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Downtime (DT) caused by non‐availability of equipment and equipment breakdown has non‐trivial impact on the performance of construction projects. Earlier research has often addressed this fact, but it has rarely explained the causes and consequences of DT – especially in the context of developing countries. This paper presents a DT model to address this issue. Using this model, the generic factors and processes related to DT are identified, and the impact of DT is quantified. By applying the model framework to nine road projects in Nepal, the impact of DT is explored in terms of its duration and cost. The research findings highlight how various factors and processes interact with each other to create DT, and mitigate or exacerbate its impact on project performance. It is suggested that construction companies need to adopt proactive equipment management and maintenance programs to minimize the impact of DT.
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