FACTORS CAUSING COST OVERRUNS IN CONSTRUCTION PROJECTS

The complexity of a project often causes differences in what has been planned and its implementation in the field, resulting in delays and cost overruns. The successful implementation of a construction project is the target and expectation of the project owner and contractor, who has an effective time with a budget that is according to plan. But, in project implementation, there are often problems with the emergence of cost overruns that can cause losses. The purpose of this study was to analyze the dominant factors causing cost overruns in irrigation projects in Aceh Besar District. This study uses questionnaire data addressed to irrigation contractors, the total population obtained was 46 contractor companies, through the Slovin equation, the research sample obtained was 32 contractors. Data processing uses descriptive statistics. The results showed that the dominant factor causing the cost overrun of irrigation projects was the increase in material prices, with a mean value of 4,531.