07.03.2014 Views

economics of on-farm development - Institute for Social and ...

economics of on-farm development - Institute for Social and ...

economics of on-farm development - Institute for Social and ...

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

such as rise in pnces, inadequate investigati<strong>on</strong> <strong>and</strong> provISIOn, change in the<br />

scope, design <strong>and</strong> additi<strong>on</strong>al requirements <strong>and</strong> high expenditure fo"r rehabilitati<strong>on</strong><br />

measures as instrumental in cost escalati<strong>on</strong>. Since then, the issue has been<br />

addressed in many studies (Chaturvedi, 1976; INCOLD, 1979; Pant 1982; <strong>and</strong><br />

GOI, 1983).<br />

A more recent study by the Nati<strong>on</strong>al Commissi<strong>on</strong> <strong>for</strong> Integrated Water<br />

Resources Development (GOI, 1999) examines the trends in costs <str<strong>on</strong>g>of</str<strong>on</strong>g> nine<br />

projects, which have been started during the first <strong>and</strong> sec<strong>on</strong>d plan periods. The<br />

estimated cost <str<strong>on</strong>g>of</str<strong>on</strong>g> these projects together was Rs. 922.09 crores during the Sixth<br />

Plan, which increased to Rs. 3220.15 crores as per the revised cost estimates as at<br />

the beginning <str<strong>on</strong>g>of</str<strong>on</strong>g> the Ninth Plan. the increase in estimated cost being 346 per<br />

cent. The corresp<strong>on</strong>ding actual expenditure has increased from Rs. 642.11 crores<br />

to Rs. 1901.22 crores. registering an increase <str<strong>on</strong>g>of</str<strong>on</strong>g> 246 per cent (CWC as cited in<br />

GOI, 1999). Subsequently, there was revisi<strong>on</strong> in the outlay from Rs. 210.14<br />

crores <strong>for</strong> all the projects taken together during the Sixth plan to Rs. 257.56<br />

crores (an increase <str<strong>on</strong>g>of</str<strong>on</strong>g> 23 %) as per the Ninth plan estimates.<br />

The cost escalati<strong>on</strong> in most cases is attributed to the delays in the<br />

completi<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g> irrigati<strong>on</strong> projects. In most cases. the delay in completi<strong>on</strong> <str<strong>on</strong>g>of</str<strong>on</strong>g><br />

irrigati<strong>on</strong> projects is caused by change in design <str<strong>on</strong>g>of</str<strong>on</strong>g> the project c<strong>on</strong>sequent <strong>on</strong> the<br />

l<strong>and</strong> use in the comm<strong>and</strong> area 4 . Vaidyanathan (1999) observes that very <str<strong>on</strong>g>of</str<strong>on</strong>g>ten,<br />

~ For a detailed discussi<strong>on</strong> <strong>on</strong> these issues. see CBI? 1997 <strong>and</strong> Vaidyanathan, 1999: 90-<br />

102. The CBI? study observes that "'In many cases, c<strong>on</strong>tour surveys <str<strong>on</strong>g>of</str<strong>on</strong>g> the comm<strong>and</strong><br />

area are not carried out. The extent <str<strong>on</strong>g>of</str<strong>on</strong>g> comm<strong>and</strong> area is not assessed <strong>on</strong> a real istic basis.<br />

The norms <strong>for</strong> the design <str<strong>on</strong>g>of</str<strong>on</strong>g> distributi<strong>on</strong> system are not laid down in the project report.<br />

Surface <strong>and</strong> sub-surface drainage requirement <str<strong>on</strong>g>of</str<strong>on</strong>g> the project are not studied. <strong>and</strong><br />

44

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!