In a viable Open and Distance Learning (ODL) system, providing immediate access to learning resources and fostering effective teacher-learner interactions are essential components while balancing the cost of the course without compromising quality. Owing to the advancement of ICT across the globe, Open University of Sri Lanka (OUSL) has initiated integrating online components into its existing print-based courses and started to deliver as blended courses. // For this empirical study, costing was carried out based on the existing frameworks under four major cost categories; costs of overhead and infrastructure, costs of course material development, costs of course materials production and costs of course delivery. // Paper ID: 435