'Implementation costs of projects in Raj up by Rs 1 lakh cr'

Poor execution of 89 investment projects in Rajasthan has pushed up their cost by Rs 1 lakh crore, i.E over 53 per cent of their actual cost of about Rs 2 lakh crore, according to a study by ASSOCHAM.
"About 58 per cent of total outstanding investments worth about Rs 5 lakh crore attracted by Rajasthan from various domestic and foreign sources based in both public and private sectors in 2014-15, have remained a non-starter," noted the study 'Impact of Delay in Investment Implementation in Rajasthan'.
Amid the stalled 388 projects, electricity sector had maximum share of 39 per cent followed by non-financial services(20 per cent), manufacturing(20 per cent),mining(10 per cent),construction and real estate (seven per cent) and irrigation(four per cent).

"Several state departments played a crucial role in implementation of investment projects as decisions regarding land acquisition, shifting of utilities and others are taken at the state government's level. Apart from this, geographical features of the state may also affect the project time and costs," said D S Rawat, National Secretary General of ASSOCHAM while releasing the findings of the study.