15 of the world's biggest cost overrun projects

[Liaqat Hussain]

15 of the world's biggest cost overrun projects

Bent Flyvbjerg, professor of major programme management at the university of Oxford's Said Business School, says overruns in the order of 50 per cent in real terms are common for major infrastructure projects. He says this is because it is not uncommon for demand and benefit forecasts to be wrong by 20-70 per cent compared with actual development. Public passenger rail and urban projects tent to have especially big overruns.

Here is the list,

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Canadian Firearms registry, initial cost forecast: CAN$ 2m cost, final cost: CAN$ 946m
36,917% cost overrun

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Visegrad Hydroelectric Project, Yugoslavia, 5,142% cost overrun.

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Sydney Opera House, 1,400% cost overrun.

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M50 South East Motorway (Ireland), 556% cost overrun.

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Copenhagen metro, stage 2A+B, Norreport-Vanlose( Denmark), 386% cost overrun.

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Verrazano-narrows bridge (USA), 384% cost overrun.

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N2O Patrickswell Cork (Ireland), 370% cost overrun.

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Gezhouba Dam Project (China), 337% cost overrun.

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Guangzhou City Transport Project (China), 335% cost overrun.

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US 101 Helicopter (USA), 330% cost overrun.

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Boston Big Dig (USA), 324% cost overrun.

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Cuernavaca-Acapulco Toll Road (Mexico), 300% cost overrun.​

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Humber Bridge (UK), 276% cost overrun.

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Dublin Port Tunnel (Ireland), 261% cost overrun.

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Nanchang jiujiang Highway (China), 255% cost overrun.

Source:
Centre for Major Programme Management, University of Oxford's Said Business School; Mckinsey and the London School of Economics.
CImA's Financial Management Magazine, February 2013 publication

 

[AsifAmeer]

Imagine having this sort of cost overruns while running a private company...

 

[shani572]

It seems, Nandipur power project will make its place into the list in the next issue of this Magazine ;)

 

[Believer12]

you mean two to three hudred percent extra money use to build the same project.:13:

 

[QADIANITRUTH]

Imagine having this sort of cost overruns while running a private company...

You and your 7 generations are FIRED..

 

[Malik Azam]

justification for PML(N) to pay 57 billion for Nandi Poor project which cost was 22 billion, initially.(bigsmile)

Mian mansha zinda bad.

Arif habib Zinda Bad.

sher aaya sher aaya.

 

[Quicqsolution]

I found this one from Pakistan.

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[AsifAmeer]

Wouldnt that be nice... Instead we have the likes of Krugman who suggest more cost overrunning to "stimulate" the economy.

You and your 7 generations are FIRED..

 

[ussmman]

very informative post. great learning was available in your post. now one can learn how the projects can fail and how to handle them. now main point i am working on corporate and social ethics and here i got an example. as i went through your post i was very shocked because just one day before same article i had written and published in my blog, what a coincident. how hard it was to mention my name also in the sources, just ethics have died in our society and we want pious and truthful leader. pasting Muhammad Ali jinnah's foto as DP and stealing. shameful. :angry_smile:
origonal artile link http://123usman123.blogspot.com/

 

[ussmman]

please also mention from were this article is taken.
original article link
http://123usman123.blogspot.com/