Goa's Health Infrastructure Project Suffers Major Setbacks Due to Consultant Mismanagement
A recent audit by the Comptroller and Auditor General has uncovered serious lapses in a key health infrastructure project in Goa. The Cacora Community Health Centre project faced massive delays and cost overruns because of improper consultant selection and poor planning.
Basic Due Diligence Ignored in Consultant Appointment
The Goa State Infrastructure Development Corporation failed to conduct essential checks while hiring a consultant for the health centre project. This oversight resulted in inaccurate cost estimates that plagued the project from its beginning.
Instead of performing their own site assessment, GSIDC officials relied completely on consultant recommendations. They appointed a consultant who lacked proper qualifications for a project of this scale and complexity.
Project Scope Changes and Cost Escalation
The project began in August 2012 with a simple request from the health services directorate. Officials wanted to construct or upgrade the existing community health centre at Cacora.
GSIDC hired a consultant in March 2013 without first examining the site conditions. Only five months later, in August 2013, did the consultant finally visit the location. This delayed inspection revealed that the project needed far more work than initially anticipated.
The scope expanded dramatically from basic repairs to constructing an entirely new hospital facility with residential quarters. This change caused the estimated cost to jump from 8 crore rupees to 29.7 crore rupees.
Multiple Failures in Project Execution
The CAG report highlights several critical failures in how GSIDC managed the project:
- GSIDC appointed a 'D' class consultant for a project that eventually cost 41.1 crore rupees, though this consultant category only qualifies for projects under 10 crore rupees
- The corporation failed to provide a clear, obstacle-free work site to the contractor
- GSIDC's own Technical Advisory Committee found the consultant's project estimates contained numerous inaccuracies and omissions
- The committee recommended imposing penalties equal to 50% of the consultancy fee for these estimation errors
Extended Delays and Additional Costs
Work on the health centre finally began in September 2014 with a contract value of 35.7 crore rupees. The original completion date was set for May 2016.
However, the project dragged on for four additional years, finally concluding in May 2020. This extended timeline triggered contractual provisions that required additional payments to the consultant.
GSIDC disbursed an extra 44.4 lakh rupees to cover the consultant's services during the prolonged 45-month extension period. Audit officials noted this expenditure could have been avoided with better initial planning and proper consultant selection.
Defense and Rejection of Justifications
GSIDC's managing director attempted to defend the decision to retain the underqualified consultant. He argued that terminating the consultant mid-project would have caused further delays.
The CAG firmly rejected this justification, pointing out that a four-year delay had already occurred. Auditors emphasized that GSIDC had a fundamental responsibility to appoint properly qualified consultants who could deliver projects efficiently and economically.
The audit report concludes that this case reveals a troubling pattern of liberal consultancy appointments in government-backed infrastructure projects across Goa. The failures in the Cacora health centre project have cost taxpayers significant additional funds while delaying important healthcare infrastructure.
