External effects in economic evaluation of projects
The paper presents the impact of road and traffic on the environment in the economic evaluation of road projects (during the preparation of Prefeasibility study in the Preliminary Design and Feasibility Study in the Conceptual Design). The role of environment has been most frequently omitted in the economic evaluation so far. However, the new EU guide to the CBA and evaluation of infrastructure projects states that the analysis of these costs and benefits should be an integral part of a study. The mentioned impact of road and traffic on the environment in the economic evaluation can be one-sided (regarding only the component of COST) or double-sided (at the same time considering both the component COST and the component BENEFIT). The inclusion of these effects with the two stated aspects will be analyzed through a review of the conducted studies for large infrastructure facilities in Serbia and Republika Srpska. Following the analysis of the existing practices in the preparation of Feasibility Study in Serbia, the paper will provide recommendations and conclusions.
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