379 Infrastructure Projects Hit by Cost Overruns
ECONOMY & POLICY

379 Infrastructure Projects Hit by Cost Overruns

An official analysis stated that as many as 379 infrastructure projects, each requiring an expenditure of at least Rs 1.5 billion, have been affected by cost overruns of more than Rs 4.64 lakh crore as of April 2023.

Out of 1,605 projects, 379 reported cost overruns and up to 800 projects were delayed, according to the Ministry of Statistics and Programme Implementation, which oversees infrastructure projects worth Rs 1.5 billion and above.

"Total original cost of implementation of the 1,605 projects was Rs 22,85,674.25 crore and their anticipated completion cost is likely to be Rs 27,50,591.38 crore, which reflects overall cost overruns of Rs 4,64,917.13 crore (20.34 per cent of original cost)," the ministry's latest report for April 2023 said.

The study states that the amount spent on these projects up till April 2023 was 51.39 percent of the projects' estimated cost. On the basis of the most recent completion schedule, it was announced that the number of projects with delays drops to 598. Additionally, it noted that neither the tentative gestation length nor the commissioning year for 413 projects had been published.

Out of the 800 projects that have been postponed, 194 have total delays between one and twelve months, 175 have delays between three and four years, 306 have delays between five and sixty years, and 125 have delays of more than sixty years.

Further evidence that time/cost overrun figures are underreported comes from the fact that many project executing agencies fail to publish revised cost estimates and commissioning schedules.

See also:
Project cost for Versova-Bandra Sealink jumps by 60% to Rs 113.33 bn
Mumbai Metro 3 project cost rises by Rs 10,269.82 crore


An official analysis stated that as many as 379 infrastructure projects, each requiring an expenditure of at least Rs 1.5 billion, have been affected by cost overruns of more than Rs 4.64 lakh crore as of April 2023. Out of 1,605 projects, 379 reported cost overruns and up to 800 projects were delayed, according to the Ministry of Statistics and Programme Implementation, which oversees infrastructure projects worth Rs 1.5 billion and above. Total original cost of implementation of the 1,605 projects was Rs 22,85,674.25 crore and their anticipated completion cost is likely to be Rs 27,50,591.38 crore, which reflects overall cost overruns of Rs 4,64,917.13 crore (20.34 per cent of original cost), the ministry's latest report for April 2023 said. The study states that the amount spent on these projects up till April 2023 was 51.39 percent of the projects' estimated cost. On the basis of the most recent completion schedule, it was announced that the number of projects with delays drops to 598. Additionally, it noted that neither the tentative gestation length nor the commissioning year for 413 projects had been published. Out of the 800 projects that have been postponed, 194 have total delays between one and twelve months, 175 have delays between three and four years, 306 have delays between five and sixty years, and 125 have delays of more than sixty years. Further evidence that time/cost overrun figures are underreported comes from the fact that many project executing agencies fail to publish revised cost estimates and commissioning schedules. See also: Project cost for Versova-Bandra Sealink jumps by 60% to Rs 113.33 bnMumbai Metro 3 project cost rises by Rs 10,269.82 crore

Related Stories

Gold Stories

Next Story
Real Estate

Anshul Singhal launches Vantrock with Rs 42 billion development plan

Real estate professional Anshul Singhal has launched Vantrock Real Assets Private Limited (VRAPL), a Mumbai-headquartered platform focused initially on warehousing, industrial and logistics parks. The company plans to develop approximately 11.5 million sq ft of assets, with an estimated gross development value (GDV) of Rs 42 billion (approximately USD 434 million) on completion.The first phase will cover around 3 million sq ft across the National Capital Region (NCR), Bengaluru and Pune, with an estimated development value of Rs 11 billion (approximately USD 113 million). Construction is sched..

Next Story
Infrastructure Transport

Afcons wins CII award for biodiversity management

Afcons Infrastructure has received the Confederation of Indian Industry (CII) National Award for Environmental Best Practices 2026 in the Biodiversity Management category for its work on the Mumbai-Ahmedabad High Speed Rail Project’s C-2 package.The award was presented at a ceremony in Chennai on 9 October 2026. It was received by Mihir Mishra, Vice-President, CPE, and Sumon Paul, Assistant General Manager, HSE, along with the Afcons team.The project adopted several resource recovery and waste management practices. These included recycling concrete washout waste to recover sand, aggregates a..

Next Story
Technology

Indian businesses lead globally in planned AI investment, says Autodesk

Indian organisations are moving towards deeper integration of artificial intelligence (AI), digital technologies and sustainability into business operations, according to Autodesk’s 2026 State of Design & Make report. The fourth edition of the annual study highlights growing AI adoption, measurable outcomes from digital transformation and the role of sustainability in long-term business growth.The report found that 64 per cent of Indian organisations are approaching or have achieved their current AI goals. While 88 per cent believe AI will enhance their industry, up from 78 per cent in 2..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code