Public Accounts Committee examines cost hike in Bharatmala Programme

New Delhi: In a recent session, the Public Accounts Committee (PAC) of the Indian Parliament on Tuesday delved into the Comptroller and Auditor General’s (CAG) findings regarding the cost escalation in Phase-1 of the Bharatmala Programme. The programme, aimed at constructing national highways across the country, came under scrutiny during a meeting chaired by Adhir Ranjan Chowdhury, a Lok Sabha member from the Congress Party and Leader of Opposition in the Lower House.

The meeting witnessed a sharp attack by opposition members directed at the ruling NDA government over the reported cost overruns in the project. Sources familiar with the proceedings reported that the deputy CAG presented key findings, emphasising the necessity for the concerned ministry to submit a draft Action Taken Note (ATN) to the CAG for vetting within 30 days. Subsequently, CAG is allowed 30 days to review the response and seek further clarification and information from the ministry.

The PAC members were informed that the audit examined a sample of 66 projects spanning 3,546 kilometres out of a total of 291 projects encompassing 11,084 kilometres awarded under Phase-1 of the Bharatmala project. As of March 31 this year, 787 projects covering 26,316 kilometres have been awarded. However, opposition members contested the government’s stance, asserting that the Cabinet Committee on Economic Affairs (CCEA) approved the project on October 24, 2017, with a plan to develop a national highway network of 34,800 kilometres at an investment outlay of Rs 5,35,000 crore, slated for completion by September 2022. They claimed that an astounding Rs 8,46,588 crore has already been allocated, surpassing the initial budget.

Highlighting further disparities, the opposition members noted that as of March this year, 75.62 per cent of the approved length (26,316 kilometres) has been awarded, while only 38.79 per cent has been completed.

Additionally, the CAG report pointed out a substantial improvement in the pace of construction, increasing from 1.04 kilometres per day to 12.37 kilometres per day between 2018-19 and 2022-23 under the Bharatmala project.

The opposition also voiced concerns over a 2.4-fold increase in land acquisition costs and a 1.2-fold rise in civil construction costs compared to what was initially proposed to the CCEA. Both the CAG report and opposition members of the PAC underlined that some implementing agencies awarded projects without ensuring the availability of requisite land, resulting in delayed construction or completion. Environmental clearance was lacking in certain cases, including Bangalore-Nidagatta, Ghoshpukur-Salsalabari, Medhsi-Washim, Kohima-Jessami, and Kallagam-Meensurutti, as was forest clearance.

In addition to scrutinizing the Bharatmala program, the PAC also reviewed the welfare schemes of the incumbent Modi government, focusing on their implementation at the grassroots level. Discussions also encompassed the banking system, insurance policies, and energy reforms.

The PAC, a committee comprising elected members of parliament, is entrusted with the task of auditing the revenue and expenditure of the Government of India. It plays a pivotal role in ensuring transparency and accountability in government programmes and spending.

The examination of the Bharatmala programme’s cost hike and implementation issues by the PAC reflects its commitment to upholding financial prudence and efficiency in government initiatives, with the aim of benefiting the citizens of India.