Mounting Costs and Delays Plague Mumbai-Goa Highway Divergence

After 12 years of planning and construction, the Mumbai-Goa highway project is still incomplete, with costs doubling and delays pushing back the deadline. The 440 km highway was initially estimated to cost Rs 35 to 40 billion but has now reached approximately Rs 73 billion. This escalation in costs can be attributed to changes in specifications and additional construction elements such as tunnels, flyovers, subways, service lanes, and concretized four-laning.

Incomplete Four-laning Work and Ongoing Construction

The completion of the 112 km stretch of the Mumbai-Goa highway, which was originally scheduled for December 23, has been postponed to May and may take longer. Both the state Public Works Department (PWD) and the National Highways Authority of India (NHAI) are responsible for the four-laning work. So far, expenses on the NHAI stretch from Panvel to Indapur have exceeded Rs 12 billion, with 28 km of work still pending. The PWD stretch has incurred costs of around Rs 61 billion, and approximately 84 km of widening work is yet to be completed. Despite these delays, NHAI and PWD officials have declined to comment on the matter.

Causal Factors and Impact

The increase in overall costs and timeframe can be attributed to a variety of factors. Changes in specifications, such as opting for concrete lanes instead of the initially planned asphalted lanes, as well as the inclusion of flyovers, viaducts, subways, and service lanes have contributed to the cost escalation. The initial expenses of land compensation have also played a significant role. It is important to note that over 2,500 lives have been lost on the highway since 2010, and the construction delays and rising costs have prompted calls for a white paper to assess the project’s management and oversight.

NHAI’s Involvement and Expenditure

The NHAI is responsible for an 84 km stretch of the Mumbai-Goa highway, with expenditures exceeding Rs 12 billion and some four-laning work still pending. Since 2013, NHAI has also spent approximately Rs 18 billion on new roads and Rs 1.46 billion on repairs. Furthermore, NHAI terminated an agreement with a contractor in 2011 due to defaults. In conclusion, the Mumbai-Goa highway project has faced significant challenges including a cost escalation and delays in completion. With the additional elements and changes in specifications contributing to the increased costs, a closer examination of project management and oversight is necessary. The involvement of both the state PWD and NHAI necessitates enhanced cooperation and transparency to ensure the timely and efficient completion of this important national highway.

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