Abstract

This paper provides an overview of the major current debates on infrastructure policy. It reviews the evidence on the macroeconomic significance of the sector in terms of growth and poverty alleviation. It also discusses the major institutional debates, including the relative comparative advantage of the public and the private sector in the various stages of infrastructure service delivery as well as the main options for changes in the role of government (i.e. regulation and decentralization). Document type: Book

Abstract

This survey reviews the current state of the economic literature, assessing the impact of transport policies on growth, inclusion, and sustainability in a developing country context. The findings are summarized and methodologies are critically assessed, especially those dealing with endogeneity issues in empirical studies. The specific implementation challenges of transport policies in developing countries are discussed. Document type: Book

Abstract

To increase investment in infrastructure, in the early 1990s Chiles government introduced private capital into the transport infrastructure sector, covering roads and highways, bridges, tunnels, and airports. The chosen mechanism: a concession scheme through which private firms would finance and build a given project and then operate the infrastructure for a set of number of years, recovering their investment by collecting tolls from users. Among the lessons learned from the experience: 1) As much as possible, avoid concessioning roads for which there are convenient alternative freeways nearby. 2) Choose the right variable for awarding a concession. Avoid mechanisms that (by promoting large payments to the state or short-term concession periods) encourage high tolls, and if you choose to award a concession to the firm charging the lowest tolls, place a floor and ceiling on possible bids. The floor is to guarantee the concessions financial viability; the ceiling is to prevent inefficient traffic diversions. Ties at either end should be resolved by a second variable, such as the level of transfers between the state and the firm. 3) Allow downward toll flexibility so that the concessionaire can react to unexpectedly low traffic flows, especially for certain types of vehicles. 4) Pay special attention to the tendering mechanism and to the general incentive structure. There are limits to the pure least-present-value-of-revenue (LPVR) auction, but income guarantees do enhance liquidity. In fact, a minimum-income guarantee through an LPVR auction is an instrument for credit enhancement, not income support. Alternatively, some form of financial innovation should be encouraged to make debt service commitments more flexible. 5) If concessions are tendered by traditional methods and income guarantees will be given, cover only a fraction of the concessionaires expected income stream, to reduce the states financial exposure and to improve the incentives to the concessionaire. 6) Make the contracts as complete as possible but allow for later modifications or renegotiations, and include a well-designed dispute resolution mechanism. Document type: Book

Abstract

The Tool for Rapid Assessment of City Energy (TRACE) is used for conducting rapid assessments of energy use in cities. It helps prioritize sectors with significant energy savings potential, and identifies appropriate energy efficiency interventions across six sectors-transport, municipal buildings, water and waste water, public lighting, solid waste, and power and heat. It is a simple, low-cost, user-friendly, and practical tool that can be applied in any socioeconomic setting. This report is based on the implementation of the TRACE tool in Constanta in July 2013 and it outlines ideas on what the city could further do to improve its energy efficiency performance. It details the analysis carried out and the recommendations derived as a result, for district heating maintenance and upgrade, non-motorized transport, public transport development, parking restraint measures, municipal building benchmarking program, municipal buildings audit and retrofit, street lighting timing program, energy efficiency action plan and strategy, and awareness raising campaigns. Document type: Book

Abstract

The Tool for Rapid Assessment of City Energy (TRACE) is used for conducting rapid assessments of energy use in cities. It helps prioritize sectors with significant energy savings potential, and identifies appropriate energy efficiency interventions across six sectors-transport, municipal buildings, water and waste water, public lighting, solid waste, and power and heat. It is a simple, low-cost, user-friendly, and practical tool that can be applied in any socioeconomic setting. This report is based on the implementation of the TRACE tool in Iasi in July 2013 and it outlines ideas on what the city could further do to improve its energy efficiency performance. It details the analysis carried out and the recommendations derived as a result, for energy efficiency action plan and strategy, district heating maintenance and upgrade, non-motorized transport, public transport development, traffic flow optimization, parking restraint measures, municipal building benchmarking program, traffic restraint measures, municipal buildings audit and retrofit, and street lighting timing program. Document type: Book

Abstract

The Delhi Metro (DM) is a mass rapid transit system serving the National Capital Region of India. It is also the world’s first rail project to earn carbon credits under the Clean Development Mechanism of the United Nations for reductions in CO2 emissions. Did the DM also lead to localized reduction in three transportation source pollutants? Looking at the period 2004–2006, one of the larger rail extensions of the DM led to a 34 percent reduction in localized CO at a major traffic intersection in the city. Results for NO2 are also suggestive of a decline, while those for PM25 are inconclusive due to missing data. These impacts of pollutant reductions are for the short run. A complete accounting of all long run costs and benefits should be done before building capital intensive metro rail projects. Document type: Book

Abstract

This paper examines the spatial organization of jobs in Kampala, the capital city of Uganda, and applies the Lucas and Rossi-Hansberg (2002) model to explain the observed patterns in terms of the agglomeration forces and the commuting costs of workers. The paper suggests that: (i) Economic activities are concentrated in the downtown -- beyond which employment is spatially dispersed. (ii) Geographically weighted regressions identify five potential subcenters in 2011; however, none of these contribute significantly to employment. When explaining the variation in employment density across localities in Kampala, the research highlights that (i) density falls by 23.5 percent per kilometer increase in distance from the nearest potential subcenter; (ii) an increase in local production externalities of 10 percent increases density by 3.7 percent; and (iii) production externalities in Kampala's potential subcenters are extremely weak to have any significant impact even on nearby tracts. Document type: Book

Abstract

Like in many large cities in developing countries, traffic in Grand Casablanca, Morocco, is congested and public buses are crowded. These conditions are alleviated by a combination of supply-side infrastructure expansions, such as more buses and new road capacity, and demand-side pricing instruments, such as parking and fuel taxes. Using an empirical urban transportation mode choice model for Casablanca, this study finds a mix of these expansion policies and pricing instruments to alleviate congestion and maximize aggregate social welfare. The optimal mix is sensitive to the marginal costs of the infrastructure expansions. If the city were to spread out in its periphery where land constraints do not exist and land is available at lower prices, a supply-side instrument, particularly the optimal expansion of roads, would be far more effective in achieving welfare gains than the use of optimal pricing instruments without new roads. By contrast, if the city were to densify in already built-up areas, land and other physical constraints and the high price of land may leave expensive “elevated roads” as the only option. In this case, demand-side instruments together with the elevated roads would equally contribute to reduce traffic congestion and in-bus crowding. Document type: Book

Abstract

The main impetus for this report (and for the reports prepared for the other six growth poles) is a request received from the Ministry of Regional Development and Public Administration. The request came within the context of on-going preparations for the 2014-2020 programming period, with energy efficiency being one the major themes of the Europe 2020 strategy, and a critical priority for all EU member countries. Within Romania, local authorities that will want to access energy efficiency funds under the 2014-2020 Regional Operational Program will need to first prepare energy efficiency strategies. The TRACE tool is specifically targeted at local authorities, and is a good instrument for drafting such strategies after the 1989 Revolution; Romania began its transition from a centralized system to a market-run economy. Today the country is a member of the European Union (EU) and NATO. After more than a decade of economic restructuring and political change, the country has taken significant steps to catch up with the economic performance of more developed EU countries. Although radical reforms brought about significant changes, the standard of living of Romanians is still behind the EU average. Cluj-Napoca (Cluj) is one of cities where such disparities are less pronounced, as the region is more developed and prosperous than most regions in the country. Cluj has developed quite well in the past few years, and it has become one of the most flourishing cities in the country, having a good growing potential. At present, the city is an important economic center, home to several local brands that have become famous nationwide as well as in Europe. Moreover, Cluj is known today as the 'capital' of the IT sector in the country, due to an aggressive expansion of this field in recent years. Document type: Book

Abstract

The World Bank Group, DFAT-Australia, and Carnival Australia have partnered to conduct this study of the economic impact of cruise ship tourism in Vanuatu. Data gathering and analysis for this study was carried out by Net Balance Management Group. Over the past 10 years, Vanuatu’s cruise arrivals have grown by 15 percent per year. Cruising to Vanuatu has been buoyed by an advantageous location within a few days’ sail of Australia, a varied destination offering centered on Port Vila, and consistently positive passenger feedback. In 2013, more than 240,000 people arrived in Vanuatu by cruise ship. This translates into 490,000 passenger days. The goal of this study is to quantify the economic impacts of cruising, and to provide data on the cruise sector’s effect on economic activity. The study then identifies a set of investment opportunities that can help to increase the economic benefits of cruise tourism in Vanuatu. This report therefore seeks to provide a platform that can be used by government, the private sector and donor partners to support further strategic, targeted development of cruising. Data on tourism, and by extension on cruise tourism, is not readily available in Vanuatu. This report is an attempt to capture initial economic information about the cruise industry and to provide a point of departure for additional research into the economic, social and environmental impacts of the cruise sector.