Light rail transit cost performance: Opportunities for future-proofing
© 2017 Elsevier Ltd The cost performance of Light Rail Transit (LRT) systems have been scrutinized by the popular press and public sector infrastructure agencies as they have been prone to incurring cost increases in their capital expenditures (CAPEX). In tackling such increases, emphasis is placed...
| Main Authors: | , , , |
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| Format: | Journal Article |
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Pergamon Press
2017
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| Online Access: | http://purl.org/au-research/grants/arc/DP160102882 http://hdl.handle.net/20.500.11937/58612 |
| _version_ | 1848760303813132288 |
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| author | Love, Peter Ahiaga-Dagbui, D. Welde, M. Odeck, J. |
| author_facet | Love, Peter Ahiaga-Dagbui, D. Welde, M. Odeck, J. |
| author_sort | Love, Peter |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | © 2017 Elsevier Ltd The cost performance of Light Rail Transit (LRT) systems have been scrutinized by the popular press and public sector infrastructure agencies as they have been prone to incurring cost increases in their capital expenditures (CAPEX). In tackling such increases, emphasis is placed on mitigating strategic misrepresentation and optimism bias, which has hindered the public sectors ability to embrace innovation, particularly with regard to the justification and adoption of LRT. More often than not, operational expenditure (OPEX) is neglected, and is not considered a part of the transportation cost performance literature. The aim of this paper is to examine the equivocality that surrounds the determination of cost performance of LRT projects. It is suggested that the public sector should move beyond focusing on strategic misrepresentation and optimism bias, as many governments worldwide now have in place mechanisms to address such issues, and instead focus on future-proofing their assets. It is suggested that the key enablers of future-proofing LRT are (1) private finance; (2) delivery strategy (e.g. design-build-finance-operate); (3) digitization (e.g. building information modelling); and (4) asset management (e.g. smart technologies). If the public sector is to provide an LRT system that is cost effective and able to respond to the demands imposed by climate change, then it needs to be considered from a life-cycle perspective and funding sought from the private sector to ensure its viability. |
| first_indexed | 2025-11-14T10:13:38Z |
| format | Journal Article |
| id | curtin-20.500.11937-58612 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T10:13:38Z |
| publishDate | 2017 |
| publisher | Pergamon Press |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-586122022-10-27T04:51:21Z Light rail transit cost performance: Opportunities for future-proofing Love, Peter Ahiaga-Dagbui, D. Welde, M. Odeck, J. © 2017 Elsevier Ltd The cost performance of Light Rail Transit (LRT) systems have been scrutinized by the popular press and public sector infrastructure agencies as they have been prone to incurring cost increases in their capital expenditures (CAPEX). In tackling such increases, emphasis is placed on mitigating strategic misrepresentation and optimism bias, which has hindered the public sectors ability to embrace innovation, particularly with regard to the justification and adoption of LRT. More often than not, operational expenditure (OPEX) is neglected, and is not considered a part of the transportation cost performance literature. The aim of this paper is to examine the equivocality that surrounds the determination of cost performance of LRT projects. It is suggested that the public sector should move beyond focusing on strategic misrepresentation and optimism bias, as many governments worldwide now have in place mechanisms to address such issues, and instead focus on future-proofing their assets. It is suggested that the key enablers of future-proofing LRT are (1) private finance; (2) delivery strategy (e.g. design-build-finance-operate); (3) digitization (e.g. building information modelling); and (4) asset management (e.g. smart technologies). If the public sector is to provide an LRT system that is cost effective and able to respond to the demands imposed by climate change, then it needs to be considered from a life-cycle perspective and funding sought from the private sector to ensure its viability. 2017 Journal Article http://hdl.handle.net/20.500.11937/58612 10.1016/j.tra.2017.04.002 http://purl.org/au-research/grants/arc/DP160102882 Pergamon Press restricted |
| spellingShingle | Love, Peter Ahiaga-Dagbui, D. Welde, M. Odeck, J. Light rail transit cost performance: Opportunities for future-proofing |
| title | Light rail transit cost performance: Opportunities for future-proofing |
| title_full | Light rail transit cost performance: Opportunities for future-proofing |
| title_fullStr | Light rail transit cost performance: Opportunities for future-proofing |
| title_full_unstemmed | Light rail transit cost performance: Opportunities for future-proofing |
| title_short | Light rail transit cost performance: Opportunities for future-proofing |
| title_sort | light rail transit cost performance: opportunities for future-proofing |
| url | http://purl.org/au-research/grants/arc/DP160102882 http://hdl.handle.net/20.500.11937/58612 |