Ex-Post Evaluations of Demand Forecast Accuracy: A Literature Review

Abstract

Travel demand forecasts play a crucial role in the preparation of decision support to policy-makers in the field of transport planning. The results feed directly into impact appraisals such as cost–benefit analyses and environmental impact assessments, which are mandatory for large public works projects in many countries. Over the last few decades, there has been increasing attention given to the lack of demand forecast accuracy. However, since data availability for comprehensive ex-post appraisals is problematic, such studies are still relatively rare. This study presents a review of the largest ex-post studies of demand forecast accuracy for transport infrastructure projects. The focus is threefold: to provide an overview of observed levels of demand forecast inaccuracy, to highlight key contextual and methodological differences between studies and to highlight key focus areas for future research in this field. The results show that inaccuracy remains problematic for road, rail and toll projects alike, but also how the lack of methodological clarity and consistency calls for a careful interpretation of these results. Mandatory, systematic ex-post evaluation programmes are suggested as a necessary tool to improve decision support, as data availability for ex-post studies is often remarkably poor even for internal audits.     

Network-based real option models

Building on earlier work to incorporate real option methodologies into network modeling, two models are proposed. The first is the network option design problem, which maximizes the expanded net present value of a network investment as a function of network design variables with the option to defer the committed design investment. The problem is shown to be a generalized version of the network design problem and the multi-period network design problem. A heuristic based on radial basis functions is used to solve the problem for continuous link expansion with congestion effects. The second model is a link investment deferral option set, which decomposes the network investment deferral option into individual, interacting link or project investments. This model is a project selection problem under uncertainty, where each link or project can be deferred such that the expanded net present value is maximized. The option is defined in such a way that a lower bound can be solved using an exact method based on multi-option least squares Monte Carlo simulation. Numerical tests are conducted with the classical Sioux Falls network and compared to earlier published results.     

Estimating induced travel for evaluation of metropolitan highway expansion

This paper demonstrates how induced travel can be estimated for incorporation into the evaluation process for highway expansion projects, at a sketch planning level of analysis. The approach is useful especially in cases where four-step urban travel models are either unavailable or are unable to forecast the full induced demand effects. The methodology is applied to a hypothetical freeway expansion analysis. Our analysis suggests that the magnitude of travel induced by highway expansion increases significantly as a function of initial congestion levels prior to expansion. However, under even extreme scenarios of initial congestion and consequent forecasted induced travel, there is a positive impact with respect to congestion relief.     

Estimating the environmental costs of port related emissions: The case of Kaohsiung

This study estimates the emission costs of ships and trucks in the Port of Kaohsiung, Taiwan, focusing mainly on particular matter and volatile organic compounds. By calculating annual ship and truck emissions we find that the major contributors are tankers, container ships and bulk ships and trucks. Using a bottom-up methodology, the combined environmental costs of ships and trucks are estimated to be over $123 million per year.     

Selatm — a GIS based program for evaluating the safety benefits of local area traffic management schemes

Particular safety problems relate to traffic on local streets. Local Area Traffic Management (LATM) schemes are often implemented with the objective of counteracting these safety problems. One analytical difficulty in appraising the effectiveness of LATM in dealing with safety problems has been the ‘footloose’ nature of accident locations in a local street network. Seldom are there distinct ‘blackspot’ locations. An area‐wide approach is needed and the interaction between the system and arterial road network must be considered. The paper describes the development of a Safety Evaluation Method for Local Area Traffic Management (termed SELATM). It is a GIS‐based program for analysing accident patterns over time and the evaluation of the safety benefits of LATM schemes. The evaluation is perform at different network levels for various accident variables. The thrust of the program involved the integration of network data with data on accidents and the installed devices to generate summary accident statistics for the various network levels allowing for before and after comparison with a control area. This program as developed is applied to a LATM scheme at Enfield, a suburb in metropolitan Adelaide.     

A data-driven approach for origin–destination matrix construction from cellular network signalling data: a case study of Lyon region (France)

Transportation - Spatiotemporal data, and more specifically origin–destination matrices, are critical inputs to mobility studies for transportation planning and urban management purposes....