DEMAND AND COST-BENEFIT ANALYSIS OF UPGRADING THE LOCAL RAILWAY INTO LRT SYSTEM AND ITS EXTENSION TO THE DOWNTOWN

Abstract

Cost benefit analysis is very important in project evaluation. However, estimating exact benefit of a transport project is difficult, because it is complex to estimate demand and total benefit generated from the project. The context of this study is the proposal upgrading of local railway to LRT system and its extension line to the downtown. In this study, disaggregate mode choice model is used to estimate car and mass transit demand in the case of implementing the proposal. Benefit is calculated by assigning the demand into road and mass transit network of the study area. With the result, cost benefit analysis is carried out and efficiency of this proposal is evaluated.