Half of central projects delayed, to cost Rs 39,000 cr more
  • This Section
  • Latest
  • Web Wrap
Last Updated: Monday, July 20, 2009, 21:03
New Delhi: The government will have to spend about Rs 39,000 crore more due to delay in commissioning of almost half of central projects costing above Rs 20 crore, the Rajya Sabha was informed on Monday.

"The delay in projects is one of the main reasons for increase in cost," Minister of Statistics and Programme Implementation Sriprakash Jaiswal said in a written reply to a query on delay in central projects.

As on March 2009, of 925 projects costing Rs 20 crore and above on the monitor of the Ministry, 423 projects of different infrastructure sectors are running behind their latest approved schedule.

"Cost overrun in 423 delayed projects is Rs 38,663.67 crore, which is 15.35 per cent of the latest approved cost of Rs 2,51,912.73 crore," Jaiswal said.

However, the cost overrun is Rs 44,506 crore, over 18 per cent of the original cost of Rs 2,46,070 crore sanctioned for the 423 central projects.

Project delays resulting in cost overruns (over the original cost) of more than Rs 5,000 crore are in the states of Jammu and Kashmir, Assam, Maharashtra and Andhra Pradesh, he said.

Bureau Report

First Published: Monday, July 20, 2009, 21:03

comments powered by Disqus