21st November, 2002
Ministry of Statistics & Programme Implementation  


NON-COMPLETION OF PROJECTS


RAJYA SABHA

As per latest available figures, 541 projects costing Rs.20 crore and above are on the monitor of Ministry of Statistics & Programme Implementation. Out of these, 85 projects are ahead of schedule, 148 projects are on schedule, 81 projects do not have any definite date of commissioning, 56 projects do not have a firm completion date and 171 projects are running behind with respect to their original approved schedule. The cost of 171 delayed projects has increased from Rs.50,119 crore to Rs.78,685.5 crore.

As a result of effective monitoring, facilitation measures taken and system improvements brought about by the Government, the cost overrun of projects with reference to the originally approved cost has come down from 62% in March 1991 to 23.6% in June 2002. The cost overrun with respect to latest approved cost is only 10.6%. The incidence of time overrun has also registered a significant reduction. The remedial measures taken for timely completion of projects and minimisation of cost overruns include:

(i) Review of projects on monthly as well as quarterly basis by the Government to identify the constraints and to resolve the problems affecting the implementation of projects;

(ii) In-depth critical review of the progress by the project authorities and the Administrative Ministries and follow up with the State Governments, equipment manufacturers, contractors, consultants and other agencies concerned to minimise delays;

(iii) Coordination for resolving problems of inter-ministerial nature;

(iv)Appointment of a nodal officer for each project co-terminous with the duration of the project;

(v) Setting up of an Empowered Committee in the administrative ministries concerned for resolution of problems;

(vi) Yearly updating project costs to tie up fund requirements; and

(vii) Providing matching funds for expeditious completion of projects in advanced stages of implementation.

This information was given in the Rajya Sabha today by Minister of State for Statistics & Programme Implementation shri Vijay Goel in the reply to a question by Shri Janeshwar Mishra.