401 infrastructure projects show cost overruns of Rs 4.06 lakh crore

Out of 583 delayed projects, 183 have overall delay in the range of 1 to 12 months, 129 in the range of 13 to 24 months, 146 reflect delay in the range of 25 to 60 months and 125 projects show delay of 61 months and above.

BCCL
Out of 583 delayed projects, 183 have overall delay in the range of 1 to 12 months, 129 in the range of 13 to 24 months, 146 reflect delay in the range of 25 to 60 months and 125 projects show delay of 61 months and above.
NEW DELHI: As many as 401 infrastructure projects, each worth Rs 150 crore or more, have been hit by cost overruns of over Rs 4.06 lakh crore owing to delays and other reasons, according to a report.

The Ministry of Statistics and Programme Implementation monitors infrastructure projects worth Rs 150 crore and above.

Of the 1,701 such projects, 401 projects reported cost overruns and 583 projects time escalation.


"Total original cost of implementation of the 1701 projects was Rs 20,65,739.00 crore and their anticipated completion cost is likely to be Rs 24,71,954.78 crore, which reflects overall cost overruns of Rs 4,06,215.78 crore (19.66 per cent of original cost)," the ministry's latest report for December 2019 said.

The expenditure incurred on these projects till December 2019 was Rs 10,89,178.11 crore, which is 44.06 per cent of the anticipated cost of the projects.

However, it said the number of delayed projects decreases to 483 if delay is calculated on the basis of latest schedule of completion.
ADVERTISEMENT

Further, it said that for 748 projects neither the year of commissioning nor the tentative gestation period has been reported.

Out of 583 delayed projects, 183 have overall delay in the range of 1 to 12 months, 129 in the range of 13 to 24 months, 146 reflect delay in the range of 25 to 60 months and 125 projects show delay of 61 months and above.

The average time overrun in these 583 delayed projects is 39.40 months.

The brief reasons for time overruns, as reported by various project implementing agencies, are delays in land acquisition, forest clearance and supply of equipment.
ADVERTISEMENT
Download
The Economic Times Business News App
for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App
for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
READ MORE
ADVERTISEMENT

READ MORE:

LOGIN & CLAIM

50 TIMESPOINTS

More from our Partners

Loading next story
Text Size:AAA
Success
This article has been saved

*

+