India's Road Project Delays: Navigating Obstacles for Timely Completion
India faces delays in completing 489 road projects due to land acquisition and clearance issues. Union Minister Nitin Gadkari assures efforts to resolve these hurdles. Cost overruns result from compensation, tax impacts, and design changes. Contracts may be revised if faced with undue delays.
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- India
A staggering 489 road projects in India, initially set to be completed by March 2025, are currently on hold due to delays in essential approvals like land acquisition, forest clearances, and railway permissions, the Parliament was informed on Wednesday.
Union Road Transport and Highways Minister Nitin Gadkari, in his written statement to the Rajya Sabha, emphasized that the government is actively working with state governments and stakeholders to address these issues and ensure project completion.
Factors such as increased compensation costs for land, GST impacts, and necessary design modifications have caused cost overruns in these delayed projects. Gadkari noted that in cases of significant delays, contracts might be terminated and re-awarded with potential modifications to ensure progress.
(With inputs from agencies.)
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