It’s starting to feel like there isn’t a single big construction project that would not experience spiraling costs or take way longer than it was supposed to. Or both. We have plenty of recent examples right here in Finland. For one, the new Vuosaari harbor has had the cost estimate raised by about 65 million euros, some 20% over the original budget. Then we have the infamous Olkiluoto nuclear plant that was supposed to be delivering electricity in 2009. After numerous delays, it’s now looking more like 2011 and my guess is that it’ll be delayed even more. Plus I’m sure they’ll uncover at least a few hundred million additional costs somewhere, too.

Even smaller construction projects seem to be overwhelmingly difficult to get done properly. Everyone in Helsinki has heard of the tram debacle I’m sure. And the downtown tunnel that is under planning in Helsinki is now estimated to cost about 500 million euros, up from 270 million five years ago. Most people have heard of the years and years of Airbus delays and the billions (and jobs) that it’s costing to the stakeholders.

Of course in the US everything is bigger, including budget miscalculations. One of biggest budget “mishaps” in construction was the Big Dig in Boston; originally estimated to cost around $2.8 billion, the final cost was over $14 billion – and that’s not with the repairs that needed to be made once the ceiling starting falling down on cars.

What is it with construction companies and cost estimates? How is it possible that such absurd overruns are possible?

Yet, all of these are peanuts compared to war costs. In 2003, the US government came up with “a number that’s something under $50 billion” when figuring out the cost of the Iraq war. Already a year ago figures like two trillion were were deemed more accurate.

And is anyone willing to say as much as “oops” for this slightly overdrafted budget? Even I could think of one or two better ways to spend that money.