Sectoral linkage in urban infrastructure development and serv ice provi sion plays an impottantrnrole in determining the urban economic and physical development and has indispensible role inrnthe livelihood of urban dwellers, efficiency and effectiveness of serv ice providers andrndevelopment of the nation at large. However, Ethiopian cities/town administrations and policyrnmakers pay meager attention to the issue in their strategy and urban development policy pattlyrndue to the lack of sufficient research works that clearly show the importance of coordination inrnurban infrastructure development works and the possible effects of uncoordinated activities tornthe'respective institutions, urban dwellers and the country at large.rnThis research work looked in to the process of urban infrastructure development works tornidentify the dimensions and root causes for the absence of inter secto ral integration betweenrnurban serv ice providers and in vest igate the possible economic, social, and environmental effectsrnof the problem with a particular emphasis on se lected light rai I and road development projects inrnAddis Ababa.rnTo achieve the above objective, the study used both qualitative and quantitative methodologyrnand relevant data for the study were gathered from primary as well as secondary sources throughrnquestionnaires, interviews, field observation and document reviews. The collected is analyzedrnusing exploratory, descriptive as well as narrative methodological approach.rnThe research found out that the institutional and administrative structure and institutions level ofrnaccountability coupled with the various sources of budget as factors contributing to the poor interrnsectoral integration. Besides, lack of communication during design preparations and commonrnstandards and guidelines to all service providers is also identified as one of the root causes.rnIt was also realized that, the reactive nature of the legal procedures and lack of clearly statedrnrules and regulations which suggest coordination among service providers along with weakrnenforcement has greatly contributed to the problem under review.rnMoreover, findings also confirmed that there is st ill loose communication during implementationrndue to poor utility database, lack of institutions capacity, interest and commitment, absence ofrnresponsible body to do the job and lack of long term plan.rnThe study has also identified the major economic, social and environmental effects of poorrnsectoral coordination on local residents, serv ice providers and the nation at large. The economicrneffects on service providers are characterized by property damages, high cost of compensation,rncost of carrying out repairs and relocation s, cost for any temporary serv ice arrangementsrnnecessary, and the possible loss of "product" and revenue reduction during serv ice interruptions.rnThe identified effects on utility customers include, frequent service interruption s, business mayrnbe stopped and data lost, and for industrial properties production may be halted and machineryrndamaged, low productivity, decrease in number of customers, low profit etc. among the socialrneffects of the problem, lost time, business opportunities and additional fuel consumption,rnspoil ing of food because of refrigeration failure, injuries and traffic accidents, traffic congestion,rnsafety hazards and lack of transportation access were identified by the study. As per thernenvironmental effects of the problem, contamination of water supply, sewage backing up,rnflooding and storm water inundation, noise pollution, air pollution, and dust induced lungrndiseases are identified by the study.