Cost Hikes in India's Central Vista Project Unveiled

The Central Vista project in India saw cost escalations due to increased steel and cement prices, higher labor wages, and GST rate hikes. The Union Minister addressed these issues in response to questions about the project's status, projecting future completion dates for ongoing constructions.

India's ambitious Central Vista project has encountered cost escalations driven by surging prices for key construction materials and rising labor costs, as the Lok Sabha was informed on Thursday. The spike in expenditures comes amid GST hikes, significantly impacting the new Parliament building and VP Enclave developments.

Union Minister of State for Housing and Urban Affairs, Tokhan Sahu, revealed in a written statement that the redevelopment of Central Vista Avenue and the construction of the new Parliament building are completed, while three buildings under the Common Central Secretariat (CSS) are on track to be finished by May. These structures replace the previous Indira Gandhi National Centre for the Arts site.

Additionally, the plans for the Common Central Secretariat anticipate 10 office buildings and a Central Conference Centre. With security adjustments and structural redesigns for earthquake zone compliance, further cost overruns are foreseeable. Despite financial challenges, the new Parliament was inaugurated in May 2023, marking another milestone in the long-term project plan.

(With inputs from agencies.)