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Evaluating betterment projects.

Christopher M Fleming1, Matthew Manning2, Christine Smith3

  • 1Senior Lecturer, Department of Accounting, Finance and Economics, Griffith University, Brisbane, Australia.

Disasters
|August 19, 2015
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Summary
This summary is machine-generated.

Investing in disaster-resilient infrastructure (

Keywords:
bettermentcost-benefit analysisinfrastructurenatural disaster

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Area of Science:

  • Environmental science and disaster management
  • Economics and public policy

Background:

  • Australia has faced severe natural disasters like bushfires, floods, and cyclones in the last decade.
  • This has highlighted the need for rebuilding infrastructure to higher, disaster-resilient standards ('betterment').

Purpose of the Study:

  • To develop a consistent method for evaluating proposals to improve essential public assets to a disaster-resilient standard.
  • To provide a tool for governments to determine the net benefits of such 'betterment' investments.

Main Methods:

  • The paper proposes a framework for assessing the economic viability of infrastructure betterment.
  • Case studies are used to illustrate the application of this method across different asset types and regions.

Main Results:

  • Investments in infrastructure betterment show potential for positive economic returns.
  • The economic benefits are observed across various asset types and geographical areas.

Conclusions:

  • Infrastructure betterment is a viable strategy with potential economic benefits.
  • The success of betterment investments is significantly influenced by assumptions, particularly the probability of future natural disasters.