Study On The Application Of Economic Evaluation In Route Scheme Selection Of Freeway Design Stage

The freeway projects cover a long area, and require a large amount of investment. Tooptimize the schemes and control the investment, choosing rational construction project routeis very important.This paper conducted a comprehensive analysis about the optimization of highway routeselection and the factors affecting the program of highway routes. Feasibility study stage, theeconomic evaluation’s conclusion is the evaluation basis of whether or not to build the project.The indicators include Net Present Value (NPV), Internal Rate of Return (IRR), Benefit-CostRatio (BCR), and Payback Period (N). However, when the economic evaluation is used in thedesign phase of the scheme comparison, its conclusions are selected as a program evaluation(to solve the problem of how to repair), which are essentially different from the purpose of thefeasibility study stage. Therefore, in this stage of economical evaluation, the focus of theevaluation (selected indicators) and method of calculation should be different. This paperadopted the simplified method of calculation of economic evaluation. In national economicevaluation, the model only calculated the incremental cost and efficiency. In financialevaluation, the model only calculated the cost of incremental costs and benefits. This greatlysimplifies the calculation of comparison of different routes in the design phase, whichestablishes a more comprehensive and feasible highway evaluation system. Theoretically, thispaper proposed and establishes a preliminary evaluation system which is feasible and suitablefor China’s highway construction projects. It is a complex decision problem that how to selectthe high way route. For the limitation of the author, the inadequacies in the paper areinevitable. Nevertheless, I wish that the research in this paper can establish a foundation forthe economical evaluation and optimization procedures of highway route system and promotethe development of scientific and intelligent decision.Finally choose the freeway Guangdong Chaozhou to Huizhou as the example toeconomic evaluation, using a “delta computation” method for the economic cost benefitanalysis and financial analysis, Each scheme are calculated respectively of the net presentvalue increment of the economic and financial net present value increment, making acomprehensive evalution to comparative scheme,then confirm the final recommendations.