Cost overrun of Rs 47,427 cr in Maharashtra irrigation projects: CAG

Jun 14 2014, 22:16 IST
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SummaryOf the 601 ongoing projects, 225 projects were under execution for more than 15 years: CAG report.

Of the 601 ongoing irrigation projects in Maharashtra, there was a cost overrun of Rs 47,427.10 crore in 363, while in 83 out of 87 test-checked projects, the cost overrun was to the extent of Rs 12,807.64 crore, said the CAG report tabled in Maharashtra legislature today.

"Of the 601 ongoing projects, 225 projects were under execution for more than 15 years, of which, 77 projects were under execution for more than 30 years. In the test-checked projects, 16 projects were under execution for more than 30 years.

"Further, of the 601 ongoing projects, there was a cost overrun of Rs 47,427.10 crore in 363 ongoing projects, while in 83 out of 87 test-checked projects, the cost overrun was to the extent of Rs 12,807.64 crore," the CAG report said.

CAG's "Present performance audit on Management of Irrigation Projects" covering a period 2007-13 was tabled in the state legislature.

CAG said the audit is an attempt to review not only the individual irrigation projects selected in the sample, but also discuss in sufficient detail the project-level planning, tendering and contract management and project implementation.

In 37 out of 87 test-checked projects on which an expenditure of Rs 9,078.58 crore had been incurred, complete land (forest and civil) was not acquired before commencement of work thereby depriving the users of the benefits of the projects, the report said.

Estimates for irrigation projects were prepared without proper survey of dam sites leading to changes in the original design after issue of work orders. In 15 out of 87 test-checked projects, improper survey before commencement of works resulted in an increase in cost of these projects by Rs 2,099 crore, besides delaying their completion.

There was no well-defined system of granting administrative approvals and revised administrative approvals to the irrigation projects by the Irrigation Development Corporations. Three Irrigation Development Corporations granted administrative approvals to 63 projects amounting to Rs 2,467.94 crore in the non-backlog districts in violation of delegation of powers and the Governor's directives.

As per the report, the Irrigation Development Corporations violated the provisions of the Maharashtra Public Works Manual.

Of the total 601 ongoing projects, in 21 ongoing projects an expenditure of Rs 133.42 crore over and above 10 per cent of the administrative approvals amount was incurred, while in 100 ongoing projects an expenditure of Rs 2,367.28 crore was incurred over and above the revised administrative approvals, without the approval of the competent authority.

The Government incurred a financial

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