224 central projects see cost overrun of over Rs 2 lakh crore

Out of 738 monitored projects, 335 have been delayed, 224 face cost overrun and 76 face both time and cost overrun

As many as 224 central sector infrastructure projects in sectors like road, rail and power were showing cost overrun of over Rs 2 lakh crore till December-end, Parliament was informed today.

"Seven-hundred-and-thirty-eight projects (worth Rs 150 crore each) were on monitor of this ministry as on December 31...Original cost of these 738 projects was Rs 9,77,589.16 crore and their total anticipated completion cost is Rs 11,84,766.43 crore," Statistics Minister V K Singh said in a written reply to Lok Sabha today.

The minister said that of these 738 projects, 315 were showing time overrun, 224 projects were showing cost overrun and 76 projects were showing both time and cost overrun with respect to their original project implementation schedule.

The minister's reply revealed that the total cost overrun of 224 projects, which reported higher completion cost is Rs 2,07,177.27 crore.

Government through the Statistics Ministry monitors ongoing central sector infrastructure projects costing Rs 150 crore and above on time and cost overruns.

The major steps undertaken to ensure completion of these projects include, rigorous project appraisal and on-line computerised monitoring system for better monitoring, minster said.

The government also set up standing committees in the administrative ministries for fixation of responsibility for time and cost overruns and central sector projects coordination committees in states under chief secretaries for removal of bottlenecks and for speedy implementation of major projects.