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Planning of National Transport Infrastructure

In the Islamic Countries

35

Identify and involve stakeholders. Identify needs, issues, problems and opportunities.

Plan for the acquisition of services and resources.

Identify current and desired future state

Consent to the desired future trends.

Requires being informed, having data (see sectio

n 2.7 o

n data collection).

Policy context and policy objectives

See section 2.2 on political factors.

Project formulation and appraisal

On the basis of the problem analysis combined with the policy context, a

proposed solution

and

a set of alternatives will be developed. This set will be reviewed, amended and improved.

Technical solutions will require a package of actions that best supports implementation. The

next step is to compare the proposed solution with alternatives, in order to optimise.

In order to develop the

preferred plan

, the investment options need to be prioritised by

maximising synergies. In this phase it is important to assess feasibility and affordability and to

assess delivery responsibilities and financial impacts.

Criteria are financial

feasibility

, economic sustainability and social and regional

inclusion

and

access. The proposed solution and the alternatives will enter a “beauty contest”. Depending on

the need for finance and the size of the project, this contest will be regional, national or

international. Competition for finance (via overarching project appraisal frameworks) is

dominant in NTI planning.

Project appraisal

takes place in one or in two phases of NTI planning. NTIs developed at a high

abstraction level often require high-level project appraisal. Individual projects require detailed

feasibility analysis before final approval and implementation (Romania, 2014).

Many countries have developed

comprehensive guidelines

of project assessment that describe

the major part of the decision process (see also section

2.5.2)

. They include design, including

financial and economic optimisation (benchmarking with project alternatives). They allow for

additional finance (to public means of finance) and lay the foundations for a KPI structure to be

used during ex-post evaluation. These approaches have been developed and used during the

reconstruction efforts that followed the Second World War. The methods are also used to

allocate international donor funding and project monitoring.

In many countries the procedure and or the method of

appraisal has a legal basis

. In many

countries approved plans will enter the national transport infrastructure program or national

transport master plan. Often this equals the reservation of or a claim on the financial budget.

There are

three groups of methods of project appraisal

: Cost Benefit Assessment (CBA), Multi

Criteria Analysis (MCA) and Economic Impact Assessment (EIA). CBA is a more technocratic

instrument, in which researchers play a larger role, while MCA leaves more space for political

preferences. EIA is simpler than CBA, makes use of primary data and can be done with an

existing Input-Output model. CBA requires a sophisticated set of information and project

definitions. MCA is a technique that does not require monetisation of the effects, in contrast to