Report No. 48 of 2015 - Performance Audit on Status of Ongoing Projects Union Government, Railways

Date on which Report Tabled:
Fri 18 Dec, 2015
Date of sending the report to Government
Government Type
Union Department


Review of Status of Ongoing Projects - New Lines, Doublings and Gauge Conversions

Indian Railways (IR) runs about 21598 trains (passenger and goods) daily throughout its network of 65808 track kilometer. In order to increase the linecapacity and to bring the unconnected backward areas within the railways network, it undertakes projects of expansion by constructing New Lines, Doublings and Gauge Conversions. Over the years, total planned expenditure of the IR has increased disproportionately to its internal resources resulting in increased dependence on Gross Budgetary Support. During 2009-14, though IR added 10240 Km. to its network, 442 projects were ongoing as of March 2014 which would require Rs.185569 crore for completion.

This report focuses on the performance of IRs in planning and in addition, attempts to assess the efficiency in financial management and execution of projects. The major Audit findings are mentioned below:

  • Out of 442 ongoing projects, target for completion of projects was fixed for only 156 (35 per cent) projects. Even after fixation of targets, there was time overrun up to 16 years. Delay in completion of projects resulted in cost overrun of Rs. 1.07 lakh crore and throw-forward1 of Rs. 1.86 lakh crore in respect of 442 ongoing projects. Audit observed that 75 projects were ongoing for more than 15 years and of them, three projects were 30 years old. Para 1.6.2 and 1.6.4
  • Out of 442 ongoing projects, rate of return in respect of 236 projects was less than the prescribed benchmark of 14 per cent and 126 of them had negative rate of return. Out of 28 High Priority projects test checked, the physical progress of 7 projects was less than or up to 10 per cent and in respect of three High Priority projects, there was no physical progress. Para 1.6.6 and
  • While the allotment of funds was not proportionate to the requirement, there were several instances of under-utilisation of funds which had adverse impact on the physical progress of projects. Para and

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