Program

DAY 1: Monday 27 October 2008

start 8:30

Session 1. Strategic framework

Context for economic evaluation with reference to the Australian Transport Council’s National Guidelines for Transport Systems Management; eight phases of initiative development & implementation, & three appraisal stages (Charles)

Session 2. Transport planning as an input to appraisal

Introduction to transport planning; analyzing & forecasting travel demand – from simple to complex me-thods; fixed and variable travel demand; generalized cost of travel; taking account of traffic congestion; using the results of travel demand models; logic checks for model output (Sayeg)

Session 3. Evaluation framework

Elements of an economic evaluation; differences between economic, financial & financing analyses; the Base Case & the Project Case; evaluation period; detailed consideration of costs that need to be considered; introduction to benefits; discounted cash flow analysis; appraisal indicators (Bray)

lunch 12:00 - 1:00

Session 4. Putting it together

Combining costs and benefits; calculate net present value, benefit-cost ratio and internal rate of return; discussion (Bray)

Session 5. Estimating and valuing benefits

Understanding different types of cost; the importance of travel demand; the effect of travel conditions and costs on travel demand; potential benefits from transport initiatives; the benefits that result from a shift from car to public transport; estimating the size and value of benefits; unit costs of resource changes; cost of various environmental impacts; taking account of energy costs; broader economic benefits; estimating annual benefits; and changes in benefits over time. (Bray)

close 5:00

DAY 2: Tuesday 28 October 2008

start 8:30: brief summary of Day One

Session 6. Sensitivity testing

  • Optimism bias
  • Three forms of sensitivity analysis
  • Probability based sensitivity testings (Bray)

Session 7. Interpreting the content and results of appraisals

Group session to:

  • Examine, interpret and discuss appraisals of road and public transport projects;
  • Consider the magnitude of environmental and other benefits;
  • How is it possible to get two different benefit-cost ratios for the same evaluation (Bray)

Session 8. Other approaches

  • Multi-criteria analysis, including analysis techniques, practice and limitations; ATC Guidelines (Adjusted BCA, Objective Impact Table and Appraisal Summary Table)
  • Least cost and cost effectiveness
  • Impact mapping (Sayeg / Bray)

Session 9. Group discussion

  • Discuss how to apply the principles to evaluate other projects that are currently being proposed
  • Review findings & link to policy
  • Discuss issues eg data quality
  • Lessons learnt from course (Bray / Sayeg)

close 12:30

Sessions include relevant theory and hands on application to real world project case studies.