Upgrading a Gravel Road - Case Study Assessment Answer

Upgrading a Gravel Road - Case Study Assessment Answer

Task:

This case study presents the economic analysis of a project to upgrade an existing gravel road to a paved standard. The existing road is 50 km long and passes through varying topography. For this analysis the road has been split into three sections based on geometry, pavement condition and traffic volume. Traffic and condition data are available from surveys undertaken in 2005.

The purpose of the analysis is to assess the economic benefits resulting from the proposed investment. (This differs from a financial appraisal that is concerned with the means of financing a project and the financial profitability of the project). The economic feasibility of the project is assessed by comparison against a base-line project alternative (maintaining the existing gravel road). The timing of the upgrading is examined in the case study, as this is considered vital to its feasibility.

This case study is presented as an Analysis by Project example. The analysis period is defined by the start year 2006 and a duration of 20 years (i.e. 2006 – 2025). The sections to be analysed are in the Road Network entitled Rural Roads, to which the Northern Province Vehicles have been previously assigned as the vehicle fleet. The currency being used in this analysis is US dollars.

By double-clicking on the section gives access to the section details. However, the Traffic Growth details can only be seen and edited through the Vehicle Fleets folder. To access the Traffic Growth Sets that have been previously created, the user needs to open the appropriate vehicle fleet (in this case Northern Province Vehicles) in the Vehicle Fleet folder and click on the Edit Traffic Growth Sets button which then displays all the previously created sets. Double-clicking on the appropriate set (in this case Project 1) displays the details of the traffic changes over the analysis period.

Each road section is considered homogeneous in terms of its physical attributes (e.g. road class, climate, carriageway width, geometry, pavement condition, traffic flow, and axle loading). Note that no shoulders are specified, and the full width of gravel surfacing is assigned as carriageway width, since in practice shoulders on a gravel road are maintained as part of the carriageway. The selected road deterioration model calibration information is also identified on this screen, including the selection of material properties.

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