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Enhancing Road Network Investment Policy Using HDM-4: A Comprehensive Guide

Explore the role of HDM-4 in justifying road network investment policies, addressing issues like road deterioration, budget constraints, and investment priorities. Learn how economic parameters influence decisions and how to allocate resources effectively to improve road performance and regional development.

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Enhancing Road Network Investment Policy Using HDM-4: A Comprehensive Guide

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  1. THE ROLE OF HDM-4 TO JUSTIFY THE ROAD NETWORK INVESTMENT POLICY TAUFIK WIDJOYONO KUALA LUMPUR

  2. What is the real problem ??? • Road deterioration • Budget short coming • Investment priority • Regional budget allocation • Budget accountability

  3. Introduction • The Role of HDM-4 as a tool of Decision Support System • Identify key factor affecting road network performance • Economic Parameter relate to user cost • Economic parameter related to investment • Budget priority based on benefit cost ratio • Determine Budget Resource Distribution based on economic judgement and regional development • Recommendation to the Improvement of Existing Policy

  4. Factor Affecting Road Performance • Roughness of the surface • Traffic volume • Level of service • Environment factor

  5. Economic Factor related to user cost • Vehicle operating cost • (vehicle, maintenance and spare part) • Time value

  6. Economic parameter to determine road investment • Road network performance • Treatment selection • (periodic maintenance, minor improvement, major improvement include upgrading) • Treatment unit cost

  7. Selection criteria • Discounted Benefit and cost ratio • NPV • NPV/Cost • EIRR

  8. Prioritization regarding regional development • Economic consideration • (generated traffic ) • Social Consideration • (increasing accessibility)

  9. Towards Better Policy • Classify road networks based on the degree of utilization • Determine suitable IRR • Determine suitable level of treatment • (bituminous, gravel)

  10. THANKYOU

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