The importance of rigorous economic evaluation approaches for bus service improvements and small capital investments

摘要

Budgets for evaluating bus service improvements accompanied by minor infrastructurerninvestments in smaller, low density car dominant communities are usually small, whichrnplaces severe constraints on the rigour of these economic analyses. Analysts are often facedrnwith the dilemma of either being unable to quantify potentially significant benefits, or arernpersuaded to apply questionable values to benefits which they know exist, but which cannotrnbe measured properly.rnMost of the recent advances in quantifying economic impacts, particularly wider economicrnbenefits, focus on large rail infrastructure investment projects in high density CBDrnenvironments. There is, however, also a need to apply these approaches in evaluating busrnsystem improvements in low density environments.rnThis paper identifies a few of the significant benefit categories which are often neglected inrneconomic evaluations of smaller projects. To demonstrate how these economic impacts canrnbe measured cost effectively, the paper draws on examples where the discussed approachesrnwere successfully applied. It focuses on the practical application of these approaches, tornconform to economic evaluation theory and prescribed cost‐benefit analysis guidelines.