Confronting Issues: 12fth Plan Infrastructure Development
Various issues need to be addressed for the realization of infrastructure development initiative by the government during 12fth plan, reports P.P. Basistha.
The government has targeted a mammoth capital investment of $1 trillion for the development of infrastructure sector. However, before channelizing the investment for the infrastructure development programmes, many issues involving pre-feasibility studies, finance, litigation and others will have to be addressed, in order to neutralize time and cost overruns on the part of the project implementing agencies and developers.
A major issue that primarily needs to be addressed, is linking of funds with the pace of the project developments during different phases of construction. The implementing agencies and the contractors now regret that flow of funds are not actually linked to the pace of the development of the project. According to Mr. Chakanbabu, Executive Director, Central Public Works Department, “large scale cost overruns take place as the flow of funds from the implementing agencies are not synchronized according to the project schedules. Faced with delayed release of payments, the contractors ultimately resort to arbitration, as a result the project implementing agencies finally end up in paying up the contractor, eventually raising the cost of the project.” He explains, “the basis for liking of funds to the projects is actually based on the nature of the project. A project in its initial stages may need good deal of excavation or foundation work to be carried out, requiring adequate finances but in many cases owing to inadequate funding leading to cost and time overruns occurs to the project.”
The government has targeted a mammoth capital investment of $1 trillion for the development of infrastructure sector. However, before channelizing the investment for the infrastructure development programmes, many issues involving pre-feasibility studies, finance, litigation and others will have to be addressed, in order to neutralize time and cost overruns on the part of the project implementing agencies and developers.
A major issue that primarily needs to be addressed, is linking of funds with the pace of the project developments during different phases of construction. The implementing agencies and the contractors now regret that flow of funds are not actually linked to the pace of the development of the project. According to Mr. Chakanbabu, Executive Director, Central Public Works Department, “large scale cost overruns take place as the flow of funds from the implementing agencies are not synchronized according to the project schedules. Faced with delayed release of payments, the contractors ultimately resort to arbitration, as a result the project implementing agencies finally end up in paying up the contractor, eventually raising the cost of the project.” He explains, “the basis for liking of funds to the projects is actually based on the nature of the project. A project in its initial stages may need good deal of excavation or foundation work to be carried out, requiring adequate finances but in many cases owing to inadequate funding leading to cost and time overruns occurs to the project.”
This is a premium article available exclusively for our subscribers.
If you are already a subscriber, please Login
If not, subscribe now and get access to well researched articles & reports on infrastructure construction, equipment & machinery, innovations & technology, project reports, case studies, and more. All this by simply paying just ₹200/- for a month of complete portal access, or a discounted rate of ₹1000/- for a full year of access.
NBM&CW February 2012
A Deep Dive into India's Mega Infrastructure Construction Projects
The year 2024 is set to see some key mega construction projects in India with several projects having achieved significant milestones or advancing rapidly towards completion. These projects are also redefining the norms of engineering
Skilling Workers in India’s Infrastructure Construction Sector
The lack of skilled workers in the field of construction threatens to disrupt India's ambitious infrastructure development plans with projects stalling or becoming delayed, leading to cost overruns, and raising concerns on their
The Infrastructure Development & Connectivity Poll Push
Infrastructure development and connectivity - the buzzwords of the current Government during the 2024 General Elections - have been put on fast track, with the Government unlocking an infra blitz that spans national highways, railways
Women At Work : Breaking Barriers
This feature highlights the important role women employees are playing in male dominated industries like civil engineering, and the contributions they are making towards their company’s progress with their professional approach and skill
Minimol Korulla - Head - Strategic Projects and Initiatives, Maccaferri ISEAP
I was born in a village in Kerala which was surrounded by a river and every monsoon the roads would become flooded. Better bridges began to be built from the 1970s, connecting us to the outside world. My encounter with the subject
Dola Roychowdhury - Founding Director, G-Cube Consulting Engineers
The Construction Industry is one of the most male-dominated amongst all the STEM fields, though women have contributed significantly to it by continuing to crash barriers, break ceilings, and sometimes shifting their goal
Rubee Kongbrailatpam - Superintending Engineer, PWD, Manipur
After completing my B.Tech, I joined as a lecturer in an Engineering College, but after a year into it, I joined the State Engineering Services as an Assistant Engineer. After subsequent promotions, I’m currently serving as a Superintending
Sujatha Manoj - Technical Director & Geotechnical Services Leader, Australia, Beca
After graduating as a Civil Engineer from TKM Engineering College, my first challenge was to find a good job. In a city like Mumbai this was tough especially considering the fact that I had no previous work experience and had no one
Annapoorni Iyer - Chartered Engineer, Founder of Engosym Consultants for Infrastructure development projects
I have done my B.E.(Civil) from DMCOE (2001 batch) and MBA (Infra and Contracts) from MIT, Pune. DMCOE gave me a clear vision about my career choice and I began to study each subject of civil engineering in depth. I found that my
Dr Barnali Ghosh - FICE, Mott MacDonald, London, UK
I was first introduced to Geotechnical Engineering during my undergraduate days. What fascinated me most about this field of engineering was that soil was so unpredictable! Unlike concrete, you could not assign a set strength to it, and
Dr. Yogini Deshpande - Renuka Consultants
I hold a PhD in Civil Engineering from Purdue University, USA (2006), a Bachelor’s Degree in Civil Engineering, and a Master’s in Geotechnical Engineering from Mumbai University. Prior to pursuing a PhD, I worked as a Senior
Dr. Ambika Behl - Senior Principal Scientist at CSIR-CRRI, New Delhi
My journey in the construction sector started in 2005 as a technical executive in a private construction chemical company and then as a scientist in the Central Road Research Institute in the year 2007. It has been an experiential journey
Dr. Naveet Kaur - Senior Scientist, Indian Structural Health Monitoring Society (ISHMS)
I completed B.Tech. in Civil Engineering from Thapar University, Punjab in 2007 and M.Tech. in Structural Engineering from IIT Delhi in 2011, where I topped the 2011 batch and was awarded the NBCC Award of Excellence. I later completed
Atasi Das - GR Infraprojects Limited
After completing my post-graduate studies in the US, I went on to have a successful career in the country, where my child was born as well. I resumed my duties at the private consultancy in the US within 6 weeks leaving my child under
Dr. Madhavi Latha Gali - Geotechnical Engineer, Indian Institute of Science, Bangalore
My major interest lies in developing resilient geotechnical systems through various innovative reinforcing techniques. I did my Ph.D. at IIT Madras and joined IISc after working for a year at IIT Guwahati. My 20-year tenure at IISc
Natalia Rucinska - Environmental Director, Menard Group
At the age of 24, as a young graduate with the title of MSc in Geotechnical Engineering, I dreamt big. I wanted to see what the world had to offer, and I was open to exploring the adventures that came my way. I had the itch to live a full
Ishita Manjrekar - Director, Sunanda Global and Board of American Concrete Institute
I am a Chemical Engineer with a bachelor’s degree from Institute of Chemical Technology, Mumbai (erstwhile UDCT) and I hold a post-graduate degree from RPI, New York. My professional career began in the USA where I worked as Vertical
Sangeen Desai - Keller Ground Engineering India
My initial years of learning were very crucial, and though challenging, they provided me with opportunities to learn and develop new skills. With strong determination and a positive attitude, I learned to work through all the challenges
Saranya Subramanian - Merlin Automation Solutions
Hailing from a humble village background, I pursued my B.E. in Mechanical Engineering at Trichy, Tamil Nadu. Driven by my career aspirations, I enrolled in an Advanced Manufacturing course at PSG College. This course, conducted on