Pragmatic guidelines for determining road investment priorities in developing countries

SUMMARY

In many developing countries, the determination of a ranking of investments designed to improve and extend the road system is a commonplace prerequisite of planning for the transport sector as a whole and the road sub-sector within it. A major objective of determining investment priorities is to secure the greatest efficiency in the use of resources allocated to the sector and, for this reason, any system of assigning priorities must rely upon conventional investment appraisal techniques producing quantifiable measures of worth. Exercises of this kind, in which road investments are identified and ranked, are usually undertaken to produce a road sector investment plan. The implementation of such plans is, however, often compromised because of perceived deficiencies with a methodology which places undue reliance on investment appraisal and fails to properly address the issue of public interest and sustainability. This paper attempts to produce a pragmatic set of ground rules which, while mindful of the need to promote economic efficiency, allow for other factors to be embraced in a more holistic methodology.

Keywords:

• Investment appraisal
• transport planning
• sustainable transport
• road transport investment
• transport economics
• development planning