Infra sector shrugs off Covid blues in FY22

New Delhi: Despite the deadly Delta wave of the Covid-19 that killed lakhs of people in 2021-22, infrastructure development continued unabated in the last fiscal. Both in terms of projects completed and their total worth, the 2021-22 proved to be the best year since 2014-15 in terms of the completion of projects of Rs150 crore and more.

As many as 272 projects completed, whose total worth was Rs265,168.07 crore, official sources told Bizz Buzz. Before that, in 2019-20, the highest number of projects, 186, got completed of Rs 130,229 crore. In terms of the worth of projects, 2015-16 topped the list with 61 projects of Rs 139,256.4 crore.

Quite expectedly, the least fruitful year was 2020-21, with the corresponding figures of 77 and Rs55,615.13 crore. The momentum of good work of 2021-22 seems to be maintained. In the first quarter of this fiscal alone, 87 projects worth Rs105,214.33 have already been completed.

Of the 1,514 projects over Rs150 crore in June, the total original cost was Rs2,121,471.79 crore. Owing to the cost overruns, the anticipated cost now is Rs2,587,946.13 crore. This means that the cost has increased by Rs466,474.34 crore, or about 22 per cent.

As many as 384 projects showed cost overruns with respect to the original approved cost, while 713 projects showed time overrun with respect to the original schedule. The delays ranged from one month to 312 months.

About 32 per cent of the cost overrun is because of the 713 delayed projects. The Infrastructure & Project Monitoring Division under the Ministry of Statistics & Programme Implementation monitors the projects of Rs150 crore and above spread across 11 sectors.

The projects are monitored to enhance the effectiveness of implementation, facilitate information flow for effective decision making, resolve outstanding implementation issues, bring about system improvement, and promote best management practices.