Palika- 5-7 wards. The
representatives will be chosen
60% by direct election and 40% by
nomination
• Nagarpalika- 11-15 wards. 60% direct
election and 40% nomination
• Maha nagarpalika- 18-35 wards- 60%
direct election and 40% nomination.
Service provided:
Ward Committee- Establish service center
to promote the tourism development.
Group E: Inter Provincial relations
• No restriction on the conduct of
interprovincial business
• No dual tax system on goods
exchanged among provinces
• To use and protect the irrigation,
electricity, road, religious and tourism
places on the basis of common
understanding and subsistence
• Adopt the principle of negotiation for
borders and natural resources among
two provinces
• Minimum export duty on goods
produced in one province and sold
to another, and no encroachment of
natural resources by each other
• Annual meeting the provincial heads
to discuss issues of security and illegal
activity between provinces.
• Conduct buying and selling as per
need among the provinces
• Free inter provincial migration but
people should not keep dual property
in two provinces.
Second group work outcome:
Group A: History and Geography of
Lumbini-Awadh-Tharuwan
HISTORY
• Nawalparasi: Tribeni dham, Ujaiini,
Ramgram
• Rupendehi: Lumbini, Budhamawali
Devdah, Jitgadi Killa, Gaidda tal,
Gajedi tal, Rohini river, Tinau river and
Tribeni river.
• Kapilvastu: Darbur of king
Proposed Lumbini–Awadh–Tharuwan Province Report 49

Sudhoodhan (Tilaurakot) Shivgdimai,
Bann ganga river, Kudan Goan (Lauri
Sawar Bir gatha) Jagdishpur simsar tal
• Dang Deukhuri: Rihar, Baghnath
baba temple, Kundra temple, Somoe
sthan, Dum dum Bhagawati, Kotiya
temple, Jagdamba temple (Gatwa),
Numchu gumba, Bauddha, Dahawa
rihar (Barah region), Ratnanath
temple,(Chuchhera), Darbur of Tharu
king Dangi saran (Sukaura), Chamere
gupha, Manuriya temple, Charinge
daha, Ambikeshwori temple, Sekhe
daha, Bhore mela temple, Aahirawati
river (Rapti), Bhim Bagh, Teliya rihar,
Dharpai shiv temple.
• Banke: Bageshwori temple, Chulikka
gupha, Laxmanpur Bandh, Musaphir
khana, Gadi Mazjid, Kammarsha baba.
• Bardiya: Thakurdwara, Bagaiya tal,
Banke Bardiya national forest, Karnali
river, Barhawa Bardiya, Banglamukhi
temple, Wakuli tal.
• Kailali: Ghodaghodi tal, Baihada
Temple, Koilihi tal, Mahadev tal,
Basanta ban nikunja, Godawari
Bouddha Gumba, Wotka baaba
temple, Tikapur park, Guthiya river,
Shiv tal, Jokhar tal
• Kanchanpur: Bedkot tal, Ghimila ta,
Bishnu Temple, Brahma dev temple,
Shuklaphata National forest, Banda
ta, Kanchanbeyam Kusuma Gumba,
Kali tal, Ryara tal, Mahakali river,
Nakata baba Temple
GEOGRAPHY:
• The geography of Lumbini-Awadh-
Tharuwan province is as follows: West
of Chitwan to the Mahakali river;
Chadani, Dodhara, Kutiya, Kavar in
the east; Chure hills in the north, Lati
koili and Chinchhu in Surkhet and the
Indian border in the south.
Group B: Political and administrative
structure of the province
Legislative/Provincial government
• Goan palika-58
• The basis of Goan Palika: minimum
50 thousand population,
geographic and infrastructural
facility
• Divided in to 15 wards
• 5 members with one ward
president selected by proportional
representation
• Executive committee of Goan
Palika: compose of 23 members
including 15 ward president as
member, 6 member elected by
proportional election and direct
election of president and vice
president
• Goan Palik representative council:
Composed of 83 members
including 5 members from 9
different wards (75 members), 8
members form the goan palika
executive committee
• Nagar palika-15 (Metro/submetro)
• Metro/ Sub-metro/Municipality is
as per the current system
• Autonomous, special and
protective region
• Provincial legislative:
• 40 members from direct election
(1 representative for 1 lakh) 25
members from proportional
representation system
• Upper house: composed of 35
members including 10 members
elected by the president of goan
palika and 25 members form
different ethnic community/
special/protective region.
50 Federalism Dialogues Series 8

Group C: Natural resources and economic
possibility
• Origin human civilization (Nar manav
of Butwal and Gwarkhola of Dang)
• Different places included as world
heritage (Lumbini, Tilaurakot,
Devdah)
• Tourist places: Chughera temple,
Barahkune daha, Ambikeshwori
temple, Rihar of Dang,
Bageshworitemple of Banke, Badaiya
tel, Krishnasar protective region,
Thakur baba temple of Bardiya,
Bardiya national park, Karnali bridge,
Tikapur, Ghoda Ghodi tal, Behada
baba temple, Suklaphata national
forest Purniagiri temple, Hanging
bridge of Nahakali river.
• Hydro-power: Diversion in the Bharei
river, Hydro-power of Karnali, Multipurpose
project of Mahakali
• Mine: Coal mine, Iron, salt of Dang,
Petrol of Kapilvastu, Gold mine of
Bardiya national park.
• Water resources: Irrigation, rafting,
possibility of production of mineral
water.
• Agricultural: Cash crops, animal
raising, fishery production and others.
• Herbs: Titepati
• Industry: Cement, Petrol, Rice and
other industry based on agriculture.
• Hotel Industry.
Group D: Judicial system and customary
law
Muslim:
• Justice given by the religious teacher
(Mulwi/Maulana) are as per Sariya
• Divorce and many marriages
• Tharu:
• Give judicial authority to the Badghar,
Bhalmansa, Mahto (which has been
given by the ILO 169)
• Legal recognition to the traditions
practiced by the Tharu community for
social justice.
• Legal recognition to the practices of
Mauja, Praganna of tharu community.
• Recognize the Deshbaghiya practices
in praganna
• Recognize the worship of Bhudhayer
to eliminate the thread and free
movement in the village.
• Recognize the construction of
proganna, Jhara, Khara kula pani
system and Sankhawa
• Recognize the plan developed by
the Mahto, Bhalmansa and Badghar
annually
Magar:
• Right to marry the maternal uncle’s
daughter
• Legal recognition of the traditional
practice and other traditional skills
• Legal recognition to the conflict
resolution practice of Gha-magar and
Ghdbuda.
• Recognize the practices of the rituals
for cremation and marriage
• Recognize the festival like Bhucha,
Bhagya as major festival of region.
Yadav:
• Continue the practice of Badghar,
Mahto, Chukidar, Katwal
• Recognize the traditional practice of
conflict resolution in the community.
Proposed Lumbini–Awadh–Tharuwan Province Report 51

• Need to refine the practice of
discouraging the inter-caste marriage
• End the practices of discrimination
• Recognize the practice of Jehawar
• Eliminate the practices of not sending
girls to school.
• Honor those practices that are not
contradictory to the law of the
country.
Group E: Identification of Minority and
their rights
Identification of Minority:
• Raji: Kailali (Tikapur, Chumala),
BArdiya (Sanoshree), Kanchanpur
(Krishnasar)
• Dalit (Including Madheshi)
Chidiyamar, Chamar, Prasai, Teli
• Rai/Limbu: Some districts
Rights of the Minorities:
• Recognize the Raji, Raute, Sunaha,
Kuswaha, Kumal, Chhalthyal, Thakali,
and Kusunda for protected regions
and provide special rights for these
regions and implement those policies.
• Gurung, Magar, Tamang, Muslim,
Newar, Rai/Limbu and Dalit should be
included on the basis of proportional
representation as per their size of
population in the province for the
implementation of development, and
provision of service.
• Kumal: Kanchanpur, Kailali, Banke,
Dang, Rupendehi
• Raute: Kachanpur (Bramhadev
Jungle) Dang (West part)
• Sunaha (Saunaha): Bardiya (Daulatpur,
Patabhar, Manaku, by the side of
Karnali river), Kanchanpur (By the side
of Mahakali river)
• Khunaha: Banke (Khas Kusum VDC)
Bardiay (Sonashree)
• Thakali: Exis in all the districts
• Kusunda: Dang
• Chhalthyal: Dang, Rupendehi
• Tamang: In all the districts
• Kusbadiya (Pathharkatta) Banke,
Rupendehi, Kapilvastu
• Gurung: In all the districts
• Newar: In all the districts
• Magar: In all the districts
52 Federalism Dialogues Series 8

2
3
1
9
8
4
5
ANNEX V
Legend
Streams
International Boundary
Built up
Proposed Federal Unit Boundary
District Boundary
Cultivation
!. Proposed Federal Unit Capital
Forest
Orchard
&- District Headquarters
Grass
"
Buildings
Bush
Airports
Sand
Designated Area
o
Glacier
Highway
Barren Land
Feeder Road
Proposed Federal Unit : Lumbini-Awadh-Tharuwan
Reference Map
River Water
District Road
Snow
Other Road
Lake
Main Trail
Predominance by Caste/Ethnicity - Lumbini_Awadh_Tharuwan
Federal Unit
30%
Chhyolamkyok Tal
Changwathang Tal
Chhunsa Tal
26%
25%
Humla Simikot
Joge Tal Rakse Tal
Bhollbihan Tal
Darchula
Odar Tal
Darchula Khalanga
20%
13%
15%
11%
Location Map
11
12
Surya Tal
Bajhang
Diulhiya Daha
Baitadi
Chainpur
Khaptad
Dhaulpura Daha
Gumghadi
Jadan
Mugu
Bajura
Rara Daha (Mahendra Tal)
Tomjo Tal
Baitadi
Martadi RARA NATIONAL PARK
11%
10%
8%
6%
4%
5%
4% 2% 2% 2% 2% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1%
14
6 7
13
10
Proposed Federal Unit Boundary 5. Limbuwan
7.Magrat
Proposed Federal Units
9. Narayani
1. Jadan
10. Newa
2. Karnali
11.Sherpa
3. Khaptad
12.Sunkoshi
4. Kirat
13.Tamsaling
6. Lumbini -Awadh-Tharuwan
14.Tamuwan
8. Mithila-Bhojpura-Koch-Madhesh
Map data source(s):
Federal units- Constituent Assembly Committee on State Restructuring and
Distribution of State Power; Population data- CBS
Disclaimers:
The boundaries and names shown and the designations used on this map do
not imply official endorsement or acceptance by the United Nations. UNOCHA
and UNDP/CCD provide this map as a basis for discussion among CA
members and the public and can not take any responsibility for its
correctness.
Chhede Daha
KHAPTAD NATIONAL PARK
Chanya Daha SHE PHOKSUNDO NATIONAL PARK
Dadeldhura
Mayum Tal
Dipayal Silgadhi
Jumla
Dadeldhura
Lamadar Tal Kalikot
Jumla
Doti
Phoksundo Tal
Tallo Kekyap Tal
Aali Tal
Mangalsen Manma
Dolpa
Achham
Bista Daha
Chholuk Tal
Mahendranagar
Chunapani Tal
Dhuya Tal
Damodar Kunda
Karnali
Chhumukuni Daha Chorum Tal
Mustang
Dunai Bazaar
SHUKLAPHANTA WILDLIFE RESERVE
Dailekh
Dailekh Bazaar
Muli Tal
Kanchanpur
Muli Daha
Jajarkot
Tiri Tal
Kailali
Rakses Daha
Dhangadi
Khalanga
Kate Tal ANNAPURNA CONSERVATION AREA
Thulo Gupta Daha
Barma Tal
Ghodaghodi Tal
Tilicho Tal Manang
Birendranagar
MusikotKhalanga
Surkhet
DHORPATAN HUNTING RESERVE Kalibara Tal
Maikyu Tal
Soniya Tal
Bulbule Tal
Rukum
Myagdi
0%
BARDIYA NATIONAL PARK
Ramkhani Tal
Bardiya
Salyan Salyan Khalanga
Biban Tal
Beni
Rolpa Liwang
Baglung
Kaski
Lal Tal
Baglung
Gularia
Kusma Pokhara
Badhaiya Tal
Tulsipur
Magrat Gulmi
Parbat Phewa Tal
Lamjung
Thul Daha
Syangja
Nepalgunj
Gauri Tal
PythanKhalanga
Ghorahi
Tamghas
Puraina Puraini Tal
Lumbini-Awadh-Tharuwan
Pyuthan
Banke
Sandhikharka
Syangja
Tanahu
Dang
Arghakhanchi
Tansen
Palpa
Butawal
Pokhari Tal
Kapilbastu Sagar Tal Rupandehi
Nawalparasi
Taulihawa
Bhairahawa
CHITAWAN NATIONAL PARK
Bajha Tal
Chitawan
1%
1%
Kami
Chamar/ Harijan/
Ram
Thakuri
Kurmi
Damai/Dholi
UnidentifiedCaste
UnidentifiedDalit
Sonar
Kewat
Gurung
Baniya
Dusadh/Paswan/
Pasi
Newar
Teli
Sanyasi
Others
Yadav
Magar
Muslim
Brahman-Hill
Chhetri
Tharu
Hill Brahman/Chhetri (HBC)
Lumbini-Awadh-Tharuwan
Madhesi/Terai Brahman/Chhetri (MTBC)
2%
8%
Disadvantaged Other Madhesi/Terai (DOMT)
Non-Disadvantaged Other Madhesi/Terai (NDOMT)
27%
Hill Dalits (HD)
Madhesi/Terai Dalits (MTD)
26%
New ar (N)
Disadvantaged Hill Janajati (DHJ)
Non-Disadvantaged Hill Janajati (NDHJ)
6%
Disadvantaged Terai Janajati (DTJ)
0%
10%
Non-Disadvantaged Terai Janajati (NDTJ)
6% 6%
Muslims (M)
2%
7%
Others (O)
Proposed Lumbini–Awadh–Tharuwan Province Report 53

54 Federalism Dialogues Series 8

Proposed Lumbini–Awadh–Tharuwan Province Report 55

Centre for Constitutional Dialogue (CCD)
3rd & 4th floor, Alfa Beta Complex, Buddhanagar, Kathmandu
Telephone 977-1- 4785466 / 4785486 / 4785998
E-mail: info@ccd.org.np
Website: 56 www.ccd.org.np
Federalism Dialogues Series 8