Cost Overrun Determinants in Public Sector Construction Projects: A Study of Kaduna State Government Projects

Abstract

Cost overrun is a persistent challenge in public sector construction projects worldwide, with particular severity in sub-Saharan Africa where governance and financial systems face unique pressures. This paper identifies and ranks the determinants of cost overrun in public sector construction projects in Kaduna State, Nigeria. Data were collected via structured questionnaires administered to 95 respondents comprising contractors, quantity surveyors, and government project officers. The Severity Index (SI) was used for data analysis. The five most critical determinants were: scope changes during construction, inaccurate initial cost estimates, delayed client payments, inflation and material price fluctuations, and inadequate project supervision. The paper recommends improved cost planning tools, robust contract administration, and the adoption of fixed-price contracts with contingency provisions for government projects.