URBAN TRANSIT COST-BENEFIT SOFTWARE TOOL

Transport Canada is committed to promoting a sustainable transportation system - one that is safe, secure, efficient and environmentally responsible. Improving public transit in Canada is a key element of the Government of Canada's strategy to advancing this goal.

In 2001, Transport Canada commissioned three studies: the National Vision for Urban Transit to 2020; Urban Transit in Canada - Taking Stock; and Economic Study to Establish a Cost-Benefit Framework for the Evaluation of Transit Investments. Each study examined different aspects of the urban transit industry in Canada. The studies, which were publicly released in March 2002, can be found at www.tc.gc.ca/programs/environment/urbantransportation/transitstudies/menu.htm.

The software tool, TransDec, was developed from the third study. TransDec is an innovative cost-benefit analysis model that assesses a range of different kinds of transit and highway investments. It is unique in that, in addition to assessing traditional costs, it assesses benefits related to greenhouse gas and pollution emission reduction, transportation safety, traffic congestion, increased mobility and community development.

This user-friendly computer analysis tool allows the user to select a model, such as a new transit system, from its menu and create a scenario, like a light rail system. The software will in turn use the given variables to analyse the scenario with the goal of improving urban transit decision-making. It uses default values or locally generated data, which it applies over a range of urban areas and various sizes of projects.

Over the spring and summer of 2003, Transport Canada conducted pilot tests of TransDec on investment projects with Canadian municipalities and transportation-related organizations. The objectives were to gain some initial insight and experience by using the model in different circumstances and to ensure the tool is user-friendly. These tests were conducted by Transport Canada in cooperation with a steering committee composed of representatives from the Canadian Urban Transit Association and the Federation of Canadian Municipalities. The findings from the pilot phase suggest that the software tool functions in a straightforward and user-friendly manner.

Transport Canada has a licence agreement for the model with HLB Decision Economics, which is the sole owner of all rights to the model. The licence allows governments, transit authorities, universities, non-governmental organizations and independent contractors working for these organizations to use the software free of charge. It can be downloaded at www.tc.gc.ca/programs/environment/economicanalysis/model/menu.htm. All other potential users can purchase a commercial licence from HLB. The company is responsible for monitoring use of the model.

November 2004