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Cost Benefit Analysis (CBA)


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The aim of the SUMP Glossary is to provide a brief explanation of specialist words, terms and abbreviations relating to the subject of sustainable urban mobility planning. The Glossary has been prepared by the CH4LLENGE project and as a result, there is a particular focus on defining terms relating to the four key challenges of plan development studied by the project, namely: participation, cooperation, measure selection and monitoring & evaluation. It is envisaged that, over time, the international community of mobility practitioners will add to the content of the online Glossary and produce versions in different languages.
A simple structure has been followed so that users can search for words, terms and abbreviations in a standard alphabetic format. For each Glossary term, the following information is provided:
• a general definition and, where available, a specific definition relating to transport and mobility planning;
• an explanation of why the term is relevant to sustainable urban mobility planning; and
• references to sources.
The preparation of the Glossary, including the selection of terms and drafting of definitions, has been informed by a review of relevant reports, guidance documents and existing glossaries. The key reference is the European Union “Guidelines - Developing and implementing a Sustainable Urban Mobility Plan” prepared for the EC’s Intelligent Energy Europe (IEE) programme by Rupprecht Consult (January 2014) and therefore this has not been identified as a source throughout the document. The outputs of the CH4LLENGE project have also provided a principal source of information and the official documents can be found at www.sump-challenges.eu.

Please note that not all the explanatory text is taken directly from the listed sources. The authors have sought to take established definitions and information as the basis and explain these in simple terms and relate them to the context of sustainable urban mobility planning where this was not previously the case.

Par Admin Eltis / Mis à jour: 28 May 2019

Definition – A Cost Benefit Analysis (CBA) expresses a project’s or measureinfo-icon’s direct and indirect costs and benefits, allowing the benefits and economic viability to be assessed and expressed in monetary terms. It is undertaken by weighing the predicted monetised costs and benefits of the strategyinfo-icon, policyinfo-icon or measure for a set time scale. Cost benefit analysis can include the consideration of both internal and external costs and benefits. One of the main advantages of a CBA is the relative ease of communicating its results through one or more indicators. CBAs are most frequently applied to large-scale infrastructure projects. For non-infrastructure measuresinfo-icon, most cities lack a standardised assessmentinfo-icon approach.

Relevance to SUMP – The selection of measures should be guided by value for money as well as by the effectiveness of the measures. It is recommended that proposed measures are appraised with an eye to realistic and timely implementation, and that all costs and benefits are taken into account, not just those that can be easily measured or valued (see internal and external costs). In some instances, a full cost benefit analysis may be too costly and simpler approaches should be used especially for smaller measures.

Source: ITS Leeds KonSULT; Hüging et al., 2014

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