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An urban rail system is an ecologically and economically efficient way of moving large volumes of passengers in big cities. There are, however, many financial uncertainties associated with such capital-intensive projects that must be addressed with careful planning, project management and effective operational management policies. Government support for the capital funding of the project is likely to be essential for the project's successful financial viability, with private participation contributing in both the execution and operation of the scheme. Integration with other transport modes is also essential, but must be achieved in a sensitive manner that recognizes the right of choice for the traveller. This requires careful planning of fares policy, through-ticketing arrangements and feeder-bus services that may initially have to be developed by the rail company. Given the economic arguments and recent experiences, it is difficult to justify the use of rail-based mass transit for most cities in the developing world. While there can be no doubts over its comfort and the prestige it can confer on a city, there are serious doubts over its cost and even its performance. Conversely, the bus-way system offers unrivalled performance and value for money. The fact that recent experience has seen a strong and growing demand for metros and LRT suggests that the influence of intangible factors is as strong, if not more so, than the technical evidence. An ideal decision-making process would allow consideration of the intangible benefits of mass transit options, while screening out projects that would cause severe financial hardship. (A)
Fouracre et al. (Wed,) studied this question.
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