449 infra projects’ cost overruns total Rs 4 lakh cr

23 Mar 2021 CW Team

The Ministry of Statistics and Programme Implementation (MoSPI) monitors infrastructure projects worth Rs 150 crore and above. Out of the 1,736 such projects, 449 reported cost overruns and 547 were delayed.

According to the ministry's report from February, the total original cost of implementation of the 1,736 projects was Rs 2,232,019.72 crore and their anticipated completion cost is likely to be Rs 2,661,205.74 crore. The cost overrun for completing these 449 projects works out to be Rs 429,186.02 crore.

The expenditure incurred on these projects till February 2021 is Rs 1,278,270.71 crore, which is 48.03% of the anticipated cost of the projects.

However, the report states that the number of delayed projects decreases to 409 if the delay is calculated based on the latest completion schedule.

Further, for 930 projects neither the year of commissioning nor the tentative gestation period has been reported. Out of 547 delayed projects, 109 projects have overall delay in the range of 1-12 months, 132 projects have a delay of 13-24 months, 187 projects reflect delay in the range of 25-60 months and 119 projects show delays of 61 months and above. The average time overrun in these 547 delayed projects is 44.59 months.

Reasons for time overruns as reported by various project implementing agencies include delay in land acquisition, delay in obtaining forest and environment clearances, and lack of infrastructure support and linkages.

Delay in tie-up for project financing, delay in finalisation of detailed engineering, change in scope, delay in tendering, ordering and equipment supply, and law and order problems, among others, are the other reasons, the report said.

The report also cited state-wise lockdown due to the Covid-19 pandemic as a reason for the delay in implementation of these projects.

It has also been noted that project agencies are not reporting revised cost estimates and commissioning schedules for many projects, which suggests that time and cost overrun figures are underreported, the ministry stated in its report.

Image Source

Also read: Over 400 Mumbai infra projects hit by cost and time overruns

Also read: Infra projects show huge cost overruns

According to a report by the Ministry of Statistics and Programme Implementation (MoSPI), as many as 449 infrastructure projects, each worth Rs 150 crore or more, have been hit by cost overruns totalling more than Rs 4.29 lakh crore (Rs 4.29 trillion). The Ministry of Statistics and Programme Implementation (MoSPI) monitors infrastructure projects worth Rs 150 crore and above. Out of the 1,736 such projects, 449 reported cost overruns and 547 were delayed. According to the ministry's report from February, the total original cost of implementation of the 1,736 projects was Rs 2,232,019.72 crore and their anticipated completion cost is likely to be Rs 2,661,205.74 crore. The cost overrun for completing these 449 projects works out to be Rs 429,186.02 crore. The expenditure incurred on these projects till February 2021 is Rs 1,278,270.71 crore, which is 48.03% of the anticipated cost of the projects. However, the report states that the number of delayed projects decreases to 409 if the delay is calculated based on the latest completion schedule. Further, for 930 projects neither the year of commissioning nor the tentative gestation period has been reported. Out of 547 delayed projects, 109 projects have overall delay in the range of 1-12 months, 132 projects have a delay of 13-24 months, 187 projects reflect delay in the range of 25-60 months and 119 projects show delays of 61 months and above. The average time overrun in these 547 delayed projects is 44.59 months. Reasons for time overruns as reported by various project implementing agencies include delay in land acquisition, delay in obtaining forest and environment clearances, and lack of infrastructure support and linkages. Delay in tie-up for project financing, delay in finalisation of detailed engineering, change in scope, delay in tendering, ordering and equipment supply, and law and order problems, among others, are the other reasons, the report said. The report also cited state-wise lockdown due to the Covid-19 pandemic as a reason for the delay in implementation of these projects. It has also been noted that project agencies are not reporting revised cost estimates and commissioning schedules for many projects, which suggests that time and cost overrun figures are underreported, the ministry stated in its report. Image Source Also read: Over 400 Mumbai infra projects hit by cost and time overruns Also read: Infra projects show huge cost overruns

Technology

29 Jul 2026

AI-Enabled Workflows Lift Profitability and Productivity

Organisations modernising frontline workflows with artificial intelligence, automation and real-time data are reporting stronger financial performance, higher productivity and improved employee engagement, according to a global study by Zebra Technologies and Oxford Economics.The research covered 1,000 senior leaders across retail, manufacturing, transportation and logistics in the US, Mexico, the UK, Germany, India, Japan, Australia and New Zealand.In transportation and logistics, 54 per cent of companies that improved picking and packing operations reported faster operational performance, wh..

Real Estate

29 Jul 2026

India Leads Global AI Readiness but Implementation Lags

Indian companies lead global averages across all eight artificial intelligence readiness indicators tracked by JLL, but only 19 per cent have started making changes to their workplaces, according to the JLL 2026 Future of Work Survey.The study found that 77 per cent of Indian business leaders expect AI to change their office requirements, creating a 58-percentage-point gap between awareness and implementation. The survey covered more than 2,200 CEOs, CFOs and real estate leaders across 21 countries during the first quarter of 2026.Despite concerns over automation, 58 per cent of Indian leaders..

Equipment

29 Jul 2026

Three WOLFF Cranes Build Riyadh Cable-Stayed Bridges

Three WOLFF 180 B luffing jib cranes are supporting the construction of two cable-stayed bridges alongside the existing Wadi Laban Bridge in Riyadh, Saudi Arabia. The project is being developed for the Royal Commission for Riyadh City and executed by the ICRC joint venture comprising IC Ictas and Al Rashid Trading & Contracting Company.The cranes are handling lifting operations including formwork, reinforcement, concrete placement, work platforms, surveying equipment and other construction materials. Each crane is fitted with a 40 m jib, reaches a hook height of 157 m and offers a maximum ..