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9.4.2 EALIs as the Rationale for a Transport Project

Publication Date: 
27 May 2008
 

In developing the case for a transport project, it is necessary to consider the extent to which that case rests on economic development or regeneration impacts, rather than on direct transport impacts. For example, where a project is proposed because it will effectively address problems of congestion without expectations of other collateral economic activity impacts (such as attracting local employment by opening up land for industrial and commercial development), then the option appraisal would be conducted against transport objectives.

However, where tackling congestion is seen as essential to the attraction of further economic development, for example in areas experiencing rapid economic growth, then the objectives of that option are in reality economic development rather than transport - transport is a means to economic ends in such a case.

Where the objectives of an option are solely or substantially concerned with economic development or regeneration, the reasons for preferring a transport option rather than other economic development measures needs to be clearly articulated. In keeping with guidance on

setting objectives and sifting options, it will be necessary to demonstrate that other economic development measures, as well as transport measures, have been properly considered. This should include consideration of potential synergies between the various measures being appraised.

Where there is a development or regeneration agenda for a particular area, it is likely that in most instances the transport investment will be only one component of a strategy.  In this case alternative transport inputs should be tested against total (economic development/regeneration) outcomes.

It is important to make the distinction between projects which facilitate regeneration through transport outcomes and projects that facilitate regeneration as a secondary impact. By way of example, it is quite possible that a new rail link may encourage regeneration  from a transport perspective. On the other hand, the upgrading of a transport facility which includes the addition of office or retail space is defined as contributing to regeneration via secondary impacts (although there may be direct transport impacts as well).

It is accepted that these secondary impacts may well be considered important. However, as the STAG Appraisal is concerned primarily with the transport impacts of options, these secondary impacts must be considered separately from the direct transport impacts and should not be presented together with the transport related impacts.

In all cases, but especially where EALIs are central to the case for the option, it is necessary to be able to demonstrate how the economic development or regeneration outcomes can be attributed to the transport option. This should include a discussion of the reasons why the market will not address the economic development or regeneration objectives.
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