Update and Extension of the Economic Analysis for a Lake Transport Connectivity Project in Africa's Great Lake Region

Challenge

In 2017, the Client commissioned a feasibility study for a lake transportation system for ferry and cargo movements in the relevant region. HPC and their partner implemented the survey to understand the nature and volume of passenger and cargo movements across the lake under consideration. The study examined the market potential, technical feasibility, and design of infrastructures of alternative options to develop lake-based passenger and cargo transport services. As the project was assessed as economically and financially viable, it is now being developed further. The project's initial phase aims to create relevant port infrastructure and attract private investors to operate and manage the ports and ferry services along the lake. After a revision of infrastructure investment costs based on a detailed investigation, the Client engaged HPC to update and extend the previous economic analysis of the Feasibility Study to assess the cost impact of revised investment costs on the project's economic viability. This serves the Client as a basis for further decision making.

Tasks Performed

• Update and extend HPC's previous economic analysis for the lake transportation project conducted in 2017
• Extend the economic analysis under consideration of additional environmental and economic benefits, namely emission reductions through reduced road traffic and income effects

Benefit

HPC investigated the economic feasibility of the project as the basis for further decision making.