As many as 428 infra projects hit cost overruns of Rs 4.98 lakh cr

22 Jun 2022 CW Team

As per a report, 428 infrastructure projects, each entailing an investment of Rs 150 crore or above, have been hit by cost overruns of more than Rs 4.98 lakh crore.

According to the Ministry of Statistics and Programme Implementation, which monitors infrastructure projects of Rs 150 crore and more, out of 1,559 projects, 428 projects declared cost overruns, and around 647 projects were delayed.

The ministry's latest report for April 2022 said the total original cost of execution of the 1559 projects was Rs 21,73,907.11 crore, and their expected completion cost is likely to be Rs 26,72,201.26 crore, which reflects overall cost overruns of Rs 4,98,294.15 crore.

The expenditure incurred on these infrastructure projects till April 2022 was Rs 13,50,610.98 crore, which was 50.54% of their expected cost, according to the report.

However, the number of delayed projects drops to 525 if the delay is calculated based on the latest plan of completion.

Further, for 619 projects neither the commissioning year nor the tentative gestation period has been declared.

Out of the 647 delayed projects, 103 have overall delays in the range of 1-12 months, 111 have been stalled for 13-24 months, 314 projects for 25-60 months, and 119 projects have been stalled for 61 months and more.

The average time overrun in these 647 stalled projects was 42.83 months.

Reasons for time overruns as informed by various project executing agencies include delay in land acquisition, delay in acquiring forest and environment approvals, delay in finalisation of detailed engineering, lack of infrastructure support and linkages, ordering and equipment supply, delay in tie-up for project financing, change in scope, delay in tendering, and law and order problems.

The report also mentioned state-wise lockdowns due to Covid-19 as a cause for the delay in execution of these projects.

It has also been observed that project companies are not informing revised cost estimates and commissioning plans for many projects, which indicates that time and cost overrun figures are under-reported.

Image Source

Also read: Around 425 infra projects note cost overruns worth Rs 4.83 lakh cr

As per a report, 428 infrastructure projects, each entailing an investment of Rs 150 crore or above, have been hit by cost overruns of more than Rs 4.98 lakh crore. According to the Ministry of Statistics and Programme Implementation, which monitors infrastructure projects of Rs 150 crore and more, out of 1,559 projects, 428 projects declared cost overruns, and around 647 projects were delayed. The ministry's latest report for April 2022 said the total original cost of execution of the 1559 projects was Rs 21,73,907.11 crore, and their expected completion cost is likely to be Rs 26,72,201.26 crore, which reflects overall cost overruns of Rs 4,98,294.15 crore. The expenditure incurred on these infrastructure projects till April 2022 was Rs 13,50,610.98 crore, which was 50.54% of their expected cost, according to the report. However, the number of delayed projects drops to 525 if the delay is calculated based on the latest plan of completion. Further, for 619 projects neither the commissioning year nor the tentative gestation period has been declared. Out of the 647 delayed projects, 103 have overall delays in the range of 1-12 months, 111 have been stalled for 13-24 months, 314 projects for 25-60 months, and 119 projects have been stalled for 61 months and more. The average time overrun in these 647 stalled projects was 42.83 months. Reasons for time overruns as informed by various project executing agencies include delay in land acquisition, delay in acquiring forest and environment approvals, delay in finalisation of detailed engineering, lack of infrastructure support and linkages, ordering and equipment supply, delay in tie-up for project financing, change in scope, delay in tendering, and law and order problems. The report also mentioned state-wise lockdowns due to Covid-19 as a cause for the delay in execution of these projects. It has also been observed that project companies are not informing revised cost estimates and commissioning plans for many projects, which indicates that time and cost overrun figures are under-reported. Image Source Also read: Around 425 infra projects note cost overruns worth Rs 4.83 lakh cr

Infrastructure Transport

12 Jan 2026

Dhalbhumgarh Airport Faces 150-km Rule Hurdle

The issue has resurfaced following a recent statement by Union Civil Aviation Minister Ram Mohan Naidu, who said that under existing aviation policy, a new greenfield airport is generally not permitted within an aerial distance of 150 kilometres of an operational civilian airport. He added, however, that if a formal proposal is submitted, its impact on the existing airport can be examined and relaxations may be considered on a case-by-case basis. While the clarification has revived some hope for Dhalbhumgarh, it has also underlined the scale of the technical challenge facing the project. Unde..

Infrastructure Transport

12 Jan 2026

Stakeholders Seek Parallel Ops For Vizag Airports

With road and metro rail links to Bhogapuram still several years away, stakeholders in north Andhra Pradesh have renewed demands to continue civil operations at INS Dega even after the commissioning of Bhogapuram International Airport. The new airport is expected to begin commercial operations from June. Officials said close to 80 per cent of the airport infrastructure at Bhogapuram, including the terminal building and internal approach roads, has already been completed. However, inadequate external connectivity remains a key concern. Making a case for parallel operations, Andhra Pradesh Air ..

Infrastructure Transport

12 Jan 2026

Govt To Roll Out V2V Tech To Cut Road Crashes

In an effort to curb road accidents, particularly in low-visibility conditions such as dense fog, the government is set to roll out vehicle-to-vehicle (V2V) communication technology that will allow cars to exchange real-time data and alert drivers to potential dangers. The announcement was made by Union Road Transport and Highways Minister Nitin Gadkari after the 43rd meeting of the Transport Development Council. The technology involves installing an on-board unit (OBU) in vehicles, enabling wireless data exchange between nearby cars. This will allow vehicles to share information such as spee..