Cost overruns in public works

The 12.5 km Oxygen-Hathhazari road expansion project is three years too late. And that has pushed up the cost considerably. The original timeline for the completion of the project was December 2013, but thanks to the delays, the national exchequer is now being depleted by an additional Tk 96 crore! Delays in project execution are not merely a question of putting public money to good use but also causing sufferings to commuters and hampering the movement of bulk goods. This project is of major import because motorised transport to and from the port city of Chittagong are dependent on this intersection to go to various destinations like Chittagong University, Rangamati and Khagrachhari districts. 

It would not be wrong to state that the same situation exists with the bulk of all the hundreds of projects that the various departments undertake. This is typical of public construction projects in the country that is beset with unrealistic planning coupled with poor implementation. What we find appalling is that the excuse for project timeline extensions often boils down to land acquisition, as also in this case. When a project is undertaken, planners should already be aware precisely what land will be required to complete the work. Yet, as in the case of this road expansion work, there is a piecemeal approach to acquiring land. Naturally, the cost of land has appreciated over the period since prices will inflate when there is time lapse and when new infrastructure is coming up. It is high time we go back to the drawing board to address these systemic deficiencies so that projects start and finish on time and the public benefits from timely completion of works.