Infrastructure projects record Rs 2.88 lakh crore cost overrun: MoSPI

New Delhi: Infrastructure projects monitored by the Centre recorded a cumulative cost overrun of Rs 2,88,122 crore in August 2026, with their combined revised cost rising to Rs 33,60,069 crore against an original estimate of Rs 30,71,947 crore.

The monthly government report covered 1,731 ongoing projects worth more than Rs 150 crore each across 17 central ministries and departments. However, it did not specify how many individual projects had exceeded their original budgets.

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Spending reaches Rs 16.33 lakh crore

Cumulative expenditure on the monitored projects stood at Rs 16.33 lakh crore, or 48.59 percent of their revised cost, according to the Ministry of Statistics and Programme Implementation (MoSPI).

A total of 647 projects had achieved more than 80 percent physical progress, while 312 had crossed 80 percent financial completion.

The ministry said projects were spread across early and advanced stages, with a substantial number either newly started or nearing completion. Physical progress exceeded financial progress in the most advanced category, while higher financial progress at early stages reflected upfront expenditure.

The monitored portfolio included 715 mega projects costing Rs 1,000 crore or more each, with a combined original cost of Rs 25.89 lakh crore. Another 1,016 major projects had an aggregate original cost of Rs 4.83 lakh crore.

Road ministry leads by project count

The Ministry of Road Transport and Highways accounted for the largest share, with 982 projects—or around 57 percent of the total—and a revised cost of Rs 9.52 lakh crore.

The Ministry of Railways had 147 projects with a revised cost of Rs 3.14 lakh crore, while the Coal Ministry had 122 projects worth Rs 2.22 lakh crore.

The Ministry of Petroleum and Natural Gas was implementing 117 projects with revised costs of Rs 4.42 lakh crore. The Power Ministry’s 102 projects had a combined revised cost of Rs 6.18 lakh crore.

Housing and Urban Affairs accounted for 49 projects worth Rs 3.41 lakh crore, while the Department of Water Resources, River Development and Ganga Rejuvenation had 38 projects worth Rs 2 lakh crore.

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Transport, energy dominate investment

Transport and logistics accounted for 1,191 projects, representing 69 percent of the monitored portfolio. Their revised cost of Rs 16.05 lakh crore made up around 48 percent of the total.

The energy sector followed with 223 projects and a revised cost of Rs 10.95 lakh crore, covering oil and gas infrastructure, electricity generation, transmission, distribution and storage.

Water and sanitation accounted for 53 projects worth Rs 2.04 lakh crore, while communication infrastructure comprised 31 projects worth Rs 1.34 lakh crore.

Another 81 social and commercial infrastructure projects had a revised cost of Rs 0.97 lakh crore. The remaining 152 projects, classified under other sectors including coal, steel, metals and mining, accounted for Rs 2.26 lakh crore.

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