Auckland City Centre Rail Link - Business Case Review - Ministry of ...

Auckland City Centre Rail Link Business Case Review | May 2011
Table 15: Business Case and Review wider economic benefits
Benefit category
Business Case estimate
($ million)
Central government
alternative estimates
(calculated by SDG)
($million)
Imperfect competition
Labour supply
Net value added from CBD
productivity gains
Total wider economic
benefits (beyond the
EEM)
Not estimated in Business
Case
Not estimated in Business
Case
10
19
3,333 148
3,333 177
1.7 Comparison with international projects
Table 16, provided by SDG, provides a comparison of the WEBs from various urban
rail projects as a proportion of conventional transport benefits. Agglomeration
benefits for urban rail ranged from 14 percent to 33 percent of conventional transport
benefits. Total additional WEBs ranged from 16 to 56 percent.
The only projects for which job relocation benefits have been calculated are London‘s
Crossrail and the two Melbourne projects in the table below (* refers).
Crossrail, a £16 billion project was estimated to result in between 26,000 and 30,000
jobs. Labour supply and job relocation was equivalent to 28 percent of conventional
transport benefits. By comparison, the Business Case estimated urban regeneration
benefits at 250 percent of conventional transport benefits. The Review, meanwhile,
has estimated job relocation WEBs as 38 percent of transport benefits, while total
WEBs are 71 percent.
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