M25 Managed Motorways J16 - Highways Agency

Summary: Analysis & Evidence Policy Option 1Description: M25 Junctions 16-23 Controlled MotorwayFULL ECONOMIC ASSESSMENTPrice Base PV Base Time PeriodNet Benefit (Present Value (PV)) (£m)Year 2010 Year 2011 Years 30 Low: N/A High: N/A Best Estimate: £122.6mCOSTS (£m)Total Transition(Constant Price) YearsAverage Annual(excl. Transition) (Constant Price)Total Cost(Present Value)Low N/A N/A N/AHigh N/A 1N/A N/ABest Estimate£11.4m£0.9mDescription and scale of key monetised costs by ‘main affected groups’Breakdown of 'Total Cost' in 2010 prices, discounted to 2011 Present Value Year.Govt. (Public Accounts): Installation: £11.0mGovt. (Public Accounts): Enforcement, Operation and Maintenance: £9.4mGovt. (Public Accounts): Renewal: £6.6m£27.0mOther key non-monetised costs by ‘main affected groups’None.BENEFITS (£m)Total Transition(Constant Price) YearsAverage Annual(excl. Transition) (Constant Price)Total Benefit(Present Value)Low N/A N/A N/AHigh N/A 0N/A N/ABest Estimate £0m£8.1m£149.6mDescription and scale of key monetised benefits by ‘main affected groups’Breakdown of 'Total Benefit' in 2010 prices, discounted to 2011 Present Value Year.Road Users (Economy): Improvement in Journey Time Reliability: £74.1m (including incident relateddelay)Road Users (Society): Reduction in Accidents: £75.5mOther key non-monetised benefits by ‘main affected groups’None.Key assumptions/sensitivities/risks Discount rate (%) 3.5/3The vast majority of the estimated benefits are based upon post opening evaluation of the M25controlled motorway scheme currently operating between Junctions 10 and 16. This includes the effectof controlled motorway on both journey time variability and accident rates.BUSINESS ASSESSMENT (Option 1)Direct impact on business (Equivalent Annual) £m: In scope of OIOO? Measure qualifiesCosts: £0m Benefits: £1.8m Net: -£1.8m Yes Zero net cost16