Factors Leading to Cost Overrun and Time Overrun in Pune Metro Project: Fid-Bau Portal

Factors Leading to Cost Overrun and Time Overrun in Pune Metro Project

Mahind, V. D. / Dawari, B. M.

The success of any infrastructure construction project rely on cost and time aspect of project. Execution of infrastructure project within given timeline and budget is really challenging. It is of essential to study the issues that can arise while project is ongoing. Metro construction sector is currently the one with utmost investment. Pune Metro construction project is such a project that aims to provide a rapid transit system for the growing population of Pune city in India. However, like many other construction projects, it has been plagued by cost and time overruns. In this paper, we have studied factors related Metro construction which lead to cost and time overrun through literature and then validated with the pilot study. Responses of various stakeholders working on project were recorded on the Likert’s scale for each factor considering their overall impact on cost and time aspect of project. Factors are then ranked with relative importance index method for each aspect and the reliability of responses is checked through Cronbach’s alpha test. Through this research, primary causes which affected cost of project most are found as material cost, land acquisition and price escalation while Covid-19 pandemic, land acquisition affected the time schedule of project most. This paper discusses methodology opted by Pune Metro to tackle these risks and recommendations about measures to be taken for avoiding these overruns which were found out through personal interactions with stakeholders and site visits. This study can turn out to be guide for future Metro construction projects, both in India and globally, and help to lower down likelihood of cost and time overruns risk in these complex and important infrastructure projects.