Economic evaluation of the High Speed Rail

Abstract

Investment in high speed rail (HSR) infrastructure produces social benefits and costs. The potential benefits are basically time savings, higher reliability, comfort, safety and the release of capacity in the conventional rail network, roads and airport infrastructure. The costs are high, and sunk in a significant proportion; therefore, the social profitability of the project requires that HSR users’ and other beneficiaries’ willingness to pay is high enough to compensate the sunk and variable costs of maintaining and operating the line plus any other external cost during construction and project life. In Sweden there are now plans to build a high speed rail between the

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